FIFTEENTH CONGRESS OF THE 
REPUBLIC OF TltE PHILIPPINES 
First Regular Sessiolil 
) 
) 
) 
SENATE 
S. No. 
50 
Introduced by Senator Edgardo J. Angara 
EXPLANATORY NOTE 
, 
,< 
Sf( ., (t,,,v 
This bill 
seeks 
to 
reorganize the Department of Transportation and 
Communication by creating a separate Department of Information and Communications 
to address the distin ct needs of the communications and transportation sector. 
Section 24, Article II of the 1987 Philippine Constitution declares that the State 
recognizes the vita'! role of communications and information in nation-building. To 
implement this Statt· policy, a Department of Transportation and Communications was 
created under the Administrative Code of 1 Y87 to maintain and expand a viable, 
efficient, safe and dependable transportation and communications systems as effective 
instruments for national recovery and economic progress. Due to the divergent issues on 
transportation and communications, a single department should focus on each one to 
intensify government initiatives and cope up with the demands of globalization. 
Under 
this 
proposed 
measure, 
the 
Department 
of Information 
and 
Communications shall be the primary policy, planning, coordinating, implementing, 
regulating and administrative entity of the executive branch of the Government that will 
promote, develop, and regulate integrated and strategic ICT systems and reliable and 
cost-efficient communication facilities and service. This will ensure that the 
communications and information technology sector of the country be given appropriate 
focus and be included as one of the priorities of the government. 
In view of the foregoing, immediate passage of the bill is earnestly sought. 
w~ 
EDGARDO J. ANGARA 
1 


~~~' 
': f 
FIFTEENTH CONGRESS OF THE 
REPUBLIC OF THE IPHILIPPINES 
First Regular Session 
) 
) 
) 
OFflt:e.{~;~·, 
"'t,,>(tL:{,l~~¥ 
SENATE 
S. No. 
50 
Illltrodnced by Senator Edgardo J. Angara 
AN ACT 
CREATING THE DEPARTMENT OF INFORMATION AND 
COMMUNICATIONS TECHNOLOGY, DEFINING ITS POWERS AND 
FUNCTIONS, APPROPRIATING FUNDS THEREFORE, 
AND FOR OTHER PURPOSES 
Be it enacted by the Se,nate and the House of Representatives of the Phzlippines in 
Congress assembled: 
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SECTION 1. Sho.rt Title. This Act shall be known as the "Department of 
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Information and Communications TecImology Act of2010." 
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SEC. 2. Declaration of Policy. It is hereby declared the policy of the State: 
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n. To ensure the provision of a strategic, reliable, cost-efficient and citizen-centric 
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infoll11ation and communications technology (rCT) infrastructure, systems and 
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resources as instruments of nation-building and global competitiveness; 
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b. To foster a policy environment that will promote a broader market-led 
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development of the reT and leT -enabled services sectors, a level playing field, 
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partnership between the public and the private sectors, strategic alliance with 
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foreign 
investors and balanced investments between high-growth and 
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economically-depressed areas; 
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c. To foster and accelerate the convergence ofIeT facilities; 
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d. To ensure universal access and high-speed connectivity at fair and reasonable 
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cos~; 
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e. To ensure the availability and accessibility of information and communications 
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services in areas not adequately served by the private sector; 
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f. 
To promote the widespread use and development of emerging leT; 
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g. To promote and assist the development of local leT content, applications and 
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services; 
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h. To establish a strong and effective regulatory system that will ensure consumer 
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protection and welfare and foster a healthy competitive environment; 
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I. 
To promote the development of ICT expertise ;,n the country's human capital to 
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enable Filipinos to compete in a fast-evolvinp, information and communications 
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age; 
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J. 
To ensure the growth of the ICT and ICT-enabled services sectors; 
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k. To preserve the rights of individuals to privacy and confidentiality of their 
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personal infOlmation; 
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I. 
To encourage the use of ICT for the development and promotion of the country's 
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arts and culture, history, education, public health and safety, and other socio-
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CIVIC purposes; 
10m. To sustain the development of the national postal system as an integral 
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component of the overall development ofICT in the country; 
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n. To ensure the security of ICT infrastructures and assets of individuals and 
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businesses stored there in; 
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o. To empower, through the use of ICT, the disadvantaged segments of the 
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population, including persons with disabilities, such as the physically, 
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emotionally or mentally challenged. 
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SEC, 3. Defillition of Terms. As used in this Act, the following terms are defined 
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as follows: 
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a. "Information and Commnnications Technology" or "ICT" shall mean the 
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totality of electronic means to collect, store, process and present information 
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to end-users in suppOli of their activities and services. It consists of computer 
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systems, office systems and consumer electronics, as well as networked 
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information infrastructure, the components of which include telephone, cable, 
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wireless and satellite systems, the Internet, fax machines and computers; 
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b. "Electronic Government" or "E-Government" shall mean the application of 
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ICT in government processes to bring about efficient, responsive, ethical, 
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accountable and transparent government service; 
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c. "ICT Sector" shall mean telecommunications operators, ICT equipment 
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manufacturers, ICT solution providers, Internet service providers, ICT 
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training institutions, software developers and ICT-enabled service providers; 
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d. "ICT -Enabled Services Sector" shall mean offshoring and outsourcing service 
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providers, 
including 
call 
centers, 
back office processmg, 
software 
development, medical or legal transcription, animation, game development, 
engineering or architectural design, and other services that require the intrinsic 
use of a networked information infrastructure; 
e. "Chief Information Officer" or "CIO" shall mean the title given to the board 
level head of ICT in an organization responsible for the development and 
maintenance of the organization's ICT systems and applications. 
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SEC. 4. Creation of the Department of In/ormation and Communications 
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Techli%g\'. There is hereb y created the Department ofInformation and Communications 
4 
Technology, hereinafter I'"rerred to as the Department, which shall carry out the above-
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declared policy and assunt Ie the communications-related powers and functions of the 
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Department of Transportation and Communications (DOTC). 
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SEC. 5. Mandate. The Depaliment shall be the pnmary policy, planning, 
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coordinating, implementing, ][egulating and administrative entity of the executive branch 
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of the Govemment that will pl'an, promote and help develop the country's ICT sector. 
1 1 
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SEC. 6. Powers and Functions. The Department shall exerClse the following 
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powers and functions: 
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a. Fonnulate, recommend and implement national policies, plans, programs and 
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guidelines for the ICT and rCT -enabled services sectors that will promote 
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wider use and development of rCT and provide increased and convenient 
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access by the citizens to the same; 
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b. Initiate, hatmonize and coordinate all ICT plans and initiatives of govemment 
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agencies to ensure overall consistency and hatmony with e-govemment 
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objectives in particular, and national objectives in general; 
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c. Represent and negotiate for Philippine interest on matters pertaining to ICT in 
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international bodies; 
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d. Develop and maintain national rCT development plans and establish and 
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administer comprehensive and integrated programs for rCT with due 
25 
consideration to advances on convergence and other emerging technologies; 
26 
and for this purpose, may invite any agency, corporation or organization, 
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whether public or private, whose development programs in rCT are an integral 
28 
part thereof, to participate and assist in the preparation and implementation of 
29 
such programs; 
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c. Promote knowledge, infOlmation and resource sharing, database building and 
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3S 
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agency networking linkages among various government agencies; 
f. 
Ensure the development and protection of an integrated government 
information and communications infrastructure and coordinate all relevant 
government entities, taking into consideration the inventory of existing 
manpower, plans, programs, proposals, software and hardware, and the 
installed systems and programs; 
g. Provide an integrated framework m order to optimize all government ICT 
resources and networks and the identification and prioritization of all e-
government systems and applications as provided for in the Government 
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Information Systems Plan (GISP) and the Medium Term Philippine 
Development Plan (MTPDP); 
h. COOl'dina! e and support the generation and acquisition of necessary resources 
as may 
be appropriate for the development, marketing, growth and 
competitiveness of the Philippine ICT and lcCT-enabled services sectors; 
l. 
Develop, implement and improve, in coordination with concerned government 
agencies 
~ll1d industry associations, the government's ICT capabilities and 
determine the personnel qualifications and other standards essential to the 
effective 
development and operation of government infonnation and 
commLinicati ons infrastructure; 
J. 
Encourage and establish guidelines for the use of pUblic-private partnerships in 
the implementation of ICT projects for government agencies in o~der to fast-
track said projects and provide reasonable return-on-investment for the private 
sector, including but not limited to Build-Operate-Transfer (BOT) mechanisms; 
k. Assess, revie wand support ICT research and development programs of the 
govemment ill coordination with the Department of Science and Technology 
and other instil utions concemed; 
1. 
Establish and prescribe rules and regulations for the establishment, operation 
and maintenanc e of ICT infrastructure in unserved and underserved areas in 
, 
20 
consultation with the private sector, local government units (LGUs) and the 
21 
academe; 
22 
m. Provide policy-direction and guidance in leT-related aspects for the operation 
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and maintenance of a nationwide postal system that shall include mail 
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processing, delivery services, and money remittance and payment services; 
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n. Assist and provide technical expertise in the development of guidelines to the 
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Intellectual Property Office (IPO) in the enforcement and administration of 
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laws, standards, rules, and regulations goveming ICT ; 
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o. In coordination with concerned agencies, the private sector and relevant 
29 
international bodies, ensure consumer protection and welfare, and protect the 
30 
rights of consumer and business users to privacy, security and confidentiality; 
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p. Harmonize, synchronize and coordinate with appropriate agencies all ICT and 
32 
e-commerce policies, plans and programs; 
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q. Coordinate with the Department of Trade and Industry in the promotion of 
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trade and investment opportunities and protection of investor interests in the 
ICT and ICT-enabled services sectors; 
r. 
In coordination with concemed agencies, promote strategic partnership and 
alliances among and between local and international ICT firms and institutions, 
, 
research and development, educational and training institutions, and technology 
4 


providers, developers and manufacturers, to speed up industry growth and 
2 
enhance glob a 'I competitiveness; 
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s. 
In coordinatio,n with concerned agencies, plan and implement such activities as 
4 
may be appropriate to enhance the competitiveness of Philippine workers, 
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firms, and small and medium enterprises in the global markets for leT and 
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leT-enabled services; 
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t. 
In coordination with concerned agencIes, establish and recommend the 
8 
adoption of qualification standards and enhance the career opportunities ofICT 
9 
workers in government; 
IOu. In coordination with the Department of Education, Commission on Higher 
II 
Education and Technical Education and Skills Development Authority, 
12 
formulate ]policies and initiatives to promote ICT and ICT -enabled services 
13 
education aud the development, promotion and application of ICT in education 
14 
in a manner that is consistent with the national goals and objectives, and 
15 
responsive to the human resource needs of the leT and ICT -enabled services 
16 
sectors; 
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v. Facilitate the creation of the Chief Information Officer (CIO) Council, which 
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shall consist of CIOs of national government agencies (NGAs) with at least the 
19 
rank of Assistant Secretary, with the Secretary serving as the Chairman, to 
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assist the Department in implementing e-government initiatives; 
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w. Administer the E-Government Fund as specified in Section 1 S and, in 
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coordination with the Department of Budget and Management, establish 
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guidelines for the disbursement and management of the E-Govemment Fund, 
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including the monitoring and evaluation system of projects funded under the 
2 S 
said fund. 
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SEC. 7. Composition. The Department of Information and Communications 
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Technology shall be headed by a Secretary. The Department proper shall be composed of 
29 
the Office of the Secretary, the offices of the Undersecretaries and the Assistant 
30 
Secretaries. 
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SEC. 8. Secretary of Information and Communications Technology. The 
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Sccretary shall be appointed by the President, subject to confirmation by the Commission 
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on Appointments. 
3S 
The Secretary shall have the following functions: 
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a. Provide executive direction and supervision over the entire operations of the 
37 
Department and its attached agencies; 
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b. Establish policies and standards for the effective, efficient and economical 
39 
operation of the Depariment, in accordance with the programs of Govemment; 
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c. 
Rationalize delivery systems necessary for the effective attainment of the 
objectives ofthe Department, in accordance with the programs of Government; 
d. Review and approve request for financial and manpower resources of all 
operating offices ofthe 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; 
g. Advice the President on the promulgation of executive and administrative 
orders and regulatory and legislative proposals on matters pertaining to ICT 
development; 
h. Serve as a member of the Goverl1l11ent Procurement Policy Board as 
established by Republic Act No. 9184; 
I. 
Serve as the Chairn1an of the Board of the Philippine Postal Corporation in 
17 
accordance with Republic Act No. 7354 and the Corporation Law; 
18 
J. 
Formulate such rules and regulations and exercise such other powers as may be 
19 
required to implement the objectives ofthis Act; 
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k. Perform such other tasks as may be provided by Law or assigned by the 
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President from time to time. 
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SEC. 9. Undersecretaries. The Secretary shall be assisted by three (3) 
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Undersecretaries, who shall be appointed by the President upon the recommendation of 
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the Secretary: provided that one (1) of the Undersecretaries shall be a career officer 
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coming from ranks of existing goverl1l11ent information and communications agencles 
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and offices or qualified rCT professionals in the private sector. 
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SEC. 10. Assistant Secretaries. The Secretary shall be assisted by three (3) 
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Assistant Secretaries who shall be career officers appointed by the President upon the 
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recommendation of the Secretary. 
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SEC. 11. Qualifications. No person shall be appointed Secretary, Undersecretary 
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or Assistant Secretary of the Department unless he is a citizen and resident of the 
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Philippines of good moral character, and of proven integrity. 
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SEC. 12. RegIOnal Offices. The Department shall be authorized to establish, 
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operate, and maintain Regional Office in each of the administrative regions of the country 
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as the need arises. The regional office shall be headed by a Regional Director, who may 
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be assisted by one (1) Assistant Regional Director. The Regional Offices shall have, 
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within their respective administrative regions, the following functions: 
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a, Implement laws, policies, plans, programs, projects, rules and regulations of 
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the Department; 
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b, Provide efficient and effective service to the people; 
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c, Coordinate with regional offices of other departments, offices, and agencies; 
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d, Coordinate with LGUs; 
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e, Perform such other functions as may be provided by law or assigned by the 
9 
Secretary, 
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SEC. 13. Transfer of Agencies and Personnel. 
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a, The following agencies are hereby abolished, and their powers and functions, 
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applicable funds and appropriations, records, equipment, property, and 
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personnel transferred to the Department: 
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1, All operating units cunently existing in the Commission on Information 
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and Communications Technology (ClCT); 
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2, National Computer Center (NCC); 
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3, Telecommunications Office (TELOF); 
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4, All 
op'erating 
units 
of the 
Department 
of Transportation 
and 
20 
Communications (DOTC) with functions and responsibilities dealing with 
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communications, 
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All offices, services, divisions, units and personnel not otherwise covered by 
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this Act for transfer to the Department shall be retained under the DOTC, which IS 
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hereby renamed the Department of Transportation, 
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b, The following agencies are hereby attached to the Department for policy and 
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program coordination, and shall continue to operate and function in 
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accordance with the charters, laws or orders creating them, insofar as they are 
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not inconsistent with this Act: 
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I, National Telecommunications Commission; 
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2, Philippine Postal Corporation. 
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c, The laws and rules on government reorganization as provided for in Republic 
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Act No, 6656, otherwise known as the Reorganization Law, shall govern the 
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reorganization process of the Department. 
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SEC. 14. Postal Regulatory Authority. The exclusive power and authority to 
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regulate the postal delivery services industry, as provided for under Presidential Decree 
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No, 240 and Republic Act No, 7354, is hereby transfened to the Department. 
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SEC. 15. E-Government Fund. There shall be an E-Government Fund to be 
2 
administered by the Department, which is a Special Account in the General Fund, created 
3 
specifically to fimd cross-agency and citizen-centric government ICT projects. The Fund 
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shall be used to support and co-finance projects that enable the government to expand its 
5 
ability to conduct activities electronically and provide frontline services through the 
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development and implementation of innovative uses of the Internet or other emerging 
7 
technologies. However, internal IT systems meant to support the agencies' IT operations 
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shall be charged against the agencies' own budgetary allocation. 
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SEC. 16. Implementation of the RPWeb. In consonance with the objectives of 
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Administrative Ord'er No. 332 and Republi,c Act No. 8792, the primary responsibility 
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over the implementation of the RPWeb or the electronic online 'network of the 
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government which shall serve as initial platform of the Government Information 
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In rrastructure (GIl), is hereby transferred to the Depmiment. For this purpose, the 
15 
Department shall continue utilization of all funds, monies, interests, and properties 
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outstanding and accru ing from the RPWeb. 
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SEC. 17. Sectoral and Industry Task Forces. The Department may create sectoral 
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and industry task forces, technical working groups, advisory bodies or committees for the 
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furtherance of its objectives. Additional private sector representatives, such as [rom 
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academe and federation of private industries directly involved in ICT, as well as other 
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NGAs. LGUs and government owned and controlled corporations (GOCCs), may be 
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appoi nted to these working groups. Government IT professionals may also be tapped to 
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partake in the work of the Department through these working groups. 
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SEC. 18. Structure and Staffing Pattern. The Department shall determine its 
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organizational structure and create new divisions or units as it may deem necessary, and 
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shall appoint officers and employees or the Department in accordance with the Civil 
29 
Service Law, rules, and regulations. 
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SEC. 19. Magna Carta. Employees of the Department shall be covered by 
32 
Republic Act 8439, which provides a magna carta for scientists, engineers, researchers 
33 
and other science and teclmology personnel in the government. 
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SEC. 20. Separation from Service. Employees separated from the service as a 
3C) 
result of this reorganization shall, within ninety (90) days therefrom, receive the 
37 
separation and retirement benefits to which they may be entitled under Executive Order 
38 
No. 366. Provided that such separation pay and retirement benefits shall have priority of 
39 
payment out of the savings of the department or agency. 
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2 
SEC 21. Appropriation. The amount needed for the initial implementation of this 
3 
Act shall be taken from the Clm-ent fiscal year's appropriation of the CICT through the 
4 
Ofllcc oCthe President and all agencies herein absorbed by or attached to the Department. 
5 
Thereafter, the amount needed for the operation and maintenance of the Department shall 
6 
be included in the General Appropriations Act, provided that for the next fiscal,Year, the 
7 
amount shall be One Billion Two Hundred Million Pesos (PI,200,OOO,OOO.OO), 
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SEC 22. Repealing Clause. All laws, decrees, executive orders, rules and 
10 
regulations and other issuances or parts thereof which are inconsistent with this Act are 
II 
hereby repealed, amended or modified accordingly. 
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SEC 23. Separability Clause. If any provision of this Act shall be declared 
14 
unconstitutional or invalid, t he other provisions not otherwise affected shall remain in full 
15 
force and effect. 
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SEC 24. EjJectivi(V Clause. This Act shall take effect fifteen (15) days from its 
18 
publication in at least two (2) papers of general circulation. 
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Approved. 
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