Republic of the Philippines Lo
House Or REPRESENTATIVES \
Quezon City, Metro Manila

Sixteenth Congress
Third Regular Session

HOUSE BILL NO. 6317

Introduced by Honorable Rodel M. Batocabe

EXPLANATORY NOTE

This bill seeks to create two separate departments: the Department of
Environment and the Department of Natural Resources, define their respective
powers and functions and appropriate funds for their operation by reorganizing the
Department of Environment and Natural Resources.

Executive Order No. 192, issued by then President Corazon C. Aquino,
reorganized the Department of Environment, Energy, and Natural Resources and
created what is now the Department of Environment and Natural Resources
(DENR). The DENR is mandated to be the leading government agency responsible
for the conservation, management, development, and proper use of the country’s
environment and natural resources. The organizational outcome of DENR covers
two basic concerns: natural resources and environment. The natural resources
aspect refers to its management of sustainable development, protection of
vulnerable areas, conservation of natural heritage, and mitigation of natural
disasters. This mandate includes water resources management, soil conservation,
promotion and development of small and medium industries, direction and control
of energy resources development, and forest products research. The DENR is also
responsible for ensuring a healthier environment for the people through air and
water pollution abatement, monitoring and control, and effective waste management
anchored on the effective implementation of programs, projects and activities that
protect life support systems to nurture the well-being of society and sustain the
productive capacity of the environment.

Given the broad mandate, scope and responsibility that the DENR has to
comply with, it is only appropriate that its present structure be reorganized to cope
with the demands of time, prevailing environment conditions and to properly

Bill Drafting Service


implement policies and programs to address the challenges relating to our
environment and natural resources. This proposed bill intends to create a separate
Department of Environment which will be the primary government agency
responsible for developing and implementing national policies and programs to
protect and conserve the environment, including policies on climate change
adaptation and mitigation, and to promote and conserve heritage and biodiversity.

The bureaus, offices, attached agencies and other operating units of the
DENR which are related to the environmental concerns of the country are
transferred to the Department of Environment. Those bureaus, offices, attached
agencies and other operating units of the DENR which are mandated to manage the
sustainable development, protection of vulnerable areas, and mitigation of natural
disasters shall pertain to the Department of Natural Resources which will be
charged with the responsibility of overseeing the optimal utilization and the
programmed exploitation, extraction and replacement, whenever possible, of our
natural resources.

In view of the foregoing, approval of this bill gstly sought.

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RODEL M. BATOCABE


Republic of the Philippines Lo
House Or REPRESENTATIVES \
Quezon City, Metro Manila

Sixteenth Congress
Third Regular Session

HOUSE BILL NO. 6317

Introduced by Honorable Rodel M. Batocabe

EXPLANATORY NOTE

This bill seeks to create two separate departments: the Department of
Environment and the Department of Natural Resources, define their respective
powers and functions and appropriate funds for their operation by reorganizing the
Department of Environment and Natural Resources.

Executive Order No. 192, issued by then President Corazon C. Aquino,
reorganized the Department of Environment, Energy, and Natural Resources and
created what is now the Department of Environment and Natural Resources
(DENR). The DENR is mandated to be the leading government agency responsible
for the conservation, management, development, and proper use of the country’s
environment and natural resources. The organizational outcome of DENR covers
two basic concerns: natural resources and environment. The natural resources
aspect refers to its management of sustainable development, protection of
vulnerable areas, conservation of natural heritage, and mitigation of natural
disasters. This mandate includes water resources management, soil conservation,
promotion and development of small and medium industries, direction and control
of energy resources development, and forest products research. The DENR is also
responsible for ensuring a healthier environment for the people through air and
water pollution abatement, monitoring and control, and effective waste management
anchored on the effective implementation of programs, projects and activities that
protect life support systems to nurture the well-being of society and sustain the
productive capacity of the environment.

Given the broad mandate, scope and responsibility that the DENR has to
comply with, it is only appropriate that its present structure be reorganized to cope
with the demands of time, prevailing environment conditions and to properly

Bill Drafting Service


Republic of the Philippines
House Or REPRESENTATIVES
Quezon City, Metro Manila

Sixteenth Congress
Third Regular Session

House BILLNo,__ 8317

Introduced by Honorable Rodel M. Batocabe

AN ACT
REORGANIZING THE DEPARTMENT OF ENVIRONMENT AND
NATURAL RESOURCES TO CREATE THE DEPARTMENT OF
ENVIRONMENT AND THE DEPARTMENT OF NATURAL RESOURCES
AND APPROPRIATING FUNDS THEREFOR

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

CHAPTER I
GENERAL PROVISIONS

SECTION 1. Declaration of Policy. — It is the policy of the State to
ensure the protection and the enhancement of the quality of the environment and
the sustainable use, development, management, revitalization, and conservation of
the natural resources for the continued well-being of the present and future
generations. The State also recognizes that the protection and conservation of the
environment and the management of natural resources involve two equally
important aspects of the country presently being managed by only one executive
department and which could be more effectively carried out by two separate

departments. Towards this end, the Department of Environment and Natural
1

Bill Drafting Service


Republic of the Philippines
House Or REPRESENTATIVES
Quezon City, Metro Manila

Sixteenth Congress
Third Regular Session

House BILLNo,__ 8317

Introduced by Honorable Rodel M. Batocabe

AN ACT
REORGANIZING THE DEPARTMENT OF ENVIRONMENT AND
NATURAL RESOURCES TO CREATE THE DEPARTMENT OF
ENVIRONMENT AND THE DEPARTMENT OF NATURAL RESOURCES
AND APPROPRIATING FUNDS THEREFOR

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

CHAPTER I
GENERAL PROVISIONS

SECTION 1. Declaration of Policy. — It is the policy of the State to
ensure the protection and the enhancement of the quality of the environment and
the sustainable use, development, management, revitalization, and conservation of
the natural resources for the continued well-being of the present and future
generations. The State also recognizes that the protection and conservation of the
environment and the management of natural resources involve two equally
important aspects of the country presently being managed by only one executive
department and which could be more effectively carried out by two separate

departments. Towards this end, the Department of Environment and Natural
1

Bill Drafting Service


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Resources is hereby reorganized to create the Department of Environment which
is responsible for developing and implementing national policies and programs to
protect and conserve the environment, including policies on climate change
adaptation and mitigation, and to promote and conserve heritage and biodiversity,
and the Department of Natural Resources which shall continue to exercise the
responsibility of overseeing the optimal utilization and the programmed
exploration, exploitation and extraction, of the natural resources in the country.

SEC. 2. Reorganization. — The Department of Environment and
Natural Resources is hereby reorganized to create two distinct and separate
departments, namely: the Department of Environment and the Department of
Natural Resources.

CHAPTER IL
DEPARTMENT OF ENVIRONMENT

SEC. 3. Department of Environment. — The Department of
Environment shall be the primary government agency responsible for the
protection, conservation, and enhancement of the quality of the environment.

SEC. 4. Objectives. — The Department of Environment shall have the
following objectives:

a) Provide for the protection of the environment, especially those
aspects of the environment that are matters of national environmental significance,

including climate change adaptation and mitigation;


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b) Promote the conservation and ecologically sustainable use of
biodiversity;

c) Enhance the quality of the environment;

d) Provide for the protection and conservation of heritage; and

e) Promote a cooperative approach to the protection and management of
the environment between the government and the people.

SEC. 5. Powers and Functions. — The Department of Environment
shall have the following powers and functions:

a) Formulate policies for the planning and implementation of a
comprehensive program for the protection, conservation, and enhancement of the
quality of the environment;

b) Act as the lead department in presenting to the President, for
approval, plans and programs relating to environmental management, pollution
prevention and control, and the conservation and ecologically sustainable use of

biodiversit

c) Exercise supervision and control over all government activities
related to environmental management;

d) Develop and implement a research and development program to
address existing and potential environmental problems and issues;

e) Promote public information and education to encourage participation

of the people in environmental quality planning and monitoring;


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f) Assist and guide local government units in the development of their
institutional capacities to care for the environment and address environmental
risks;

g) Formulate such rules and regulations as may be necessary to
implement the objectives of this Act; and

h) Exercise such other powers as may be necessary or incidental to
attain the objectives of this Act.

SEC. 6. Composition. — The Department of Environment is composed
of the Office of the Secretary and the offices of the undersecretaries and assistant
secretaries, and the following bureaus, office and services: Environmental
Management Bureau, Ecosystems Research and Development Bureau,
Biodiversity Management Bureau, Climate Change Office and the Administrative
Support Services.

SEC. 7. Office of the Secretary. — The Office of the Secretary shall
consist of the Secretary and the immediate staff. The Secretary shall be appointed
by the President, subject to confirmation by the Commission on Appointments.

SEC. 8. Powers and Functions of the Secretary. — The Secretary shall
have the following powers and functions:

a) Establish policies and standards for the effective and economical
operations of the Department of Environment;

b) Exercise direct supervision and control over all functions and

activities of the Department of Environment, its officers and personnel;


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c) Coordinate all policies and programs relating to environmental
management;

d) Inform and advise the President on the activities, programs and plans
relating to environmental protection and conservation; and

©) Perform such other functions as may be necessary or proper to attain
the objectives of this Act.

SEC. 9. Undersecretaries. — The Secretary of Environment shall be
assisted by three (3) undersecretaries who shall be appointed by the President
upon the recommendation of the Secretary of Environment. They shall exercise
the powers and functions as provided under Section 10, Chapter 2, Book IV of the
Administrative Code of 1987.

SEC. 10. Assistant Secretaries. — The Secretary of Environment shall
also be assisted by three (3) assistant secretaries: one (1) for operations, one (1)
for policy and programs, and one (1) for administrative services. The assistant
secretaries shall be appointed by the President upon the recommendation of the
Secretary of Environment.

SEC. 11. Qualifications. — Any person who shall be appointed
Secretary, undersecretary or assistant secretary of the Department of Environment
must be (i) a citizen and resident of the Philippines, (ii) of good moral character,
(iii) with a minimum of ten (10) years experience in the administration of

environmental management programs in a public or private agency, and (iv) of


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proven integrity and competence in the fields of public administration, physical or
engineering sciences, management or law.

SEC. 12. Regional Offices. - The Secretary of Environment is
authorized to establish, operate, and maintain a regional office in each of the
administrative regions of the country. The regional office shall be headed by a
regional director, who may be assisted by one (1) assistant regional director. The
regional directors and assistant regional directors must be Career Executive
Service Officers.

The regional offices shall have, within their respective administrative
regions, the following functions:

a) Implement laws, policies, plans, programs, projects, rules and
regulations of the Department of Environment;

b) Provide efficient and effective service to the people;

c) Coordinate with regional offices of other departments, offices and
agencies;

4) — Coordinate with local government units; and

) Perform such other functions as may be provided by law or assigned
by the Secretary of Environment.

SEC. 13. Bureaus and Services; Powers and Functions. — The
Secretary of Environment is authorized to organize, restructure, and redefine the

functions of the bureaus and services of the Department of Environment, subject


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to the approval of the President, for the effective discharge of the powers and

functions of the Department of Environment under this Act.

a) The Environmental Management Bureau shall exercise the following

powers and functions:

1) Recommend possible legislations, policies and programs for
environmental management and pollution control;

2) Advise the regional offices in the efficient and effective
implementation of policies, programs, and projects for the effective and
efficient environmental management and pollution control;

3) Formulate environmental quality standards such as the quality
standards for water, air, land, noise and radiations for the prevention, control
of pollution and protection of the environment;

4) Recommend rules and regulations for environmental impact
assessments and provide technical assistance for their implementation and
monitoring;

5) Formulate rules and regulations for the proper disposition of
solid wastes, toxic and hazardous substances;

6) Advise the Secretary of Environment on the legal aspects of
environmental management and pollution control and assist in the conduct of
public hearings in pollution cases;

vm) Monitor compliance to existing laws and exercise direct

supervision over its central and regional offices in the discharge of staff and


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regulatory functions, and implementation of plans and programs including
the issuance of permits and clearances under Republic Act (RA) No. 8749,
otherwise known as the “Philippine Clean Air Act of 1999;” RA 9003, also
known as the “Ecological Solid Waste Management Act of 2000;” RA 9275,
also known as the “Philippine Clean Water Act of 2004;” RA 6969, also
known as the “Joxic Substances and Hazardous and Nuclear Wastes
Control Act of 1990;” and Presidential Decree No. 1586, entitled
“Establishing an Environmental Impact Statement System, Including Other
Environmental Management Related Measures and For Other Purposes;”

8) Provide assistance to the regional offices in the formulation
and dissemination of information on environmental and pollution matters to
the general public;

9) Assist the Secretary and the regional officers by providing
technical assistance in the implementation of environmental and pollution
laws and in the conduct of environmental research programs;

10) Develop and implement a research and development program
in support of the following:

i) Environmental and compliance monitoring; and

ii) Study of existing and potential environmental problems and
issues;

11) Provide secretariat assistance to the Pollution Adjudication

Board, created under Section 19 of Executive Order No. 192;


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12) Provide secretariat support to the National Solid Waste
Management Commission as provided for in Section 4 of RA 9003;

13) Implement a system for the recognition of environmental
laboratories;

14) Promote public information and education to encourage the
participation of an informed citizenry in environmental quality planning and
monitoring; and

15) Serve as focal point agency for international agreements or
commitments relating to the environment.

b) The Ecosystems Research and Development Bureau shall exercise the

following powers and functions:

1) Formulate and recommend integrated research programs
relating to Philippine ecosystems and natural resources;

2) _ Assist the Secretary of Environment in determining a system of
priorities for the allocation of resources to various technological programs
of the Department of Environment;

3) Generate technologies and provide scientific assistance in the
research and development of technologies relevant to sustainable use of
Philippine ecosystems and natural resources;

4) Provide technical assistance in the implementation and

monitoring of research programs;


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5) Coordinate all technological resources undertaken by all
regional research offices of the Department of Environment;

6) Assess and translate all recommendable findings into
understandable language and presentation and disseminate these findings to
all users and clientele; and

7) Assist the Secretary of Environment in the evaluation of the
effectiveness of the implementation of the integrated research program.

The Ecosystems Research and Development Bureau shall directly manage
and administer the Forest Research Institute offices, laboratories, and forest
experiment stations located at the University of the Philippines Los Bafios and
such other field laboratories as the Secretary of Environment may assign to its
direct supervision.

c) The Biodiversity Management Bureau shall exercise the following
powers and functions:

1) Formulate and implement policies and programs for the
preservation of biological diversity, genetic resources, the endangered
Philippine flora and fauna;

2) Establish and manage protected areas in accordance with RA
7586, otherwise known as the “National Integrated Protected Areas System
(NIPAS) Act of 1992,” such as wildlife sanctuaries and refuge, marine
parks, biospheric reserves, and national parks, including the Ninoy Aquino

Parks and Wildlife Center and the Hinulugang Taktak National Park;


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3) Prepare and maintain an up-to-date listing of endangered
Philippine flora and fauna and implement a program of conservation and
propagation of the same;

4) Promote and institutionalize ecotourism by providing and
implementing an integrated management plan for the development of
ecotourism in the country;

5) Assist the Secretary of Environment in the monitoring and
assessment of the management of the National Integrated Protected Areas
System and provide technical assistance to the regional offices in the
implementation of programs for these areas;

6) Manage coastal biodiversity and wetlands ecosystem;

7) Conserve caves and cave resources pursuant to RA 9072,
otherwise known as the “National Caves and Cave Resources Management
and Protection Act,” and

8) Negotiate biodiversity-related multilateral environmental
agreements and monitor national implementation.

d) The Climate Change Office shall serve as the coordinating mechanism
internally among the Department of Environment offices as well as externally,
with other national government agencies, non-government organizations and local
government units on matters related to climate change.

e) The Administrative Support Services is composed of the following

offices which shall exercise the following powers and functions:

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1) The Office of the Legal Counsel shall be responsible for
providing legal advice and services on all policies, programs, and
operational matters of the Department of Environment. It shall provide
legal counselling services in cases where the Department of Environment is
a party and shall also handle administrative cases against any personnel of
the Department of Environment and submit recommendations pertaining to
them.

2) The Financial and Management Services, which shall consist
of the Human Resources Management Division, General Services Division,
and the Financial Management Division, shall be responsible for providing
the Department of Environment with services relative to personnel
information, records, delivery and receipt of correspondence, supplies,
equipment, collection and disbursements, security, and custodial works. It
shall also be responsible for providing the Department of Environment with
staff advice and assistance on budgetary, financial, and management
improvement matters.

SEC. 14. Transfer of Other Government Agencies and Offices. — The
Pollution Adjudication Board, Climate Change Commission, Laguna Lake
Development Authority are hereby transferred to the Department of Environment
for policy and program coordination and administrative supervision. These

agencies shall continue to operate and perform their functions in accordance with


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the laws, executive orders, rules and regulations creating them subject to the
provisions of this Act.

The Pollution Adjudication Board created under Executive Order No. 192 is
composed of the Secretary of Environment as Chairperson, two (2)
Undersecretaries as may be designated by the Secretary of Environment, the
Director of Environmental Management, and three (3) others to be designated by
the Secretary of Environment as members. The Pollution Adjudication Board
shall be responsible for the adjudication of pollution cases under Republic Act No.
3931 and Presidential Decree No. 984, particularly with respect to Section 6,
paragraphs (e), (f), (g), @j). (Kk), and (p) thereof.

The Environmental Management Bureau shall serve as the Secretariat of the
Pollution Adjudication Board. The Pollution Adjudication Board may delegate its
powers and functions to the regional officers of the Department of Environment in
accordance with its rules and regulations.

SEC. 15. Structure and Staffing Pattern. - The organizational
framework and staffing pattern of the Department of Environment shall be
prescribed and approved by the Secretary of Environment within ninety (90) days
after the approval of this Act and the authorized positions created therein shall be
filled by regular appointments by the President or Secretary as the case may be. In
filling of positions created, preferences shall be given to the incumbent personnel
of the bureaus, divisions, services, and other operating units of the Department of

Environment and Natural Resources: Provided, That such individuals comply

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with the qualification standards set by the Civil Service Commission for the
positions that they shall be appointed to: Provided, however, That if such
individuals possess the same qualifications, seniority shall be given priority.
CHAPTER III
DEPARTMENT OF NATURAL RESOURCES

SEC. 16. Department of Natural Resources. — The Department of
Natural Resources shall be the primary government agency responsible for the
conservation, management, development and proper use of the natural resources,
specifically forest and grazing lands, mineral resources, including those in
reservation and watershed areas, and lands of the public domain, as well as the
licensing and regulation of all natural resources as may be provided for by law in
order to ensure equitable sharing of the benefits derived therefrom for the welfare
of the present and future generations of Filipinos.

SEC. 17. Objectives. — The Department of Natural Resources have the
following objectives:

a) Assure the availability and sustainability of the natural resources
through judicious use and systematic restoration or replacement, whenever
possible;

b) Increase the productivity of natural resources in order to meet the
demands for forest, mineral, and land resources of a growing population;

c) Enhance the contribution of natural resources for achieving national

economic and social development;


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d) Promote equitable access to natural resources by the different sectors
of the population;

) Conserve specific terrestrial and marine areas representative of the
Philippine natural and cultural heritage for present and future generations.

SEC.18. Powers and Functions. — The Department of Natural
Resources shall have the following powers and functions:

a) Advise the President on the passage of laws relative to the
development, use, regulation, and conservation of the natural resources;

b) Formulate, implement, and supervise the policies, plans and
programs of the government pertaining to the management, conservation,
development, use and replenishment of the natural resources;

c)  Promulgate rules and regulations in accordance with law governing
the exploration, development, conservation, extraction, disposition, use and such
other commercial activities tending to cause the depletion and degradation of our
natural resources;

d) Exercise supervision and control over forest lands, alienable and
disposable lands, and mineral resources and in the process of exercising such
control the Department of Natural Resources shall impose appropriate payments,
fees, charges, rentals and any such form of levy and collect such revenues for the

exploration, development, utilization or gathering of such resources;

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) Undertake exploration, assessment, classification and inventory of the
natural resources using ground surveys, remote sensing and complementary
technologies;

f) Promote proper and mutual consultation with the private sector
involving natural resources development, use and conservation;

2) Undertake geological surveys of the whole country including its
territorial waters;

h) _ Establish policies and implement programs for the:

1) Accelerated inventory, surveys and classification of lands,
forest, and mineral resources using appropriate technology, to be able to
come up with a more accurate assessment of resource quality and quantity;

2) Equitable distribution of natural resources through the
judicious administration, regulation, utilization, development and
conservation of public lands, forest and mineral resources, including
mineral reservation areas, that benefits a greater number of Filipinos;

3) Promotion, development and expansion of natural resource-
based industries; and

4) Encouragement of greater people participation and private
initiative in natural resource management.

i)  Promulgate rules and regulations necessary to:

1) Accelerate cadastral and emancipation patent surveys, land use

planning and public land titlin,

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2) Harness forest resources in a sustainable manner, to assist rural
development, support forest-based industries, and provide raw materials to
meet increasing demands, at the same time keeping adequate reserves for
environmental stability; and

3) _ Expedite mineral resources surveys, promote the production of
metallic and non-metallic minerals and encourage mineral marketing.

3) Regulate the development, disposition, extraction, exploration and
use of the country’s forest, land and mineral resources;

k) Assume responsibility for the assessment, development, protection,
conservation, licensing and regulation as provided for by law, where applicable, of
all natural resources; the regulation and monitoring of service contractors,
licensees, lessees, and permittees for the extraction, exploration, development and
utilization of natural resource products; the implementation of programs and
measures with the end in view of promoting close collaboration between the
government and the private sector; the effective and efficient classification and
sub-classification of lands of the public domain; and the enforcement of natural
resources laws, rules and regulations;

1) Promulgate rules, regulations and guidelines on the issuance of co-
production, joint venture or production sharing agreements, licenses, permits,
concessions, leases and such other privileges and arrangement concerning the
development, exploration and utilization of the natural resources and shall

continue to oversee, supervise and police our natural resources; to cancel or cause

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to cancel such privileges and arrangements upon failure, non-compliance or
violations of any regulations, orders, and for all other causes which are in
furtherance of the conservation of natural resources and supportive of the national
interests;

m) — Exercise exclusive jurisdiction on the management and disposition of
all lands of the public domain and shall continue to be the sole agency responsible
for classification, sub-classification, surveying and titling of lands in consultation
with appropriate agencies.

n) Implement measures for the regulation and supervision of the
processing of forest products, grading and inspection of lumber and other forest
products and monitoring of the movement of timber and other forest products; and

0) _ Exercise other powers and functions and perform such other acts as
may be necessary, proper or incidental to the attainment of its mandates and
objectives.

SEC. 19. Composition. — The Department of Natural Resources is
composed of the Office of the Secretary and the offices of the undersecretaries and
assistant secretaries, and the following bureaus, offices and services: Public
Affairs Office, Special Concems Office, Forest Management Bureau, Land
Management Bureau, and Mines and Geo-Sciences Bureau.

SEC. 20. Office of the Secretary. — The office of the Secretary shall
consist of the Secretary and the immediate staff. The secretary shall be appointed

by the President, subject to the confirmation of the Commission on Appointments.

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SEC. 21. Powers and Functions of the Secretary. — The Secretary shall
exercise the following powers and functions:

a) Advise the President on the promulgation of rules, regulations and
other issuances relative to the conservation, management, development, and
proper use of the natural resources;

b) Establish policies and standards for the efficient and effective
operations of the Department of Natural Resources in accordance with the
programs of the government;

c)  Promulgate rules, regulations and other issuances necessary in
carrying out the mandate, objectives, policies, plans, programs and projects of the
Department of Natural Resources;

d) Exercise supervision over all functions and activities of the
Department of Natural Resources;

) Delegate authority for the performance of any administrative or
substantive function to subordinate officials of the Department of Natural
Resources; and

f) Perform other functions as may be provided by law or assigned
appropriately by the President.

SEC.22.  Undersecretaries. — The Secretary of Natural Resources shall
be assisted by five (5) undersecretaries who shall be appointed by the President

upon the recommendation of the Secretary of Natural Resources. They shall


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exercise the powers and functions as provided under Section 10, Chapter 2, Book
TV of the Administrative Code of 1987.

SEC. 23. Assistant Secretaries. - The Secretary of Natural Resources
shall be assisted by seven (7) assistant secretaries who shall be respectively
responsible for the following:

a) Policy and Planning Studies;

b) Foreign-Assisted and Special Projects;

c) Field Operations in Luzon;

d) Field Operations in Visayas;

€) Field Operations in Mindanao;

f) Legal Affairs; and

g) Management Services.

The assistant secretaries shall be appointed by the President upon the
recommendation of the Secretary of Natural Resources.

SEC. 24. Qualifications. - Any person who shall be appointed
Secretary, undersecretary or assistant secretary of the Department of Natural
Resources must be (i) a citizen and resident of the Philippines, (ii) of good moral
character, (iii) with a minimum of ten (10) years experience in the administration
of natural resources management programs in a public or private agency, and (iv)
of proven integrity and competence in the fields of public administration, physical

or engineering sciences, management or law.

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SEC. 25. Regional Offices. - The Secretary of Natural Resources is
authorized to establish, operate or maintain a regional office in each of the
administrative regions of the country. The regional office shall be headed by a
regional director, who may be assisted by three (3) assistant regional directors,
each for Forestry, Land Management and Mines and Geo-Sciences. The Regional
Executive Directors and Regional Technical Directors must be Career Executive
Service Officers.

The regional offices shall have, within their respective administrative
regions, the following functions:

a) Implement laws, policies, plans, programs, projects, rules and
regulations of the Department of Natural Resources to promote the sustainability
and productivity of natural resources, and social equity in natural resource
utilization;

b) Provide efficient and effective delivery of services to the people;

c) Coordinate with regional offices of other departments, offices,
agencies in the region and local government units in the enforcement of natural
resource conservation laws and regulations, and in the formulation and
implementation of natural resources programs and projects;

d) Recommend and, upon approval, implement programs and projects

on forestry, minerals, and land management and disposition;

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) Conduct comprehensive inventory of natural resources in the region
and formulate regional short and long-term development plans for the
conservation, utilization and replacement of natural resources;

f) Evolve respective regional budget in conformity with the priorities
established by the Regional Development Councils;

g) Supervise the processing of natural resources products, grade and
inspect minerals, lumber and other wood processed products, and monitor the
movement of these products;

h) Conduct field researches for appropriate technologies recommended
for various projects; and

i) Perform other functions as may be assigned by the Secretary or
provided by law.

The provincial and community offices of the Department of Natural
Resources shall be headed by a provincial natural resource officer and community
natural resource officer, respectively.

SEC. 26. Bureaus and Services; Powers and Functions. — The Secretary of
Natural Resources is authorized to organize, restructure and redefine the functions
of the bureaus and services of the Department of Natural Resources, subject to the
approval of the President, for the effective discharge of the powers and functions
of the Department of Natural Resources under this Act.

a) The Mines and Geosciences Bureau shall consist of different

divisions which shall exercise the following powers and functions:

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1) Mining Environment and Safety Division — Provide scientific
and technological foundations in establishing environmental standards,
guidelines and procedures for mining operations, including small-scale
mining, in particular mine rehabilitation and mine-related pollution
thresholds; undertakes mine environmental audit and research; develop
strategies for a comprehensive environmental protection program for
mining operations; promotes the adoption of best practice in mining
environmental management, undertakes mine safety and health audit and
coordinate the national program on safety and health in mining operations;
and provide technical support services to the Regional offices, other
government agencies, mining contractors, permittees, permit holders and
the general public;

2) Land Geological Survey Division — Formulate, develop and
coordinate the adoption and implementation of national geological mapping
programs, field survey and laboratory research technologies and
geostandards and georeference materials; conduct specialized researches in
geology, petrology, ore genesis mineralogy, paleontology, strategiraphy and
other related scientific disciplines, including the conduct of
hydrogeological, geohazards and geoenvironmental site assessments;
operate and maintain a geographic information system (GIS)-based

geoinformation and remote sensing facilities for geological applications;

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and provide technical support services to the Regional offices, other
government agencies, mining contractors, permittees and the general public;

3) Marine Geological Survey Division — Conduct marine and
coastal geological and geophysical survey and promote marine mineral
resources and geo-sciences development; operate and maintain the Bureau’s
marine vessel; and provide technical support services to the Regional
offices, other government agencies and mining contractors and permittees
in connection with marine and coastal geological surveys;

4) Mining Technology Division — Document and develop
database systems on mine planning and design, exploration drilling and
mine feasibility evaluation in support of mining technology development
standards, guidelines, procedures in mine feasibility evaluation; conduct
laboratory researches, in particular rock mechanics and safety of personal
protective equipment pertinent to ground stability and safety of mine
personnel; and provide and coordinate on a national level technical support
services to Regional offices, mining contractors and permittees in the fields
of mine feasibility evaluation and lab research;

5) | Mining Tenements Management Division — Undertake final
evaluation or review of all mining rights applications forwarded by the
Regional offices; perform systems audit in the administration of operation

of mining contractors and permittees, and manage the Mineral Rights

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Management System as mandated under RA 7942, otherwise known as the
“Philippine Mining Act of 1995;”

6) Metallurgical Technology Division — Develop metallurgical
processes of extracting minerals from ores; provide and coordinate on a
national level metallurgical and analytical services to Regional offices,
mining contractors, permittees and the general public; undertakes
metallurgical batch tests for the technical and economic feasibility of
mineral extraction from ores, including pilot testing and flowsheet
preparation; conduct analysis of metallurgical products and develop
substitute analytical procedures and chemical reagents; and operate and
maintain metallurgical and chemical laboratories, including part fabrication
and modification;

7) Mineral Economics, Information and Publications Division —
Develop strategies for mining investment promotions; formulate policies on
mineral economics; undertake statistical functions relating to mineral
production and other related mineral statistical data, including micro-
forecasting and trend analysis; undertake macro-forecasting of mining
industry trends; and establish benchmarks in mining economics, including
the conduct of socio-economic surveys. It shall also take charge of the
information, communication and education campaign of the Bureau, the
publication of the Mineral Gazette as mandated by RA 7942; operate and

maintain the national Mineral Resources Database System as mandated also

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by RA 7942; and undertake information technology functions for systems

development in support of information, communication and education

campaigns and publication functions; and

7) Planning and Policy Division — Undertake planning,
programming and monitoring and evaluation of programs, projects and
activities; coordinate and assist in the formulation of policies, plans and
programs for both central and regional operations; and take charge of
project development in coordination with the various divisions of the

Central and Regional offices.

b) The Forest Management Bureau shall exercise the following powers
and functions:

1) Recommend policies and programs for the effective _ protection,
development, occupancy, management and conservation of forest lands,
watersheds, including grazing and mangrove areas, reforestation and
rehabilitation of critically denuded or degraded forest _ reservations,
improvement of water resource use and development, —_ancestral_‘tands,
wildemess areas and other natural reserves, development of forest _ plantations,
including rattan, bamboo and other valuable non-timber forest resources,
rationalization of the wood-based industries, regulation of utilization and
exploitation of __ forest resources including wildlife, to ensure continued.

supply of forest goods and services;

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2) Advise the regional offices in the implementation of the above
policies and programs;

3) Develop plans, programs, operating standards and administrative
measures to promote the Bureau’s objectives and functions;

4) Assist in the monitoring and evaluation of forestry and watershed
development projects to ensure efficiency and effectiveness; and

5) Undertake studies on the economics of forest-based industries,
including the supply and demand trends on the local, national and international
levels, identifying investment problems and opportunities in various areas.

) The Land Management Bureau shall exercise the following powers
and functions:

1) Recommend policies and programs for the efficient and _ effective
administration, surveys, management and disposition of alienable and
disposable lands of the public domain and other lands outside _the
responsibilities of other government agencies such as reclaimed areas and
other areas not needed for or are. —-not_-being utilized for the purposes for
which they have _ been established;

2) Advise the regional offices on the efficient and effective
implementation of policies, programs and projects for more effective public
lands management;

3) Assist in the monitoring and evaluation of land surveys, management

and disposition of lands to ensure __ efficiency and effectiveness thereof;

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4) Issue standards, guidelines, regulations and orders to enforce
policies for the maximization of land use and development;

5) Develop operating standards and procedures to enhance the
Bureau’s objectives and functions;

6) Assist the Secretary as Executive Officer charged with carrying out
the provisions of Commonwealth Act No. 141, as amended, otherwise known as
“The Public Land Act,” who shall have direct executive control of the survey,
classification, lease, sale or any other forms of concessions or disposition and
management of the lands of the public domain; and

7) Perform other functions as may be assigned by the Secretary or
provided by law.

d) The Administrative Support Services is composed of the following
offices which shall exercise the following powers and functions:

1) | The Office of the Legal Counsel shall be responsible for
providing legal advice and services on all policies, programs, and
operational matters of the Department of Natural Resources. It shall
provide legal counselling services in cases where the Department of Natural
Resources is a party and shall also handle administrative cases against any
personnel of the Department of Natural Resources and submit
recommendations pertaining to them.

2) The Financial and Management Services, which shall consist

of the Human Resources Management Division, General Services Division,

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and the Financial Management Division, shall be responsible for providing

the Department of Natural Resources with services relative to personnel

information, records, delivery and receipt of correspondence, supplies,
equipment, collection and disbursements, security, and custodial works. It
shall also be responsible for providing the Department of Natural

Resources with staff advice and assistance on budgetary, financial, and

management improvement matters.

SEC.27. Attached Agencies and Corporations. — The following agencies
and corporations are attached to the Department of Natural Resources for policy
and program coordination, and shall continue to operate and function in
accordance with the charters, laws or orders creating them, insofar as they are not
inconsistent with this Act:

a) National Mapping and Resource Information Authority;

b) Natural Resources Development Corporation;

c) National Electrification Administration;

4) Philippine Forest Corporation;

) Philippine Mining Development Corporation:

f) Philippine Reclamation Authority; and

g) Palawan Council for Sustainable Development.

SEC.28. Structure and Staffing Pattern. — The organizational
framework and staffing pattern of the Department of Natural Resources shall be

prescribed and approved by the Secretary of Natural Resources within ninety (90)

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days after the approval of this Act and the authorized positions created therein
shall be filled by regular appointments by the President or Secretary as the case
may be. In filling of positions created, preferences shall be given to the incumbent
personnel of the bureaus, divisions, services, and other operating units of the
Department of Environment and Natural Resources: Provided, That such
individuals comply with the qualification standards set by the Civil Service
Commission for the positions that they shall be appointed to: Provided, however,
That if such individuals possess the same qualifications, seniority shall be given
priority.
CHAPTER IV
TRANSITORY PROVISIONS

SEC.29. Transfer of Existing Bureaus, Agencies, Offices and
Personnel. — The following provisions shall be complied with in the transfer of
bureaus, offices, agencies and personnel as a result of the creation of the
Department of Environment and the Department of Natural Resources:

a) The existing bureaus, agencies, offices and other operating units of
the Department of Environment and Natural Resources with functions and
responsibilities relating to environmental concerns, as provided in Chapter II of
this Act, are transferred to the Department of Environment while those with
functions and responsibilities relating to the management of natural resources, as
provided in Chapter III of this Act, are transferred to the Department of Natural
Resources;

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b) ‘The transfer of the existing bureaus, offices, agencies and other
operating units of the Department of Environment and Natural Resources to the
Department of Environment and the Department of Natural Resources,
respectively, shall include all applicable funds, appropriations, records,
equipment, property and the necessary personnel. Their liabilities, if any, shall be
acted upon in accordance with pertinent auditing laws, rules and regulations:

c) All personnel of the Department of Environment and Natural
Resources shall continue in hold-over capacity until such time as the new
organizational framework and staffing pattern of the Department of Environment
and the Department of Natural Resources, respectively, have been prescribed and
approved by their duly appointed Secretaries and the new officers and employees
shall have been appointed pursuant to the provisions of this Act; and

d) The law, rules and regulations as provided for in Republic Act No.
6656, entitled “An Act to Protect the Security of Tenure of Civil Service Officers
and Employees in the Implementation of Government Reorganization,” shall
govern the reorganization of the Department of Environment and Natural
Resources.

SEC. 30. Separation from the Service. — Incumbent personnel of the
Department of Environment and Natural Resources whose positions are excluded
in the approved organizational framework and staffing pattern of the Department
of Environment and the Department of Natural Resources or who are not

reappointed shall be separated from the service. Employees separated from the

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service as a result of the reorganization shall, within six (6) months from their
separation from the service, receive the benefits to which they may be entitled
under existing laws, rules, and regulations.
CHAPTER V
MISCELLANEOUS PROVISIONS

SEC. 31. Notice or Consent Requirement. — If any reorganizational
change herein authorized is of such substance or materiality as to prejudice third
persons with rights recognized by law or contract such that notice to or consent of
creditors is required to be made or obtained pursuant to any agreement entered
into with any of such creditors, such notice or consent requirement shall be
complied with prior to the implementation of such reorganizational change.

SEC. 32. Prohibition Against Structural Changes. — No change in the

reorganization herein prescribed shall be valid except upon prior approval of the

President for the purpose of promoting efficiency and effectiveness in the delivery
of public services.

SEC. 33. Benefits Under Magna Carta. — Qualified employees of the
Department of Environment and the Department of Natural Resources and their
attached agencies are included in the coverage of Republic Act No. 8439,
otherwise known as the “Magna Carta for Scientists, Engineers, Researchers and
other S & T Personnel in the Government,” and may avail of the benefits provided

therein.

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SEC.34. Periodic Performance Evaluation, — The Secretary of
Environment and the Secretary of Natural Resources are hereby required to
formulate and enforce a system of measuring and evaluating periodically and
objectively the performance of their respective departments and submit the same
annually to the President.

SEC. 35. Implementing Rules and Regulations. — Within sixty (60)
days after the effectivity of this Act, the duly appointed Secretary of Environment
and Secretary of Natural Resources shall issue such orders, rules and regulations
and other issuances as may be necessary to ensure the effective implementation of
the provisions of this Act. They shall also promulgate the necessary
administrative orders that will provide the implementing details of the provisions
of this Act relating to their respective departments and be responsible for carrying
into immediate effect the intents and purposes of this Act.

SEC. 36. Appropriations. — Such sum as may be necessary to initially
implement this Act with regard the reorganization of the Department of
Environment and Natural Resources into two new departments, the Department of
Environment and the Department of Natural Resources, shall be taken from any
available funds of the National Treasury and such amounts as the President of the
Philippines may allocate from other sources in accordance with laws which shall
not exceed Five Hundred Million Pesos (P500,000,000.00). The existing bureaus,
offices and agencies transferred to the Department of Environment and the

Department of Natural Resources shall continue to operate using current fiscal

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year appropriations. Thereafter, the amount necessary for the operation and
maintenance of the Department of Environment and the Department of Natural
Resources shall be included in the annual General Appropriations Act.

SEC. 37.  Separability Clause. — If any provision or part of this Act is
declared invalid or unconstitutional, the remaining parts or provisions not affected
shall remain in full force and effect.

SEC. 38. Repealing Clause. — All laws, decrees, executive orders, rules
and regulations and other issuances, or parts thereof, inconsistent with the
provisions of this Act, are hereby repealed, amended or modified accordingly.

SEC. 39. Effectivity. - This Act shall take effect fifteen (15) days after
its publication in the Official Gazette ot in a newspaper of general circulation.

Approved,

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