REPUBLIC OF THE PHILIPPINES
House of Representatives
Quezon City

16" Congress
3*¢ Regular Session

6187

HOUSE BILL NO.

Introduced by Congressman Alfredo D. Vargas III

EXPLANATORY NOTE

Independent films or alternative cinemas usually include short films,
documentaries, experimental or avant-garde films, and the like. Most of these films are
made without the capitalization, machinery and influence found in major films studios. This
form of filmmaking is outside the confines of commercial moviemaking.

In the Philippines, alternative cinema production is on the rise with 84% of locally-
made movies every year consisting of indie films}. Challenges remain, however. One
particular obstacle is the lack of funds for marketing. As such, most indie films rarely
become box office hits.

This bill seeks to motivate Filipino producers and directors to make quality
independent films by providing grants and full tax exemption to award-winning indie
movies.

To further empower the Philippine movie industry, the passage of this proposed
legislation is earnestly sought.

ALFREDO D. VARGAS III

* Enriquez, Amee. 2013. Indie films stake Philippine cinema claim, BBC News. Available from:

http://www.bbe.com/news/world-asia-24427927 [25 September 2015]


REPUBLIC OF THE PHILIPPINES
House of Representatives
Quezon City

16" Congress
34 Regular Session

6187

HOUSE BILL NO,

Introduced by Congressman Alfredo D. Vargas III

AN ACT
SUPPORTING THE PRODUCTION OF PHILIPPINE INDEPENDENT FILMS BY
PROVIDING INCENTIVES TO FILMMAKERS WHO ARE GIVEN HONORS IN NOTABLE
INTERNATIONAL FILM COMPETITIONS

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

SECTION 1. Short Title. - This Act shall be known as the “Philippine
Independent Film Incentives Act of 2015.”

SECTION 2. Declaration of Policy. ~ t is the policy of the State to promote and
support the development and growth of the local film industry, in general, and the
production of independent films, in particular. The State shall endeavour to discover,
encourage, and honor the cinematic works of Filipino filmmakers that boldly articulate
and freely interpret the Filipino experience with fresh insight and artistic integrity.

SECTION 3. Grants for Award-Winning Films, ~ To achieve this Law's purpose.
Philippine independent films that have been awarded the Best Film prize or its
equivalent including those that merited recognition for technical excellence in respected
international film competitions of cinema festivals shall be given the following
incentives;

SEC, 3.1, A grant of Five Million Pesos (Php5,000,000.00) to the film
production or entity that produces the award winning full-length feature or
documentary film;

SEC, 3.2. A grant of Three Million Pesos (Php3,000,000.00) to the film
production or entity that produces the award winning short feature or
documentary film;

SEC. 3.3. Full tax exemption relevant to the screening of the film and its
commercial exhibition, including those levied by local government film;


SEC. 3.4. The award winning film shall be considered and shall have the
honor of being given an automatic rating of an “A” film being granted by the
Cinema Evaluation Board.

SECTION 4. Bligibility for Grants. - To be eligible for a grant under Section3.1.,
films must be made by Filipino filmmakers who have not yet directed more the three (3)
full-length commercial feature films. The total production budget for the full-length
feature or documentary film should not exceed Three Million Pesos (php3,000,000.00)
The film length should be between 90 to 120 minutes.

To be eligible for a grant under Section 3.2,, the film must made by a Filipino
filmmaker. The total production budget for the short feature or documentary film
should not exceed One Million Pesos (Php1,000,000.00). The film length shall not be
more than 20minutes (no minimum length).

SECTION 5. Implementing Agency. - The National Commission for Culture and
the Arts (NCCA) is hereby authorized and directed to adopt a system to implement and
carry out the provisions of this Act. The NCCA shall, within sixty (60) days from
effectivity of this Act, promulgate rules and regulations to carry out and enforce the
provision of this Act.

SECTION 6. Appropriations, ~ A special fund amounting to Fifty Million Pesos
(Php50,000,000.00) which shall be sourced from the funds of the Philippine
Amusement and Gaming Corporation (PAGCOR) is hereby created. Other amounts as
may be necessary to carry out the provisions of this Act, are hereby authorized to be
appropriated from the National Treasury.

SECTION 7, Separability Clause. - If any provision or part hereof is held invalid
or unconstitutional, the remainder of the Act or the provision not otherwise affected
shall remain valid and subsiding.

SECTION 8. Repealing Clause. - Any law, presidential decree or issuance,
executive order, letter of instruction, administrative order, rule or regulation contrary
to or inconsistent with the provision of this Act, is hereby repealed, modified or
amended accordingly.

SECTION 9. Effectivity Clause. - This Act shall effect fifteen (15) days after its
publication in at least two (2) newspapers of general circulation

Approved,