” 
0 ‘  
have considered the same and have the honor to report them back to the Senate 
with the recommendation that the attached bill, S.B. No. 2 
4 0 9 
, prepared 
by the Committees, entitled: 
“AN ACT 
CREATING A NATIONAL BOOK DEVELOPMENT TRUST FUND TO 
SUPPORT FILIPINO AUTHORSHIP” 
be approved in substitution of S. B. No. 1720. with Senators Angara and 
Estrada, Cayetano, Alan Peter, as authors thereof. 
Respectfully submitted: 
FRANCIS G. ESCGDERO 
Chairperson 
Committee on Ways and Means 
Member, Committee on Education, 
Arts and Culture 
ALAN PETER S. CAYETANO 
Chairperson 
Committee on Education, Arts 
and Culture 
Member, Committee on Ways 
and Means 


Members 
EDGARDO J. ANGARA 
Member, Committee on Education, Arts Me 
mmittee on Ways and 
and Culture and Committee on Ways 
and Means 
JOKER P. ARROYO 
M 
Education, Arts 
Committee on Education, Arts 
ure and Committee on Ways 
S. CAYETANO 
r, Committee on Education, Arts Member, Codhittee on Education, Arts 
and Committee on Ways 
and Culture 
and Means 
MANUEL M. LAPlD 
RAMON B. REVILLA JR. 
Member, Committee on Education, Arts Member, Committee on Education, Arts 
and Culture and Committee on Ways 
and Culture and Committee on Ways 
and Means 
MAR ROXAS 
Member, Committee on Educat 
and Culture and Committee on 
and Means 
and Means 
, Committee on Education, Arts 
ure and Committee on Ways 
. 
> 
- - -. 
LOREN B-55%%% A 
M.A. MADRIGAL 
Member, Committee on Education, Arts Member, Committee on Education, Arts 
and Culture and Committee on Ways 
and Culture and Committee on Ways 
and Means 
and Means 
PANFILO M. LACSON 
Member, Committee on Ways and 
Means 
and Culture 
Member, Committee on Education, Arts 
ANTONIO F. TRILLANES IV 
Member, Committee on Education, Arts 
and Culture and Committee on Ways 
and Means 


Ex-Officio Members 
AQUILINO Q. PIMENTK 
JR. 
Minority Leader 
HON. MANNY VILLAR 
President 
Senate of the Philippines 
Pasay City 


I 
0 
I 
FOURTEENTH CONGRESS OF THE 
) 
First Regular Session 
1 
REPUBLIC OF THE PHILIPPINES 
) 
8 JUiJ 1 1 P6 :5i; 
~~~~~~~~ 
BY ! 
1. 
S E N A T E  
S. B. No. 2 x 9  
(In substitution of Senate Bill No. 1720) 
Introduced by Senators Angara, Estrada and Cayetano (A), and Members of 
Committees on Education, Art3 and Culture and on Ways and Mean* 
AN ACT 
CREATING A NATIONAL BOOK DEVELOPMENT TRUST FUND TO SUPPORT 
FILIPINO AUTHORSHIP 
Re it enacted by the Senate and House of Representatives of the Philippines ir? Cong\ess 
assembled: 
SECTION 1. Title. - This Act shall be known as the "National Book Developinen: 
Trust Fund Act." 
SEC. 2. Statement of Policy. - It is the policy of the State to promote the coiitiniiiii!i 
development of the book publishing industry in all regions of the country as embodied ii? 
Republic Act No. 8047 or the "Book Publishing Industry Development Act" 
Siiicc 
authorship is one of the major components of book publishing, the national book policv 
obliges the State to create a dynamic and conducive environment for the promotioi-i :I 
Filipino authorship and other creative activities in book development. 
SEC. 3. The National Book Development Trust Fund. - A National Book 
Development Trust Fund, hereinafter referred to as the Fund, is hereby establislhed 
exclusively for the s~ipport and promotion of Filipino authorship especially in Science aiici 
Technology and in subject areas wherein locally authored books are either few or 110'? 
existent. The Fund shall be subject to the following: 
I 4 
(a) The contribution to the Fund shall be sourced from the following. 


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1. 
The amount of fifty million pesos (P50,000,000.00) shall be allotted in the 
annual General Appropriations Act (GAA) for the next five (5) years 
starting from the enactment of this law; 
The amount of fifty million pesos (P50,000,000.00) shall be taken from 
2. 
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the Philippine Amusement and Gaming Corporation (PAGCOR) fund at 
five million pesos (P5,000,000.00) per month for ten (IO) months; 
Another amount of fifty million pesos (50,000,000.00) shall be taken from 
the Philippine Charity Sweepstakes Office (PCSO) at five million pesos 
(P5,000,000.00) per month for ten (IO) months. 
3. 
(b) Only the interest drawn from the Fund from sources cited in Sec. 3 (al), (a2), 
and (a3) shall be awarded as grants to promote Filipino authorship and to support the 
completion of local manuscripts or research works for publication; 
(c) The grants can be awarded only after one (I) 
year from the organization of the 
Fund, and the grants shall be awarded equitably among the regions; 
(d) Government corporations are hereby authorized to give grants to the Fund at 
their discretion; 
(e) The private portion of the Fund shall be raised from donations and other 
conveyances including funds, materials, property and services, by gratuitous title; 
(9 Contributions to the Fund shall be exempt from the donor's tax and the same 
shall be considered as allowable deductions from the gross income of the donor, in 
accordance with the provisions of the National Internal Revenue Code of 1997, as 
amended: Provided, That the allowable deductions shall be equivalent to 150 percent of 
the value of such donation. 
(9) The National Book Development Board (NBDB) shall be the administrator of the 
Fund; 
(h) For the sound and judicious management of the Fund, the NBDB shall appoint 
a government financial institution, with sound track record on fund management, as 
portfolio manager of the Fund, subject to guidelines promulgated by the NBDB; and 


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(i) The NBDB shall prepare the implementing guidelines and decision-making 
mechanisms, subject to the following: 
1. No part of the seed capital of the Fund, including earnings thereof, shall be used to 
underwrite overhead expenses for administration, and 
2. There shall be an external auditor to perform an annual audit of the Fund's 
performance. 
3. SEC. 4. Promotional Initiatives. - The Board in coordination with the national and 
local government units (LGUs) shall undertake activities to inform, promote and 
develop Filipino authorship. 
SEC. 5. lncentives to Local Government Units (LGUs). - The Board may provide 
incentives to LGUs such as, but not limited to, matching the funds being provided by the 
LGUs, in activities that reflect their partnership towards attaining the objectives of this Act. 
SEC. 6. Separability Clause. -- Should any provision herein be declared 
unconstitutional, the same shall not affect the validity of the other provisions of this Act. 
SEC. 7. Repealing Clause. - All laws, decrees, orders, rules, and regulations or 
other issuances or parts inconsistent with the provisions of this Act are hereby repealed or 
modified accordingly. 
SEC. 8. Effectivity. -This Act shall take effect fifteen (15) days after its publication 
in the Official Gazette or in any newspaper of general circulation in the Philippines. 
APPROVED, 
.1