NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHIUPPINES 
First Regular Session
of t!.ie !S',c'.'ctar.i>
*22 DEC 14 P 3 -17
SENATE
s. No. 161 n
received BV.
Introduced by SENATOR RAMON BONG REVILLA, JR.
AN ACT
CREATING THE LAGUNA LAKE CONSERVATION AUTHORITY (LLCA), 
THEREBY REPEALING REPUBLIC ACT NO. 4850, AS AMENDED, OTHERWISE 
KNOWN AS THE LAGUNA LAKE DEVELOPMENT AUTHORITY ACT OF 1966, 
AND FOR OTHER PURPOSES
EXPLANATORY NOTE
Laguna Lake Development Authority (LLDA) was established in 1966 as a quasi­
government agency that leads, promotes, and accelerates sustainable development in 
the Laguna de Bay Region. Regulatory and law enforcement functions are carried out 
with provisions on environmental management, particularly on water quality 
monitoring, conservation of natural resources, and community-based natural resource 
management.
Laguna de Bay is the largest inland body of water in the Philippines and the 
third largest lake in Southeast Asia covering about 900 square kilometers. The Lake 
Region straddles the country's most highly urbanized areas, including six provinces, 
twelve cities and 49 municipalities, 29 of which are lakeshore towns.
The lake is considered a major lifeline to many people and the local economy. 
Fisheries and croplands in the lakeshore towns provide food not only to the local 
population, but also contribute significantly to the food supply of Metropolitan Manila. 
It is also one of the water sources for at least two concessionaires for Metro Manila, 
providing at least 400 million liters of water per day. Aside from these, the lake serves 
as a reservoir for floodwater, is used for power generation, provides a venue for


recreational activities, provides water for irrigation, and serves as a source of industrial 
cooling water.
Laguna de Bay, however, is in critical and deplorable condition. It has been 
cited that 70% of the pollution in the lake comes from uncontrolled solid and iiquid 
wastes from domestic sources. Unlike industries which are point sources of wastes, 
domestic sources (also called non-point sources) are more difficult to regulate, much 
more control. If we are to continue receiving the biessings and precious gifts from the 
lake, and live in harmony with its ecology, it is imperative that we start a massive 
rehabilitation and conservation of the Laguna Lake at the soonest possible time.
The most urgent necessity is to have a body specially tasked to create and 
manage an overarching conservation policy. For this reason, this bill will be a decisive 
first step in a new direction of rational and people-centered conservation.
Eariy passage of this bill is earnestly sought.
RAMON TONG REVILLA, JR.
IK. I
(H


NINETEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
SENATE
s. No. j n 19
of tijf jji r, ftnrp
*22 DEC 14 P3:i7
RliCEIVED BV a
Introduced by SENATOR RAMON BONG REVILLA, JR.
AN ACT
CREATING THE LAGUNA LAKE CONSERVATION AUTHORITY (LLCA)f THEREBY 
REPEALING REPUBLIC ACT NO. 4850, AS AMENDED, OTHERWISE KNOWN AS 
THE LAGUNA LAKE DEVELOPMENT AUTHORITY ACT OF 1966, AND FOR OTHER 
PURPOSES
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled:
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Section 1. Short Tide. - This Act shall be known as the "Laguna Lake Conservation
2 
Act".'
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Sec. 2. Declaration of Policy. - It is hereby declared the policy of the State to
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conserve and promote Laguna Lake in a sustainable manner along with the surrounding
5 
areas that comprise its region, hereinafter referred to as the Bay Region, with Laguna
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Lake and the systematic management and protection of its water resource as the focal
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point.
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For this purpose, the State hereby adopts a participatory integrated water
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resources management (IWRM) approach to the interconnection and integration of its
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various ecosystems, using the Lake's watersheds as planning units, and involving the
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stakeholders in the planning and execution process.
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In accordance with the IWRM approach, and to allow the lake to realize its various
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potentials, including that of being a fish production resource of national importance, any
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development program in the region shall always consider the Precautionary Principle in


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protecting the health of the people, the sustainable management of the environment and
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the prevention of any ecological harm, resource deterioration or pollution.
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Sec. 3. Definition of Terms. - As used in this Act:
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1. Laguna Lake or Laguna de Bay- that area covered by the lake water when it
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is at the average annual maximum lake level of elevation 12.50 meters, as
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referred to a datum 10.00 meters below mean lower low water (M.L.L.W.) of
7 
Manila de Bay. Lands located at and below such elevation are public lands
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which form part of the bed of said lake.
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2. Integrated Water Resources Management (IWRM) - a process that promotes
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the coordinated conservation and management of water, land, and related
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resources in order to maximize the resultant economic and social welfare
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considerations in an equitable manner without compromising the sustainability
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of vital ecosystems.
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3. Watershed - the geographic area of land that drains water to a shared
15 
destination or to an area of land that drains down slope to the lowest point.
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The water moves through a network of drainage pathways, both underground
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and on the surface. Other terms used interchangeably with watershed include
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drainage basin or catchment basin.
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4. Environment- the physical factors of the total surroundings of human beings,
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including but not limited to, the lakes and other bodies of water, land, air,
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atmosphere, climate, sound, odor, plants, insects, animals, its biological and
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physical factors, all its life support systems and all other surrounding matters
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that affect directly or indirectly the existence of human life and other life forms
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in a specific area.
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5. Shoreiand/ Lakeshore areas / Buffer Zone - that part of the lake along the
26 
entire lakeshore lying at elevation 12.50 meters and below and alternately
27 
submerged or exposed by the annual or seasonal rising and lowering of the
28 
lake levels. This is a linear strip of land of approximately 14,000 hectares
29 
designed to separate the incompatible elements or uses or to control pollution


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or nuisance and for identifying and defining development areas or zones and 
areas for fisherfolk settlement.
6. Groundwater- subsurface water that occurs beneath a water table in soils and 
rocks, or in geological formations.
7. Aquaculture- fishery operations involving all forms of raising and culturing fish 
and other fishery species in fresh, brackish and marine water areas. Areas for 
aquaculture in Laguna Lake shall not exceed 6,000 hectares.
8. Aqua Structure - also refers to a fish pen, which is a structure enclosing a 
particular area in the lake which makes use of bamboos or anahaw poles 
surrounded by nets, fastened by a weight of sinkers embedded in the lake bed; 
and fish cage, which is an inverted mosquito net fastened to bamboos or such 
other structures used for culturing fishery/aquatic resources.
9. Effluent- means discharge from known sources which is passed into a body of 
water or land, or wastewater flowing out of a manufacturing plant, industrial 
plant including domestic, commercial and recreational facilities.
10. Municipal fisherfolk- persons who are directly or indirectly engaged in fishing 
and other fishery-related activities whose income from such activities do not 
exceed three thousand pesos (Php 3,000.00) a month.
11. Pollution - aw\/ alteration of the physical, chemical and biological properties of 
any water, air and land resources of the Philippines, or any discharge thereto 
of any liquid, gaseous or solid wastes as are likely to render such water, air 
and land resources harmful, detrimental or injurious to the public health, safety 
or welfare, or which will adversely affect their utilization for domestic, 
commercial, industrial, agricultural, recreational or other legitimate purposes.
12. Precautionary Principle - the principle stating that lack of full scientific 
certainty shall not be used as a reason for postponing cost-effective measures 
to prevent environmental degradation, where there are threats of serious or 
irreversible damage.
13. Conservation- an ethic of resource use, allocation, and protection which has 
as its primary focus the maintenance of the health and biological diversity of


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the natural world, such that management of the environment does not despoil,
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exhaust or extinguish,
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Sec. 4. Danger Zone/High Risk Areas. - Danger Zone/High Risk Areas are areas
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with a high level of threat to the lives and well-being of people that cannot be addressed
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through scientific, physical and engineering methods, and thus not suitable for settlement
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and permanent structures. Areas can only be declared as Danger Zone/High Risk Area
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after conducting proper technical study and public consultations with affected families.
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Sec. 5. Laguna Lake Region. — For the purposes of this Act, the Laguna Lake
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Region shall comprise the provinces of Laguna and Rizal; the cities of Calamba, Sta. Rosa,
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San Pablo, Pasay, Caloocan, Quezon, Manila, Makati, Mandaluyong, San Juan, Pasig,
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Marikina, Muntinlupa, Antipolo, Tagaytay, Tanauan, Taguig and Lipa; the towns of Silang,
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Carmona, Dasmarihas, and General Mariano Alvarez in Cavite Province; the towns of
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Mauban, Real, Lucban and Sampaloc in Quezon Province; the towns of Sto. Tomas and
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Malvar in Batangas; and the town of Pateros in Metro Manila and all areas that drain into
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the Laguna Lake: Provided, That any cities or towns that may be subsequently created
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in the future out of the aforementioned municipalities and cities surrounding Laguna Lake
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shall form part of the Laguna Lake Region.
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Sec. 6. User of Laguna Lake. - All fishery-related activities in Laguna Lake shall be
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utilized by municipal fisherfolk and their cooperatives/organizations who are listed as such
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in the Registry of Municipal Fisherfolk: Provided, That organized municipal fisherfolk shall
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have preferential rights in the utilization of Laguna Lake.
22 
Sec. 7. Fisherfoiks Settlement Site/Area. - The LLCA shall establish and create
23 
fisherfolk settlement areas, in coordination with concerned agencies of the government,
24 
where certain areas of the public domain, specifically near the fishing grounds, shall be
25 
reserved for the settlement of the municipal fisherfolk. Nothing in this section shall be
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construed to vest ownership of any resettlement area to a municipal fisherfolk for whom
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said areas may have been reserved for or had been actually granted to.
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The LLCA, in coordination with the Department of Agrarian Reform (DAR), DILG
29 
and other agencies concerned, shall establish a fisherfolk settlement area that shall be


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seen in the context of an integrated, holistic and self-reliant community to include
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alternative sources of income.
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Sec. 8. Laguna Lake Conservation Authority. - The Laguna Lake Conservation
4 
Authority (LLCA), is hereby created to replace the Laguna Lake Development Authority
5 
(LLDA). It shall pursue the conservation and management of the Bay Region and shall
6 
maintain its principal office at a convenient place within the Bay Region, and its branch
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offices in such places within the Bay Region as are necessary for the proper conduct of
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its business.
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Sec. 9. Powers and Functions. - The LLCA shall have the following powers and
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functions:
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1. Periodically conduct a comprehensive survey of the Bay Region, and monitor
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and update the same, on the basis of which it shall prepare a sustainable
13 
regional development master plan to be drawn up with accredited municipal
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fisherfolk organizations, other concerned government agencies, the private
15 
sector, as well as other stakeholders.
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Such survey includes, but is not limited to, a study of the Region's water supply,
17 
water quantity and quality in the Lake, as well as in all its major tributary rivers,
18 
the state of its watersheds, irrigation, transport route, reservoir of floodwater,
19 
hydroelectric, and other power potentials, scenic and tourist spots, and other
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physical and natural resource potentials, taking into account the socio-
21 
economic conditions prevailing in the area.
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All concerned public and private agencies shall provide the LLCA the necessary
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data for the purposes of the said survey;
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2. Develop a long-term conservation and management program of the Bay Region in
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consonance with a regional master plan, which shall be formulated in consultation with
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all stakeholders, concerned government agencies, local government units (LGUs), private
27 
and civil society in the Bay Region;
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3. Review all plans, projects, and programs that relate to the development of the Bay
29 
Region that are proposed and submitted by LGUs, public corporations, and private


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persons or corporations to ensure that they conform to the environmental standards
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prescribed by the LLCA and other environmental \a\NS and standards.
3 
The LLCA shall collect reasonable fees, as may be determined by the Board for
4 
the processing of such plans, programs or projects: Provided, That any future
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expansion of such plans, programs or projects shall be subjected to review and
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to payment of additional fees as may be determined by the LLCA Board;
7 
4. Implement infrastructure projects within the context of its conservation and
8 
management master plan, such as for flood control, irrigation, water supply, solid waste
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management, wastewater and sewage, roads, housing, including the readjustment,
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relocation or resettlement of the fisherfolk population within the 12.5-meter lakeshore
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area as may be deemed necessary and beneficial.
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Should any of these projects be financed wholly or in part by the LLCA, it shall
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have the authority to collect reasonable fees and tolls from users or
14 
beneficiaries to recover the costs of construction, operation and maintenance
15 
of the projects. For infrastructure projects that are in the nature of social
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overhead capital projects, the LLCA shall be entitled to receive the
17 
corresponding financial assistance from the government to be appropriated out
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of the funds of the national treasury not otherwise appropriated;
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5. Undertake massive information and education campaign among the stakeholders,
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in close coordination with the LGUs and other government agencies within the Laguna de
21 
Bay Region to promote better understanding of the importance of environmental
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protection and conservation of the Laguna Lake and its watersheds;
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6. Determine new areas of fishery development, taking into account the overall
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development plans and programs for Laguna Lake and related bodies of water, and
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promulgate rules and regulations governing fisheries development in the Bay Region.
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Accordingly, it shall engage in experimental or pilot fish production in Laguna Lake and
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other bodies of water within its jurisdiction, in collaboration with the Bureau of Fisheries
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and Aquatic Resources (BFAR). It shall improve present fishery techniques and practices
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to provide equitable access to the Lake's fishery resources for the socio-economic
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amelioration of small fisherfolk, the improvement of their communal fishing grounds, and


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sustainable aquaculture development and operation. In hiring laborers for fishery-related
2 
projects, there shall be preference for qualified shore land residents;
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7. Regulate the use of shore land areas by enjoining LGUs within the Bay Region to
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establish watershed management councils or wetlands whenever suitable and consistent
5 
with LLCA policies;
6 
8. Develop surface and groundwater supply sources for municipal, agricultural,
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commercial, and industrial use, in close coordination with the National Water Resources
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Board (NWRB) or Local Water Utilities Administration (LWUA), as the case may be,
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pursuant to existing laws, executive orders, and other issuances which may be necessary
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to accomplish the aims and purposes of the LLCA;
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9. Enter into agreements with LGUs, government agencies and corporations and the
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private sector for the supply, treatment, distribution and marketing of such water;
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10. Establish and enforce anti-pollution standards on municipal, agricultural,
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commercial and industrial wastewater and effluents being discharged into the lake in
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coordination with appropriate government agencies;
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11. Conduct a continuing research, development and extension program, in close
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coordination with the academe. Department of Environment and Natural Resources
18 
(DENR) and the Department of Science and Technology (DOST), on lake water quantity
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and quality, integrated watershed management, and enterprise development and
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management with the end in view of promoting sustainable development in the region;
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12. Adopt rules and regulations governing the approval of sewage works and
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industrial waste disposal system and the issuance of clearance and/or permits in
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accordance with the provisions of this Act where necessary; and inspect the construction
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and maintenance of sewage works and industrial waste disposal systems for compliance
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with the conditions of the clearance and/or permit;
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13. Require all projects or activities in or affecting the Laguna de Bay Region to secure
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Environmental Compliance Certificates (ECCs) as required under Presidential Decree No.
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1586, and grant clearance and/or permits for any projects or activities located within or
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affecting the Bay Region including, but not limited to, industrial and commercial activities,
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navigation, irrigation, power generation, housing, resettlement and other forms of land


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developments, construction and operation of aquastructures, aquaculture development,
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dredging or reclamation and similar or related activities, and to impose necessary
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safeguards for lake water quantity and quality control and management and to collect
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the necessary fees for said activities and projects;
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14. Issue, renew or deny permits subject to reasonable guidelines for the discharge
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of sewage, industrial waste, or for the installation or operation of sewage works and
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industrial disposal system or parts thereof for the prevention and abatement of pollution;
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and require subdivisions, condominiums, clinical and medical establishments, mortuaries,
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public buildings, other similar human settlements, to construct appropriate central
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sewerage system and sewage treatment works. The LLCA may impose reasonable fees
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and other similar charges for the issuance or renewal of all permits herein required;
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15. Issue orders or decisions to compel compliance with the provisions of this Act and
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its implementing rules and regulations only after proper notice and hearing;
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16. Make, issue, alter, or modify orders or decisions after notice and hearing, requiring
15 
the discontinuance of pollution specifying the conditions and the time within which such
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discontinuance must be accomplished;
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17. Revoke, suspend o modify any clearance and/or permit issued under this Act,
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after due notice and hearing, whenever the same is necessary to prevent or abate
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pollution;
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18. Deputize or request the assistance of appropriate government agencies or
21 
instrumentalities for the purpose of enforcing this Act and its implementing rules and
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regulations and the orders and decisions of the LLCA and LGUs;
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19. Inspect, and investigate and monitor conditions relating to pollution and
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existing or imminent environmental dangers; and to authorize a representative
25 
to enter any public and private property devoted to agricultural, commercial
26 
and industrial use for this purpose;
27 
20. Extract janitor fish and other harmful and invasive species that pose a
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danger to productivity of the lake and to small fisherfolk's livelihood; and
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21. Exercise and perform such other powers and functions as may be
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necessary to carry out the duties and responsibilities under this Act.
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Sec. 10. Corporate Powers. - The Authority has the following corporate powers:
1. Succeed in its corporate name;
2. Sue and be sued in its corporate name;
3. Adopt, alter and use a corporate seal;
4. Adopt, amend, or repeal its by-laws;
5. Enter into contracts to enable it to carry out its purposes and functions under 
this Act;
6. Acquire, buy, purchase, hold or lease such personal and real property as it may 
deem necessary in the transaction of its business or in relation to carrying out 
its purposes under this Act and to lease, mortgage, sell, alienate, or otherwise 
encumber, utilize, exploit, or dispose any such personal and real property held 
by it, subject to individual or communal right of private parties or of the 
government or any agency or enterprise thereof;
7. Exercise the right of eminent domain whenever the LLCA deems it necessary 
to achieve the objectives of this Act;
8. Borrow funds from any local or foreign sources independent of the bonds it 
may issue or may continue to issue to carry out the purposes of this Act;
9. Purchase, hold, alienate, pledge, or otherwise dispose of the shares of the 
capital stock of, or any bond, securities, or other evidence of indebtedness 
created by any other corporation, co-partnership, or government agencies or 
instrumentalities; and while the owner of said stock to exercise all the rights of 
ownership, including the right to vote thereon: Provided, That the LLCA shall 
not invest its funds in any high risk debt instruments issued without recourse 
to commercial banks or investment houses as well as in any highly speculative 
stocks;
10. Perform any and all acts which a corporation, co-partnership or juridical person 
is authorized to perform under the existing laws or which may be enacted 
hereafter;
11. Provide incentives to encourage the private sector to enforce conservation 
activities; and


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12. Issue such other rules and regulations as may be necessary from time to time
2 
to achieve the purposes of this Act, the same to take effect thirty (30) days
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after its publication in a newspaper of general circulation.
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Sec. 11. Board of Directors. - The LLCA shall be governed by a Board of Directors
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who shall be appointed by the President of the Philippines and shall be composed of the
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following:
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1. Secretary of the Environment and Natural Resources - Chairperson
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2. General Manager, LLCA - Vice Chairperson
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3. Governor, Province of Laguna
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4. Governor, Province of Rizal
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5. Secretary, Department of Agriculture
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6. Secretary, National Economic and Development Authority
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7. Secretary, Department of Public Works and Highways
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8. Chairman, Metro Manila Development Authority
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9. Representative of the Bay Region City and Municipal Mayors' Association to be
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constituted sixty (60) days from the passage of this Act from among the mayors
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of towns and cities that comprise the Bay Region as defined in Section 3 of this
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Act
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10. Representative of the Laguna Fisherfolk Federation
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11. Representative of the Rizal Fisherfolk Federation
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12. Representative of the NCR Fisherfolk Federation
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13. Representative of women fisherfolk federation
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The representatives of the Laguna fisherfolk, Rizal fisherfolk, and NCR fisherfolk
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shall be appointed by the President of the Philippines to be chosen from among the
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nominees recommended by the Laguna, Rizal and NCR Fisherfolk Coalition respectively,
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upon consultation with the concerned sector. The term of the appointive members shall
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be six (6) years without reappointment, or until their successors are duly appointed and
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qualified. Vacancy, other than through the expiration of the term, shall be filled for the
29 
unexpired term only.
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Ex-officio Cabinet members can designate alternate representatives to the Board,
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given the demands of their Cabinet-level position.
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Sec. 12. Powers and Functions. - The Board of Directors shall exercise the
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following powers and functions:
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1. Prescribe policies, rules and regulations to govern the conduct of business of
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the LLCA including the rules and procedures of the Authority;
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2. Upon the recommendation of the General Manager, to approve the LLCA's
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organizational and administrative structures and corresponding staffing pattern
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as may be deemed necessary; fix their reasonable compensation, allowances
10 
and other benefits; prescribe their duties and establish such methods and
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procedures as may be necessary to ensure the efficient, honest and economical
12 
administration of the provisions and purposes of this Act: Provided, however,
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That the personnel of the LLCA below the rank of Assistant General Manager
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shall be appointed by the LLCA General Manager, except those below the rank
15 
of Department Heads, and others of comparable rank, shall be subject to the
16 
confirmation by the Board: Provided, further, That the personnel of the LLCA
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shall be selected only from civil service eligibles and be subject to Civil Service
18 
rules and regulations;
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3. Upon the recommendation of the General Manager, to approve the annual and
20 
supplemental budget of receipts and expenditures of the LLCA, and to authorize
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such operating and capital expenditures and disbursements of the LLCA as may
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be necessary or proper for the effective management, operation and
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administration of the LLCA;
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4. Create and organize a Technical Advisory Council composed of representatives
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from both the government and non-government sectors as the Board may
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determine to assist and advise the Board in the conduct of public consultations
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with all Bay Region stakeholders towards a better considered formulation of
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LLCA plans and policies.
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5. Perform such other functions as may be necessary to carry out the provisions
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of this Act.
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Sec. 13. Board Meetings. - The Board shall meet at least once a month.
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Sec. 14. Per Diems and Aiiowances. - The members of the Board shall receive a
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per diem at a rate in accordance with existing rules and regulations: Provided, however,
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that the total per diem collected each month shall not exceed the equivalent per diem for
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four (4) meetings.
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Sec. 15. Generai Manager; Powers and Functions. - The General Manager shall be
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the Chief Executive Officer of the LLCA. As such, the General Manager shall have the
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following powers and functions:
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1. Submit for consideration of the Board policies and measures, which the General
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Manager believes to be necessary to carry out the purposes and objectives of
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this Act;
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2. Execute, administer, and implement the policies, plans, programs and projects
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approved by the Board;
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3. Manage and supervise the operation and administration of the LLCA;
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4. Appoint all officials and employees of LLCA below the rank of Assistant General
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Manager, remove, suspend or otherwise discipline them for cause, in
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accordance with existing Civil Service rules and regulations, and submit
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quarterly reports to the Board on personnel selection, placement and training;
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5. Render an annual report to the Board and various stakeholders regarding the
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operation of the LLCA including its latest financial statement;
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6. Represent the LLCA in all dealings with offices, agencies and instrumentalities
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of the government and all persons and other entities, public or private,
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domestic and foreign;
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7. Perform such other functions as may be provided in the By-Laws and as may
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be vested in the General Manager by the Board.
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Sec. 16. Qualifications of the Generai Manager. - The General Manager shall be a
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citizen and resident of the Philippines; have demonstrated executive competence and
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experience in the field of public administration, economic planning, environmental and
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natural resource management, or in the establishment and management of large
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agricultural, commercial or industrial enterprises. No person shall be nominated as
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General Manager unless the latter is of unquestioned integrity and competence.
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Sec. 17. Tenure of Office of the General Manager. - The General Manager shall be
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appointed by the President of the Philippines for a fixed term of six (6) years. In case of
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resignation, retirement, separation, transfer, re-assignment, removal and other cause of
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cessation from office, the replacement shall serve only for the unexpired portion of the
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term.
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Sec. 18. Compensation. - The General Manager shall receive compensation at
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rates in accordance with the Salary Standardization Law.
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Sec. 19. Management Structure. - In carrying out the activities of the LLCA, the
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General Manager shall be assisted by two Assistant General Managers (one for Operations
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and another for Administration) who shall have such powers, duties, and functions as the
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General Manager may prescribe and/or delegate and shall act as the General Manager in
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the absence of or during the temporary incapacity of and/or until such time as a new
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General Manager is duly appointed.
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The Authority shall have the following departments under the direct supervision
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and control of the General Manager:
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1. Corporate Legal Affairs Department which shall provide legal advice and
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support to all the corporate units on legal implications of the various
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undertakings of the Authority and divided into Litigation Division, and Research
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and Documentation Division.
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2. Administrative Department which shall be responsible for providing services
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relating to human resource management, records management, and general
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services.
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3. Finance Department which shall be responsible for revenue planning,
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generation and enhancement, assistance on budgetary and financial matters,
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and safekeeping of corporate assets.
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4. Policy Planning and Management Services Department which shall undertake
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policy research and development, and advise the General Manager on policy
30 
positions and public advocacy measures for approval of the Board.
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5. Integrated Water Resources Management Services Department'^Wich will serve
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as the main technical arm of the Authority and shall integrate the functions of
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Lake basin management and conservation. It shall oversee the management
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of the Laguna Lake and its river systems including the shorelands.
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6. Environmental Protection Department which will manage all the environmental
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regulatory functions of the Authority like clearance/permits and licensing,
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monitoring and surveillance, enforcement and adjudication and environmental
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quality compliance.
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The Board shall periodically review the appropriateness of the existing
10 
organizational structure and amend the same whenever it may deem necessary
11 
and beneficial to achieve the purposes of this Act and to be able to respond
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efficiently to LLCA's mandate as herein provided.
13 
Sec. 20. Annual Fees. - The LLCA is hereby authorized to collect annual fees for
14 
the use of the lake waters, its tributaries and shoreland areas for all beneficial purposes,
15 
including but not limited to, fisheries, aquaculture, municipal, agricultural, irrigation,
16 
commercial, industrial, hydroelectric generation and other power potential, transport and
17 
navigation, waste disposal purposes, recreation and dredging/reclamation from all private
18 
and public entities whether government or non-government agencies, among others. All
19 
the fees so collected shall be accordingly appropriated for the sustainable development
20 
of the lake and its watershed areas: Provided, That the fees collected for fisheries may
21 
be shared between the Authority and other government agencies and LCDs as follows:
22 
thirty-five percent (35%) of the fish pen fee goes to shore land LCDs, five percent (5%)
23 
goes to the Project Development Fund, and the remaining sixty percent (60%) shall be
24 
retained by LLCA: Provided, however, That the share of the LLCA shall form part of its
25 
corporate funds and shall not be remitted to the National Treasury as an exception to the
26 
provisions of Presidential Decree No. 1234.
27 
Sec. 21. Capitalization and Financing. - The LLCA shall have an authorized capital
28 
of One Billion Pesos (Php 1,000,000,000.00). The authorized capital stock shall be divided
29 
into Ten Million Pesos (10,000,000) shares of stock with a par value of One Hundred
30 
Pesos (Php 100.00) per share. The National Government shall subscribe to Six Million
14


1 
shares, the Province of Laguna to One Million shares, the Province of Rizal to One Miliion
2 
shares, and the balance of Two Million shares shall be open for subscription of other
3 
government agencies or LGUs and other private individuals or corporations within the Bay
4 
Region.
5 
The shares of stock of the LLDA shall be divided into;
6 
1. 7,000,000 common shares (voting); and
7 
2. 3,000,000 preferred shares (non-voting) with such fixed rates of return as shall
8 
be determined by the Board.
9 
Provided, however, That preferred shares shall enjoy preference with respect to
10 
distribution of dividends and assets in case of dissolution.
11 
Sec. 22. Appropriations. - The amount necessary to subscribe and pay for the
12 
remaining shares of the national government to the capital stock of the LLCA shall be
13 
included in the annual General Appropriations Act. For LGUs, the funds shall be taken
14 
from their internal revenue allotment and other local funds.
15 
Sec. 23. Domestic and Foreign Borrowing Authority. - The Administration shall
16 
have the authority to borrow money from all domestic and foreign loan sources whether
17 
government or private: Provided, That its loan outstanding both from domestic and
18 
foreign sources shall not exceed an aggregate ceiling of Nine Hundred Million U.S. Dollars
19 
(US$ 900,000,000.00): Provided, further. That all domestic and foreign borrowings of
20 
LLCA shall be approved by the Department of Finance (DOF), Bangko Sentral ng Pilipinas
21 
(BSP), and other entities as required by pertinent laws and regulations.
22 
Sec. 24. Authority to Contract Foreign Loan. - The Administration is hereby
23 
authorized to contract loans, credits, in any convertible foreign currency or capital goods,
24 
and to incur indebtedness from time to time with foreign governments, or any
25 
international financial institutions or fund sources, including supplier's credits or deferred
26 
payment arrangements, the total outstanding amount of which, excluding interests, shall
27 
not exceed its aggregate domestic and foreign borrowing authority of Nine Hundred
28 
Million US Dollars (US$ 900,000,000.00) or the equivalent thereof in other currencies, on
29 
terms and conditions promulgated by the Secretary of Finance and the Monetary Board
15


1 
for the accomplishment of its objectives; and to enter into and execute contracts and
2 
other documents specifying such terms and conditions.
3 
The President of the Philippines, or duly authorized representative, is hereby
4 
authorized to negotiate and contract with foreign governments or any international
5 
financial institution or fund sources in the name and on behalf of the administration, one
6 
or several loans, for the purpose of implementing the Administration's program for the
7 
promotion and development of local water utilities through the Administration's financing
8 
or lending operations.
9 
The President of the Philippines, or duly authorized representative, is hereby
10 
further authorized to guarantee, absolutely and unconditionally, as primary obligor and
11 
not as mere surety, in the name and on behalf of the Republic of the Philippines, the
12 
payments of the loans, credits, and indebtedness up to the amount herein authorized,
13 
over and above the amounts which the President of the Philippines, pursuant to loan
14 
agreements entered into with foreign governments or any international financing
15 
institution or fund sources.
16 
The loan credits and indebtedness contracted under this section shall be in accord
17 
with the provisions of Republic Act No. 4680, or the "Foreign Borrowing Act, as amended.
18 
The provisions of Section 123 of Republic Act No. 7653, otherwise known as the "New
19 
Central Bank Act'<, the provisions of Section 23 of Central Bank Circular No. 1389, as
20 
amended; Section 20, Article VII and Section 21, Article XII of the 1987 Constitution and
21 
other pertinent laws and regulations.
22 
Sec. 25. Creation ofLLCA Environmental Adjudication Panel. - For the purpose of
23 
effectively carrying out the quasi-judicial powers of the Authority within the Bay Region,
24 
the LLCA Environmental Adjudication Panel (LEAP) is hereby created composed of a
25 
Chairman and two (2) other members representing the Office of the General Manager,
26 
the Corporate Legal Affairs Department and the concerned department depending on the
27 
matter under controversy to be designated by the General Manager. The LEAP is hereby
28 
mandated to take cognizance and adjudicate violations of this Act including all existing
29 
and relevant laws, LLCA policies, rules and regulations. Any decision order or resolution
16


1 
must be concurred by the majority member of the panel and duly approved by the General
2 
Manager.
3 
The Corporate Legal Affairs Department shall serve as Secretariat of the LEAP.
4 
Sec. 26. Creation of a Lake Police Force. - The National Police Commission
5 
(NAPOLCOM) shall constitute and assign a special police force, to be known as the Laguna
6 
Lake Police, exclusively for the Bay Region, trained especially for enforcement of laws on
7 
fisheries and environmental laws and the rules and regulations duly promulgated by the
8 
LLCA.
9 
The extent of operational supervision and control by the LLCA General Manager
10 
over the Laguna Lake Police shall be the same as that of local chief executives over police
11 
force of LGUs, as defined in the Department of the Interior and Local Government Act of
12 
1990 (R.A. 6975), in relation to Sec. 73 of the Local Government Code of 1991 (R.A.
13 
7160). The LLCA Board, the LGUs and the leadership of the Philippine National Police
14 
(PNP) shall within sixty (60) days from the passage of this Act constitute a technical
15 
working group that will further delineate and define the nature and character of this unit
16 
in order to avoid any overlap and potential conflict with the LGU police units within the
17 
Bay Region.
18 
Sec. 27. Exemption from Tax. - The LLCA shall be exempt from:
19 
1. All taxes, licenses, fees, imposts, charges, costs, duties, incidental to its
20 
operations and service/filing fees in any court or administrative proceedings, in
21 
which it may be a party, restrictions and duties to the Republic of the
22 
Philippines, its provinces, cities, municipalities and other government agencies
23 
and instrumentalities; and
24 
2. All income taxes, franchise taxes and realty taxes to be paid to the National
25 
Government, its provinces, cities, municipalities, and other government
26 
agencies and instrumentalities.
27 
Sec. 27. Fines and Penalties. - The LLCA is authorized to impose administrative
28 
fines and other penalties it may deem reasonable and appropriate as determined and
29 
approved by the Board for non-compliance with permit conditions and for undertaking
30 
development activities without clearance/pemnit from the LLCA against any person.
17


1 
juridical or otherwise, within the Bay Region who may be found violating, or have in fact
2 
violated, any of its rules and regulations.
3 
Likewise, the LLCA is authorized to institute the necessary legal proceedings
4 
against those who shall commence to implement any development activities within the
5 
Bay Region not cleared or approved by the LLCA.
6 
Sec. 29. Damages. - Compensation for any damage to the shoreland, water and
7 
aquatic resources of Laguna Lake and its tributaries resulting from failure to meet
8 
established water and effluent quality standards or from such other wrongful act or
9 
omission of a person, private or public, juridical or otherwise, punishable under the law
10 
shall be awarded to the LLDA for water quantity/quality control and management
11 
projects.
12 
Sec. 30. Pena! and Civil Liability Clause. - Any person, natural or juridical, who
13 
shall violate any of the provisions of this Act or any rules and regulations promulgated by
14 
the Authority pursuant thereto shall be liable to imprisonment of not exceeding three (3)
15 
years or to a fine not less than Fifty thousand pesos (Php 50,000.00), or both, at the
16 
discretion of the court. This is without prejudice to the imposition of penalties as may be
17 
provided under existing and relevant laws, rules and regulations.
18 
If the violator is a corporation, partnership or association, the officer/officers of
19 
the organization concerned shall be held liable.
20 
The LLCA is hereby authorized to initiate, file, prosecute, and defend all suits,
21 
actions or to pursue separate civil actions for damages resulting from infractions of the
22 
provisions of this Act, rules or regulations issued pursuant thereto and/or conditions
23 
embodied in the clearances or permits issued by the Authority.
24 
Sec. 31. Auditor. - The Chairman of the Commission on Audit (COA) shall be the
25 
ex-officio Auditor of the LLCA. For this purpose, he may appoint a representative who
26 
shall be the Auditor of the LLCA, and the necessary personnel to assist said representative
27 
in the performance of his duties.
28 
The Chairman of the Commission on Audit or his authorized representative shall
29 
submit to the Board soon after the close of each calendar year, an audited statement
18


1 
showing the financial condition and progress of the LLCA for the calendar year just
2 
ended.
3 
Sec. 32. Implementing Rules and Regulations (IRR). - The LLCA, in coordination
4 
with the proper standing Committees of both the Senate and the House of
5 
Representatives, and other concerned agencies and fisherfolk federations shall
6 
promulgate the IRR for this Act, within one (1) year after its enactment: Provided, That
7 
the rules and regulations issued by other government agencies and instrumentalities for
8 
the prevention and/or abatement of water pollution not inconsistent with this Act shall
9 
supplement the rules and regulations issued by the LLCA pursuant to the provisions of
10 
this Act.
11 
Sec. 33. Repealing Clause. - Republic Act No. 4850 as amended. Presidential
12 
Decree No. 813, and Executive Order No. 927 and all laws, orders, issuance, rules and
13 
regulations inconsistent herewith are hereby repealed.
14 
Sec. 34. Separability Clause. - If any provision or part hereof is held invalid or
15 
unconstitutional, the remainder of the law or the provision or part not otherwise affected
16 
shall remain in full force and effect.
17 
Sec. 35. Effectivity. - This Act shall take effect fifteen (15) days after its complete
18 
publication either in the Official Gazette or in at least two (2) newspapers of general
19 
circulation in the Philippines.
Approved,
19