32
Vol. 3 Monday, January 24, 2011 No. 49 Congressional Record PLENARY PROCEEDINGS OF THE 15th CONGRESS, FIRST REGULAR SESSION HOUSE OF REPRESENTATIVES CALL TO ORDER At 4:00 p.m., Speaker Feliciano Belmonte Jr. called the session to order. THE SPEAKER. The session is now called to order. NATIONAL ANTHEM THE SPEAKER. Everybody will please rise for the singing of the Philippine National Anthem. Everybody rose to sing the Philippine National Anthem. PRAYER THE SPEAKER. Let us remain standing for a minute of silent prayer. Everybody remained standing for the silent prayer. THE SPEAKER. Thank you. The Dep. Majority Leader is recognized. SUSPENSION OF SESSION REP. BINAY. Mr. Speaker, I move that we suspend the session for a few minutes. THE SPEAKER. The session is suspended. It was 4:02 p.m RESUMPTION OF SESSION At 4:19 p.m., the session was resumed with Deputy Speaker Lorenzo R. Tañada III presiding. THE DEPUTY SPEAKER (Rep. Tañada). The session is resumed. The Floor Leader is recognized. REP. TUGNA. Mr. Speaker, we would like to acknowledge the presence of some guests of our colleague, the honorable Rep. David L. Kho of the Senior Citizens Party-List, the members of the Lifeline Foundation Support Team, Inc., namely: Arlene Diaz, Marissa Recto, Betty Romero, Alvin Diaz, Robert Mesa, Raffy Jamolangue, Judy Jamolangue, Genaro Antinero, Jill Monasterio, Dorothy Alforque and Happy del Rosario. (Applause) THE DEPUTY SPEAKER (Rep. Tañada). Welcome to the House of Representatives. The Floor Leader is recognized. REP. TUGNA. Mr. Speaker, we would also like to acknowledge the presence of the guests of the Hon. Mark Aeron H. Sambar from the Party-List Puwersa ng Bayaning Atleta (PBA). They are Councilor Ma. Charo L. Dichose of Sorsogon City and former Vice-Mayor Melvin Laminero of Famy, Laguna. THE DEPUTY SPEAKER (Rep. Tañada). Please rise. Welcome to the House of Representatives. (Applause) The Floor Leader is recognized. REP. TUGNA. Mr. Speaker, we would also like to acknowledge the presence of the guests of the honorable Congressman Ronald M. Cosalan, namely: Purita Saley, Virginia Fianza, Magdaline Nabus, Nelly Bansi-il, Nenita Buya, Rosa Pangos, Esperanza Tanas, Ana Felix, Rosa Cayad-an, Asuncion Yadno, Ursula Bobila, Filomena Pagedped, Maria Aplasen, Maria Tecne, Julia Aglaptin, Norma Pasi, Glory Guzman, Basilia Pis-oyen, Raymund Marino, Arthur A. Pedro and Avelino E. Suligan. THE DEPUTY SPEAKER (Rep. Tañada). Please rise. Welcome to the House of Representatives. (Applause) The Floor Leader is recognized. REP. TUGNA. Mr. Speaker, we would also like to acknowledge the presence of the guests of the Hon. Salvio B. Fortuno from the Fifth District of Camarines Sur: the members of the Association of Political Students of University of Nueva Caceres and Mr. Pol Maleniza, NYC Executive Director. (Applause) THE DEPUTY SPEAKER (Rep. Tañada). Please rise. Welcome to the House of Representatives. (Applause) The Floor Leader is recognized. REP. TUGNA. Mr. Speaker, we would also like to acknowledge the presence of the guests of the Hon. Rodante D. Marcoleta: the administrators of Pangasinan State University, Bayambang, Pangasinan, namely, Lita A. Saygo, Eufrosina L. Zaragoza, Myrna P. Miguel, Annie C.

2009 MAY 12congress.gov.ph/legisdocs/congrec/15th/1st/15C_1RS-49...2 MONDAY, JANUARY 24, 2011 Manalang, Raquel G. Larang and Francisco Zaragoza; and from the Bayambang District Hospital,

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Page 1: 2009 MAY 12congress.gov.ph/legisdocs/congrec/15th/1st/15C_1RS-49...2 MONDAY, JANUARY 24, 2011 Manalang, Raquel G. Larang and Francisco Zaragoza; and from the Bayambang District Hospital,

Vol. 3 Monday, January 24, 2011 No. 49

Congressional RecordPLENARY PROCEEDINGS OF THE 15th CONGRESS, FIRST REGULAR SESSION

HOUSE OF REPRESENTATIVES

CALL TO ORDER

At 4:00 p.m., Speaker Feliciano Belmonte Jr. called thesession to order.

THE SPEAKER. The session is now called to order.

NATIONAL ANTHEM

THE SPEAKER. Everybody will please rise for thesinging of the Philippine National Anthem.

Everybody rose to sing the Philippine National Anthem.

PRAYER

THE SPEAKER. Let us remain standing for a minute ofsilent prayer.

Everybody remained standing for the silent prayer.

THE SPEAKER. Thank you.The Dep. Majority Leader is recognized.

SUSPENSION OF SESSION

REP. BINAY. Mr. Speaker, I move that we suspend thesession for a few minutes.

THE SPEAKER. The session is suspended.

It was 4:02 p.m

RESUMPTION OF SESSION

At 4:19 p.m., the session was resumed with DeputySpeaker Lorenzo R. Tañada III presiding.

THE DEPUTY SPEAKER (Rep. Tañada). The session isresumed.

The Floor Leader is recognized.

REP. TUGNA. Mr. Speaker, we would like toacknowledge the presence of some guests of ourcolleague, the honorable Rep. David L. Kho of the SeniorCitizens Party-List, the members of the LifelineFoundation Support Team, Inc., namely: Arlene Diaz,Marissa Recto, Betty Romero, Alvin Diaz, Robert Mesa,Raffy Jamolangue, Judy Jamolangue, Genaro Antinero,

Jill Monasterio, Dorothy Alforque and Happy del Rosario.(Applause)

THE DEPUTY SPEAKER (Rep. Tañada). Welcome tothe House of Representatives.

The Floor Leader is recognized.

REP. TUGNA. Mr. Speaker, we would also like toacknowledge the presence of the guests of the Hon. MarkAeron H. Sambar from the Party-List Puwersa ng BayaningAtleta (PBA). They are Councilor Ma. Charo L. Dichose ofSorsogon City and former Vice-Mayor Melvin Laminero ofFamy, Laguna.

THE DEPUTY SPEAKER (Rep. Tañada). Please rise.Welcome to the House of Representatives. (Applause)

The Floor Leader is recognized.

REP. TUGNA. Mr. Speaker, we would also like toacknowledge the presence of the guests of the honorableCongressman Ronald M. Cosalan, namely: Purita Saley,Virginia Fianza, Magdaline Nabus, Nelly Bansi-il,Nenita Buya, Rosa Pangos, Esperanza Tanas, Ana Felix,Rosa Cayad-an, Asuncion Yadno, Ursula Bobila,Filomena Pagedped, Maria Aplasen, Maria Tecne, JuliaAglaptin, Norma Pasi, Glory Guzman, Basilia Pis-oyen,Raymund Marino, Arthur A. Pedro and Avelino E.Suligan.

THE DEPUTY SPEAKER (Rep. Tañada). Please rise.Welcome to the House of Representatives. (Applause)

The Floor Leader is recognized.

REP. TUGNA. Mr. Speaker, we would also like toacknowledge the presence of the guests of the Hon. Salvio B.Fortuno from the Fifth District of Camarines Sur: the membersof the Association of Political Students of University of NuevaCaceres and Mr. Pol Maleniza, NYC Executive Director.(Applause)

THE DEPUTY SPEAKER (Rep. Tañada). Please rise.Welcome to the House of Representatives. (Applause)

The Floor Leader is recognized.

REP. TUGNA. Mr. Speaker, we would also like toacknowledge the presence of the guests of the Hon.Rodante D. Marcoleta: the administrators of PangasinanState University, Bayambang, Pangasinan, namely, Lita A.Saygo, Eufrosina L. Zaragoza, Myrna P. Miguel, Annie C.

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2 MONDAY, JANUARY 24, 2011

Manalang, Raquel G. Larang and Francisco Zaragoza; andfrom the Bayambang District Hospital, Dr. Nicolas O.Miguel.

THE DEPUTY SPEAKER (Rep. Tañada). Please rise.Welcome to the House of Representatives. (Applause)

The Floor Leader is recognized.

REP. TUGNA. Mr. Speaker, I move that we defer thecalling of the roll.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion isapproved.

The Floor Leader is recognized.

REP. ORTEGA (F.). Mr. Speaker, I move that we proceedto the Reference of Business.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion isapproved.

The Secretary General will please read the Reference ofBusiness.

REFERENCE OF BUSINESS

The Secretary General read the following House Billsand Resolutions on First Reading, Communications andCommittee Reports, and the Deputy Speaker made thecorresponding references:

BILLS ON FIRST READING

House Bill No. 3944, entitled:“AN ACT REQUIRING ALL SCHOOLS, COLLEGES

AND UNIVERSITIES TO POST THE CURRENTCRIME RATE AND CONDITION IN THECOMMUNITY WHERE THE SCHOOL ISLOCATED”

By Representatives Cortuna and PiamonteTO THE COMMITTEE ON BASIC EDUCATION

AND CULTURE AND THE COMMITTEE ONHIGHER AND TECHNICAL EDUCATION

House Bill No. 3945, entitled:“AN ACT REQUIRING ACCIDENT AND LIFE

INSURANCE COVERAGE FOR RAILWAYTRANSIT PASSENGERS”

By Representatives Cortuna and PiamonteTO THE COMMITTEE ON TRANSPORTATION

House Bill No. 3946, entitled:“AN ACT PROHIBITING THE USE OF BISPHENOL

A (BPA) IN THE MANUFACTURE OF PLASTICBOTTLES ESPECIALLY INFANT BOTTLES,MANDATING TESTING OF ALL PLASTICBOTTLES BEING IMPORTED AND SOLD INTHE COUNTRY AND PROVIDING PENALTIESFOR VIOLATIONS THEREOF”

By Representatives Rodriguez (R.) and Rodriguez (M.)TO THE COMMITTEE ON HEALTH

House Bill No. 3947, entitled:“AN ACT PROVIDING FOR THE ESTABLISHMENT

AND CONSTRUCTION OF ANINTERNATIONAL AIRPORT IN THE CENTEROF MINDANAO, PARTICULARLY IN THEAREA BETWEEN DAMULOG, BUKIDNON INTHE NORTH; ANTIPAS, NORTH COTABATO INTHE EAST; CARMEN, NORTH COTABATO INTHE SOUTH; AND ALAMADA, NORTHCOTABATO IN THE WEST, ANDAPPROPRIATING FUNDS THEREFOR”

By Representatives Rodriguez (M.) and Rodriguez (R.)TO THE COMMITTEE ON TRANSPORTATION

House Bill No. 3948, entitled:“AN ACT DECLARING JUNE 15 OF EVERY YEAR

AS A SPECIAL NONWORKING HOLIDAY INTHE PROVINCE OF PAMPANGA ANDANGELES CITY TO BE KNOWN AS THE MT.PINATUBO MEMORIAL DAY”

By Representative Gonzales (A.)TO THE COMMITTEE ON REVISION OF LAWS

House Bill No. 3949, entitled:“AN ACT GRANTING HIGH SCHOOL

SCHOLARSHIP TO THE TOP 10 STUDENTSWHO GRADUATED FROM PUBLICELEMENTARY SCHOOLS IN THEPHILIPPINES AND APPROPRIATING FUNDSTHEREFOR, AND FOR OTHER PURPOSES”

By Representative FerriolTO THE COMMITTEE ON BASIC EDUCATION

AND CULTURE

House Bill No. 3950, entitled:“AN ACT PROVIDING FOR THE ESTABLISHMENT

OF A SHELTER FOR WOMEN AND CHILDRENIN EVERY CITY IN THE NATIONAL CAPITALREGION AND IN EVERY PROVINCE IN THEPHILIPPINES”

By Representative FerriolTO THE COMMITTEE ON WOMEN AND GENDER

EQUALITY AND THE COMMITTEE ONWELFARE OF CHILDREN

House Bill No. 3951, entitled:“AN ACT MANDATING THE PAYMENT OF

RETIREMENT BENEFITS TO SSS OR GSISMEMBERS WITHIN A MAXIMUM PERIOD OFTHIRTY (30) DAYS FROM THE RETIREMENTDATE AND FOR OTHER PURPOSES”

By Representative FerriolTO THE COMMITTEE ON GOVERNMENT

ENTERPRISES AND PRIVATIZATION

House Bill No. 3952, entitled:“AN ACT RECOGNIZING SPOUSAL VIOLENCE,

INFIDELITY AND ABANDONMENT ASPRESUMPTIVE PSYCHOLOGICAL INCAPACITYCONSTITUTING A GROUND FOR THE ANNULMENTOF MARRIAGE AMENDING ARTICLE 36 OF THEFAMILY CODE FOR THAT PURPOSE”

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MONDAY, JANUARY 24, 2011 3

By Representative ColmenaresTO THE COMMITTEE ON REVISION OF LAWS

House Bill No. 3954, entitled:“AN ACT REPEALING BATAS PAMBANSA BILANG

22, OTHERWISE KNOWN AS THE ‘BOUNCINGCHECKS LAW’ “

By Representative NogralesTO THE COMMITTEE ON REVISION OF LAWS

House Bill No. 3955, entitled:“AN ACT TO AMEND R.A. NO. 9369, OTHERWISE

KNOWN AS THE CHARTER OF THECOOPERATIVE DEVELOPMENT AUTHORITY(CDA) FOR THE ORDERLY AND EFFICIENTIMPLEMENTATION OF THE COOPERATIVECODE OF 2008 AND FOR OTHER PURPOSES”

By Representative Garcia (P.)TO THE COMMITTEE ON COOPERATIVES

DEVELOPMENT

House Bill No. 3956, entitled:“AN ACT CREATING THE METRO ILOILO-

GUIMARAS ECONOMIC DEVELOPMENTCOUNCIL”

By Representative TreñasTO THE COMMITTEE ON ECONOMIC AFFAIRS

House Bill No. 3957, entitled:“AN ACT AMENDING SECTION 150 (b), (c), AND

(d) OF REPUBLIC ACT NO. 7160, OTHERWISEKNOWN AS THE LOCAL GOVERNMENTCODE OF 1991”

By Representative TreñasTO THE COMMITTEE ON LOCAL GOVERNMENT

House Bill No. 3958, entitled:“AN ACT REQUIRING MANDATORY SEMINAR ON

TRAFFIC RULES AND REGULATIONS FORALL PUBLIC UTILITY VEHICLE DRIVERS”

By Representatives Velarde and TiengTO THE COMMITTEE ON TRANSPORTATION

House Bill No. 3959, entitled:“AN ACT ESTABLISHING THE CHILDREN’S

CANCER HOSPITAL OF THE PHILIPPINES”By Representatives Velarde and TiengTO THE COMMITTEE ON HEALTH

House Bill No. 3960, entitled:“AN ACT DEPLOYING POLICE PERSONNEL TO

ACT AS MARSHALS IN ALL PUBLIC UTILITYBUSES”

By Representatives Velarde and TiengTO THE COMMITTEE ON PUBLIC ORDER AND

SAFETY

House Bill No. 3961, entitled:“AN ACT REQUIRING MANDATORY

INSTALLATION OF SPEED LIMITERS INPUBLIC UTILITY VEHICLES”

By Representatives Velarde and Tieng

TO THE COMMITTEE ON TRANSPORTATION

House Bill No. 3962, entitled:“AN ACT AMENDING R.A. 6949, ‘AN ACT TO

DECLARE MARCH EIGHT OF EVERY YEARAS A WORKING SPECIAL HOLIDAY TO BEKNOWN AS NATIONAL WOMEN’S DAY’, TOMAKE THE NATIONAL WOMEN’S DAY ANON-WORKING HOLIDAY”

By Representatives Ilagan and De JesusTO THE COMMITTEE ON WOMEN AND GENDER

EQUALITY

RESOLUTIONS

House Resolution No. 814, entitled:“A RESOLUTION DIRECTING THE DEPARTMENT

OF FOREIGN AFFAIRS TO INVESTIGATE THEDISCRIMINATION THAT 52 FILIPINO NURSESAND MEDICAL STAFF EXPERIENCED IN AHOSPITAL IN CALIFORNIA AND EXTEND ALLPOSSIBLE ASSISTANCE TO OUR KABABAYANSIN THEIR SUIT AGAINST THE HOSPITAL”

By Representatives Rodriguez (R.) and Rodriguez (M.)TO THE COMMITTEE ON RULES

House Resolution No. 815, entitled:“A RESOLUTION DIRECTING THE COMMITTEE

ON OVERSEAS WORKERS AFFAIRS TOCONDUCT AN INQUIRY, IN AID OFLEGISLATION ON THE ALLEGED INACTIONOF THE DEPARTMENT OF FOREIGN AFFAIRSIN THE CASE OF A FILIPINA OFW JAILED INSAUDI ARABIA”

By Representatives Rodriguez (R.) and Rodriguez (M.)TO THE COMMITTEE ON RULES

House Resolution No. 816, entitled:“A RESOLUTION DIRECTING THE COMMITTEE

ON JUSTICE TO CONDUCT AN INQUIRY, INAID OF LEGISLATION IN ORDER TO ENSURETHAT THE FILIPINO WITNESSES CALLEDUPON BY THE HONG KONG GOVERNMENTTO TESTIFY ON THE MANILA BUS HOSTAGEINCIDENT ARE NOT PROSECUTED IN HONGKONG AND TO GIVE THEM MAXIMUMLEGAL AID AND FINANCIAL ASSISTANCE”

By Representatives Rodriguez (R.) and Rodriguez (M.)TO THE COMMITTEE ON RULES

House Resolution No. 817, entitled:“A RESOLUTION URGING THE DEPARTMENT OF

FOREIGN AFFAIRS AND THE DEPARTMENTOF LABOR TO EXTEND ALL POSSIBLEASSISTANCE TO GUINOO TAMONDE, WHOIS CURRENTLY LOCKED UP IN AN IRANIANPRISON FOR DRUG TRAFFICKING”

By Representatives Rodriguez (R.) and Rodriguez (M.)TO THE COMMITTEE ON FOREIGN AFFAIRS

House Resolution No. 818, entitled:“A RESOLUTION DIRECTING THE COMMITTEE

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4 MONDAY, JANUARY 24, 2011

ON OVERSEAS WORKERS AFFAIRS TOCONDUCT AN INQUIRY, IN AID OFLEGISLATION ON THE CONDITIONS OF THEFILIPINO WORKERS IN MADAGASCAR WHOWENT ON STRIKE AGAINST KENTZENGINEERING BECAUSE OF UNFAIRWORKING CONDITIONS”

By Representatives Rodriguez (R.) and Rodriguez (M.)TO THE COMMITTEE ON RULES

House Resolution No. 819, entitled:“A RESOLUTION DIRECTING THE COMMITTEE

ON OVERSEAS WORKERS AFFAIRS TOCONDUCT AN INQUIRY, IN AID OFLEGISLATION ON THE PRE-DEPARTUREORIENTATION SEMINARS BEINGCONDUCTED AND TO REQUIRE THEOVERSEAS WORKERS WELFAREADMINISTRATION TO MAKE IT COUNTRYSPECIFIC”

By Representatives Rodriguez (R.) and Rodriguez (M.)TO THE COMMITTEE ON RULES

House Resolution No. 820, entitled:“RESOLUTION URGING THE COMMITTEE ON

SUFFRAGE AND ELECTORAL REFORMS TOINVESTIGATE, IN AID OF LEGISLATION THEURGENCY OF SETTING UP A TIMETABLEFOR THE COMMISSION ON ELECTIONS TOIMPLEMENT THE ELECTORAL REFORMSNEEDED IN THE LONG TERM AND SHORTTERM, SPECIFICALLY THE NATIONALELECTIONS TO BE HELD IN MAY 2013”

By Representatives Co, Batocabe and GarbinTO THE COMMITTEE ON RULES

House Resolution No. 821, entitled:“A RESOLUTION URGING THE DEPARTMENT OF

ENVIRONMENT AND NATURAL RESOURCES,NATIONAL DISASTER RISK REDUCTIONAND MANAGEMENT COUNCIL,DEPARTMENT OF PUBLIC WORKS ANDHIGHWAYS, DEPARTMENT OF INTERIORAND LOCAL GOVERNMENT AND OTHERRELATED AGENCIES TO COME UP WITH ANEFFECTIVE MEASURE/PLAN/SCHEME ORWHATSOEVER THAT WILL COMBAT THEDAMAGING EFFECTS OF NATURALCALAMITIES AND AVOID RECURRENT LOSSOF LIVES AND PROPERTIES THEREOF”

By Representative MercadoTO THE COMMITTEE ON NATIONAL DEFENSE

AND SECURITY

House Resolution No. 822, entitled:“A RESOLUTION URGING THE DEPARTMENT OF

LABOR AND EMPLOYMENT AND THEDEPARTMENT OF HEALTH TO ORDER ALLHOSPITALS TO CEASE FROM CHARGINGFEES ON NURSES SERVING AS TRAINEES INVARIOUS MEDICAL INSTITUTIONS AND TOINVESTIGATE THE POSSIBLE LABOR LAW

INFRACTIONS OF HOSPITALS HIRINGTRAINEES IN ORDER TO AVOID PAYING JUSTWAGES”

By Representative TreñasTO THE COMMITTEE ON RULES

House Resolution No. 824, entitled:“A RESOLUTION DIRECTING THE COMMITTEE

ON BASIC EDUCATION TO CONDUCT ANINQUIRY, IN AID OF LEGISLATION ON THEREPORTS THAT THE PUBLIC EDUCATIONSYSTEM IN THE PHILIPPINES HASREGRESSED AND TO DEVELOP ANDINITIATE PROGRAMS TO REMEDY THESITUATION”

By Representatives Rodriguez (R.) and Rodriguez (M.)TO THE COMMITTEE ON RULES

House Resolution No. 825, entitled:“A RESOLUTION DIRECTING THE COMMITTEE

ON GOOD GOVERNMENT AND PUBLICACCOUNTABILITY TO CONDUCT ANINQUIRY, IN AID OF LEGISLATION ON THEP655M IN LOAN GUARANTEES LOST BY THETRADE AND INVESTMENT CORPORATION IN2009”

By Representatives Rodriguez (R.) and Rodriguez (M.)TO THE COMMITTEE ON RULES

House Resolution No. 826, entitled:“A RESOLUTION DIRECTING THE COMMITTEE

ON GOVERNMENT ENTERPRISES ANDPRIVATIZATION TO CONDUCT AN INQUIRY,IN AID OF LEGISLATION ON THE NON-PAYMENT BY THE PHILIPPINE NATIONALCONSTRUCTION CORP. TO THE NATIONALGOVERNMENT THRU THE TOLLREGULATORY BOARD OF THE SUM OFAROUND P4 BILLION REPRESENTINGUNPAID CONCESSION FEES”

By Representatives Rodriguez (R.) and Rodriguez (M.)TO THE COMMITTEE ON RULES

House Resolution No. 827, entitled:“A RESOLUTION DIRECTING THE COMMITTEE

ON LABOR AND EMPLOYMENT TOCONDUCT AN INQUIRY, IN AID OFLEGISLATION ON THE ISSUE OF FILIPINOWORKERS BEING ONE OF THE WORLD’SLOWEST PAID”

By Representatives Rodriguez (R.) and Rodriguez (M.)TO THE COMMITTEE ON RULES

House Resolution No. 828, entitled:“A RESOLUTION TO EXPRESS THE SENSE OF THE

HOUSE OF REPRESENTATIVES URGING HISEXCELLENCY PRESIDENT BENIGNOSIMEON C. AQUINO III TO UNDERTAKE ATHOROUGH REVIEW OF THE JAPAN-PHILIPPINES ECONOMIC PARTNERSHIPAGREEMENT (JPEPA) AND CARRY OUTNECESSARY STEPS THAT WOULD PUSH THE

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MONDAY, JANUARY 24, 2011 5

JAPANESE GOVERNMENT TO FULFILL ITSCOMMITMENTS UNDER THE AGREEMENT”

By Representative EvardoneTO THE COMMITTEE ON ECONOMIC AFFAIRS

House Resolution No. 829, entitled:“RESOLUTION REQUESTING THE COMMITTEE

ON DANGEROUS DRUGS TO CONDUCT ANINVESTIGATION, IN AID OF LEGISLATION,ON THE INCREASING INCIDENTS OFPHILIPPINE NATIONAL POLICE (PNP)PERSONNEL BEING CAUGHT FOR ILLEGALDRUG USE”

By Representative BarzagaTO THE COMMITTEE ON RULES

House Resolution No. 831, entitled:“RESOLUTION DIRECTING THE HOUSE

COMMITTEE ON NATIONAL CULTURALCOMMUNITIES TO CONDUCT ANINVESTIGATION, IN AID OF LEGISLATION, ONTHE ALLEGED ILLEGAL MINING, ILLEGALLOGGING AND ILLEGAL ROADCONSTRUCTION/REHABILITATION WITHINTHE TAGUIBO RIVER WATERSHED FORESTRESERVE LOCATED IN BARANGAY ANTICALA,BUTUAN CITY, ADVERSELY AFFECTING THEONLY SOURCE OF POTABLE WATER SUPPLY OFTHE MANOBO TRIBE, THE RESIDENTS OFBUTUAN CITY AND NEARBY ENVIRONS”

By Representative IlaganTO THE COMMITTEE ON RULES

House Resolution No. 832, entitled:“A RESOLUTION DIRECTING THE HOUSE OF

REPRESENTATIVES COMMITTEES ON BASICEDUCATION AND CULTURE AND ON HIGHERAND TECHNICAL EDUCATION TO CONDUCTAN INQUIRY, IN AID OF LEGISLATION, ONTHE RAMPANT IMPOSITION OF UNJUST,REDUNDANT, ARBITRARY, ANDEXORBITANT MISCELLANEOUS FEES INSCHOOLS NATIONWIDE”

By Representative PalatinoTO THE COMMITTEE ON RULES

House Resolution No. 833, entitled:“RESOLUTION EXPRESSING THE PROFOUND

CONDOLENCE OF THE HOUSE OFREPRESENTATIVES ON THE DEMISE OF ATTY.MAXIMO G. RODRIGUEZ, SR., FATHER OF THEHONORABLE RUFUS B. RODRIGUEZ,REPRESENTATIVE OF THE SECOND DISTRICTOF CAGAYAN DE ORO CITY AND HONORABLEMAXIMO B. RODRIGUEZ, JR., ABANTEMINDANAO PARTY-LIST REPRESENTATIVE”

By Representative GullasTO THE COMMITTEE ON RULES

House Resolution No. 834, entitled:“RESOLUTION EXPRESSING THE PROFOUND

CONDOLENCE OF THE HOUSE OF

REPRESENTATIVES ON THE DEMISE OF MRS. ROSITATABUNDA BUGARIN-BARUA, MOTHER OF ATTY.MARILYN B. BARUA-YAP, SECRETARY GENERAL OFTHE HOUSE OF REPRESENTATIVES”

By Representative GullasTO THE COMMITTEE ON RULES

House Resolution No. 835, entitled:“A RESOLUTION URGING THE DEPARTMENT OF

TRANSPORTATION AND COMMUNICATIONSAND THE LAND TRANSPORTATIONFRANCHISING AND REGULATORY BOARDTO REVIEW THE FRANCHISE, TRACKRECORD, AND ROAD SAFETY COMPLIANCEOF ALL BUS COMPANIES IN THEPHILIPPINES, AND TO IMMEDIATELYSUSPEND ALL BUS COMPANIES WHICHHAVE ANOMALOUS FRANCHISES,QUESTIONABLE TRACK RECORDS, ANDINADEQUATE ROAD SAFETY MEASURES”

By Representative TreñasTO THE COMMITTEE ON RULES

House Resolution No. 836, entitled:“RESOLUTION COMMENDING BRGY.

VILLAMONTE FOR BEING AWARDED THETITLE GRANDSLAM WINNER OF THEMASSKARA FESTIVAL OF BACOLOD CITYFOR CONSECUTIVELY WINNING IN THEFESTIVAL FOR THE YEARS 2003, 2004 AND2005 AS WELL AS WINNING THE TOP PRIZEIN THE 2004 WORLD TOURISM FESTIVALAND THE 2005 MIDOSUJI FESTIVAL”

By Representative ColmenaresTO THE COMMITTEE ON RULES

House Resolution No. 837, entitled:“A RESOLUTION EXPRESSING THE SENSE OF

THE HOUSE OF REPRESENTATIVES OF ITSFULL AND UNEQUIVOCAL SUPPORT FORTHE APPOINTMENT OF HONORABLE SIXTOBRILLANTES AS CHAIRMAN OF THECOMMISSION ON ELECTION (COMELEC)”

By Representative EvardoneTO THE COMMITTEE ON SUFFRAGE AND

ELECTORAL REFORMS

House Resolution No. 838, entitled:“RESOLUTION DIRECTING THE ENERGY

COMMITTEE TO CONDUCT ANINVESTIGATION, IN AID OF LEGISLATION,INTO THE POWER SHORTAGE AND HIGHPOWER RATES IMPOSED AMONG PANAYELECTRIC COMPANY (PECO) CUSTOMERS”

By Representative ColmenaresTO THE COMMITTEE ON RULES

House Resolution No. 839, entitled:“RESOLUTION DIRECTING THE COMMITTEE ON

JUSTICE TO CONDUCT AN INVESTIGATIONIN AID OF LEGISLATION, INTO THE ARRESTAND DETENTION OF KOREAN NATIONALS

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6 MONDAY, JANUARY 24, 2011

AND STUDENTS FOR ALLEGEDLY ILLEGALLYOPERATING A LANGUAGE SCHOOL IN ABUCAY,ALBAY”

By Representative Macapagal-Arroyo (G.)TO THE COMMITTEE ON RULES

House Resolution No. 840, entitled:“A RESOLUTION DIRECTING THE COMMITTEE ON

TRANSPORTATION TO CLARIFY THECOMPUTATION OF THE MAXIMUMALLOWABLE GROSS VEHICLE WEIGHT PEROVERLOADING PROVISION OF REPUBLIC ACT8794 OTHERWISE KNOWN AS AN ACTIMPOSING A MOTOR VEHICLE USER’S CHARGEON OWNERS OF ALL TYPES OF MOTORVEHICLES AND FOR OTHER PURPOSES”

By Representative TingTO THE COMMITTEE ON RULES

ADDITIONAL COAUTHORS

Rep. Erineo S. Maliksi for House Bill No. 151;Rep. Roy M. Loyola for House Bills No. 151 and 3391;Rep. Mark Aeron H. Sambar for House Bills No. 437

and 3825;Rep. Al Francis C. Bichara for House Bill No. 753;Rep. Rufus B. Rodriguez for House Bill No. 768;Rep. Winston “Winnie” Castelo for House Bills No.

1054, 1120, 1224, 1386, 1439, 1440, 1441, 1474, 1566, 1633,1645, 3349 and 3637;

Rep. Joselito “Jonjon” R. Mendoza for House Bill No.2783;

Rep. Bernadette R. Herrera-Dy for House Bills No. 3127and 3794;

Rep. Jocelyn S. Limkaichong for House Bill No. 3159;Rep. Amado S. Bagatsing for House Bills No. 3330 and

3391;Reps. Florencio C. Garay, Carlo V. Lopez, Rodolfo G.

Valencia, Jose R. Ping-ay and Guillermo A. Romarate Jr. forHouse Bill No. 3391;

Rep. Arnel M. Cerafica for House Bills No. 3432 and3528;

Reps. Thelma Z. Almario, Jose S. Aquino II, Rene L.Relampagos, Salvador H. Escudero III and Bernardo M.Vergara for House Bill No. 3528;

Rep. Ma. Amelita A. Calimbas-Villarosa for House BillsNo. 3528 and 3710;

Rep. Ma. Victoria R. Sy-Alvarado for House Bill No.3710;

Rep. Nicanor M. Briones for House Bill No. 3717;Rep. Cinchona C. Cruz-Gonzales for House Bill No.

3794;Rep. Alfredo D. Marañon III for House Bill No. 3813;Reps. Christopher S. Co, Rodel M. Batocabe and Alfredo

A. Garbin Jr. for House Bill No. 3878;Rep. Sherwin N. Tugna for House Bills No. 126, 357,

688, 1043, 1044, 1108, 1115, 1315, 1316, 1407, 1558, 1832,1979, 2471, 2583, 2724 and 3286 and House ResolutionsNo. 109, 124 and 205;

Rep. Yevgeny Vincente B. Emano for House ResolutionNo. 634; and

Rep. Rex Gatchalian for House Resolution No. 804.

COMMUNICATIONS

Letters dated December 16 and 22, 2010 and January 7, 2011of Juan De Zuñiga, Jr., Deputy Governor and GeneralCounsel, Bangko Sentral ng Pilipinas, furnishing theHouse of Representatives with certified true copies ofthe following:1) BSP Circular No. 700, Series of 2010, dated 06

December 2010;2) BSP Circular No. 701, Series of 2010, dated 13

December 2010;3) BSP Circular No. 702, Series of 2010, dated 15

December 2010;4) BSP Circular No. 703, Series of 2010, dated 23

December 2010;5) BSP Circular No. 704, Series of 2010, dated 22

December 2010; and6) BSP Circular No. 705, Series of 2010, dated 29

December 2010TO THE COMMITTEE ON BANKS AND

FINANCIAL INTERMEDIARIES

COMMITTEE REPORTS

Report by the Committee on Energy (Committee Report No.490), re H. R. No. 823, entitled:“RESOLUTION URGING THE POWER SECTOR

ASSETS AND LIABILITIES MANAGEMENT(PSALM) CORP. TO DEFER THE SALE ANDPRIVATIZATION OF THE AGUS ANDPULANGUI HYDROELECTRIC PLANTCOMPLEXES IN MINDANAO”

recommending its adoption in substitution of HouseResolution No. 107, House Bill No. 3081, and inconsideration of the Privilege Speech of Rep.Maximo Rodriguez, Jr. delivered on August 4, 2010and of the Privilege Speech of Rep. RaymondDemocrito C. Mendoza delivered on September 14,2010

Sponsors: Representatives Abad, Belmonte (V.), Unabia,Rodriguez (M.) and Mendoza (R.)

TO THE COMMITTEE ON RULES

Report by the Committee on Energy (Committee Report No.491), re HJR No. 14, entitled:“RESOLUTION EXTENDING THE LIFE OF THE

JOINT CONGRESSIONAL POWERCOMMISSION, CONSTITUTED PURSUANTTO SECTION 62 OF REPUBLIC ACT NO. 9136,OTHERWISE KNOWN AS THE ‘ELECTRICPOWER INDUSTRY REFORM ACT (EPIRA) OF2001’ “

recommending its approval in substitution of HouseConcurrent Resolution No. 6

Sponsors: Representatives Abad, Fuentebella, Apostol,Abaya and Madrona

TO THE COMMITTEE ON RULES

Report by the Committee on Welfare of Children (CommitteeReport No. 492), re H. No. 3986, entitled:“AN ACT PENALIZING ANY ACT PROHIBITING

THE CHILD TO LEARN AND USE THE FIRST

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MONDAY, JANUARY 24, 2011 7

LANGUAGE OR MOTHER TONGUE IN BASICEDUCATION, AMENDING FOR THE PURPOSEREPUBLIC ACT NO. 7610 ALSO KNOWN AS‘SPECIAL PROTECTION OF CHILDRENAGAINST CHILD ABUSE, EXPLOITATIONAND DISCRIMINATION ACT’ “

recommending its approval in substitution of House BillNo. 166

Sponsors: Representatives Cerilles and GunigundoTO THE COMMITTEE ON RULES

THE DEPUTY SPEAKER (Rep. Tañada). The FloorLeader is recognized.

ROLL CALL

REP. ORTEGA (F.). Mr. Speaker, I move that we callthe roll.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion isapproved.

The Secretary General will please call the roll.

The Secretary General called the roll, and the result isas follows, per Journal No. 49:

PRESENT

DiazDimaporoDuavitDuranoDyEjercitoEmanoEnvergaEriguelEscuderoEspinaEstrellaEvardoneFabianFariñasFerrer (A.)FerriolFloresFortunoFuentebellaGarayGarbinGarcia (A.)Garcia (P.)Garcia-AlbanoGarin (J.)Garin (S.)GatchalianGolez (A.)Golez (R.)Gonzales (A.)Gonzales (N.)GonzalezGuanlaoGullasHarescoHataman-SallimanHerrera-DyIlaganJaafarJalosjos (C.)JavierJosonKho (D.)Lacson-NoelLagdameo (A.)Lagdameo (M.)LapusLazatinLeonen-PizarroLicoLimkaichongLoongLopez (C.J.)LoyolaMacapagal-Arroyo (G.)MadronaMagsaysay (E.)MaliksiMandanasMarañonMarcoleta

AbayonAcharonAcopAlcoverAlmarioAlmonteAlvarez (M.)AmatongAngaraAntoninoApacibleApostolAquinoArenasArnaizArquizaArroyo (D.)Arroyo (I.)Avance-FuentesBag-aoBagasinaBagatsingBalindongBanalBarzagaBataoilBatocabeBautistaBelloBelmonte (F.)Belmonte (V.)BenaldoBenitez

BiazonBinayBravoBrawner BaguilatBrionesBulut-BegtangCabalunaCagasCalimbas-VillarosaCalixto-RubianoCanonigoCasiñoCasteloCastroCatamcoCelesteCerillesChipecoClimacoCoCojuangco (E.)Cojuangco (K.)ColmenaresCortunaCosalanCuaDalogDatumanongDazaDe VeneciaDefensorDel MarDel Rosario (A. A.)

MarcosMarianoMellanaMendoza (J.)Mendoza (M.)Mendoza (R.)MercadoMercado-RevillaMontejoNavaNoelNogralesObilloOcamposOngOrtega (F.)Ortega (V.)OsmeñaPacquiaoPadillaPaezPalmonesPanchoPangandaman (M.)Pangandaman (S.)ParasPayuyoPiamontePichayPing-ayPrimicias-AgabasPunoQuibranza-DimaporoQuimboQuisumbingRadazaRamosRelampagosRemullaRodriguez (I.)Rodriguez (M.)Rodriguez (R.)RomanRomarateRomualdezRomualdoRomuloSacdalanSakaluranSalvacionSambarSarmiento (C.)Sarmiento (M.)SuarezTañadaTeodoroTevesTiangcoTiengTingaTinioTomawis

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8 MONDAY, JANUARY 24, 2011

TreñasTugnaTyUmali (C.)Umali (R.)UnabiaUnicoValenciaVelarde

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion isapproved.

Thereupon, the Secretary General read the title of HouseBill No.3825, printed copies of which were distributed to theMembers on January 17, 2011 pursuant to Section 58, RuleX of the House Rules.

THE SECRETARY GENERAL. House Bill No. 3825, entitled:AN ACT ESTABLISHING A PHILIPPINE HIGH SCHOOL FORSPORTS AND APPROPRIATING FUNDS THEREFOR.

The Chair directed the Secretary General to call the rollfor nominal voting. Thereafter, pursuant to the Rules of theHouse, a second roll call was made. The result of the votingon Third Reading on the aforesaid House bill is as follows,per Journal No. 49:

Affirmative:

VelascoVergaraVillafuerteVillarVillaricaYap (S.)YuZamora-Apsay

THE SECRETARY GENERAL. The House, through theSecretariat, is in receipt of the notice of absence of thefollowing Members: Reps. Albano; Arago; Collantes; Ecleo;Garcia, Pablo John; Gomez; Olivarez; Palatino; Ponce-Enrile;Sahidulla; and Sy-Alvarado.

The Speaker is present.Mr. Speaker, the roll call shows that 207 Members

responded to the call.

THE DEPUTY SPEAKER (Rep. Tañada). With 207Members present, the Chair declares the presence of a quorum.

The Floor Leader is recognized.

REP. ORTEGA (F.). Mr. Speaker, may we acknowledgethe presence of the guests of the Hon. Renato J. Unico Jr., theHon. Salvio B. Fortuno and the Hon. Alfredo “Pido” A. GarbinJr. of AKO Bicol Party-List: the members of the Associationof Political Science students of the University of NuevaCaceres, City of Naga headed by Executive Director PolMaleniza of the National Youth Commission.

THE DEPUTY SPEAKER (Rep. Tañada). Please rise.Welcome to the House of Representatives. (Applause)

The Floor Leader is recognized.

APPROVAL OF THE JOURNAL

REP. ORTEGA (F.). Mr. Speaker, I move that we approvethe Journal of the previous session, Journal No. 48, datedWednesday, January 19, 2011.

I so move, Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the Journal datedJanuary 19, 2011, Journal No. 48, is hereby approved.

The Sr. Dep. Majority Leader is recognized.

REP. GARIN (J.). Mr. Speaker, I move that we take upmatters for approval on Third Reading.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion ishereby approved.

NOMINAL VOTING ON H.B. NO. 3825ON THIRD READING

REP. GARIN (J.). Mr. Speaker, I move that we vote onThird Reading on House Bill No. 3825 and that the SecretaryGeneral be directed to read the title of the bill and call the rollfor nominal voting.

I so move.

AbayonAcharonAcopAlcalaAlcoverAlmarioAlmonteAlvarez (M.)AmatongAngaraAntonioAntoninoApacibleApostolAquinoArenasArnaizArquizaArroyo (D.)Arroyo (I.)Avance-FuentesBag-aoBagasinaBagatsingBalindongBanalBarzagaBataoilBatocabeBautistaBelloBelmonte (F.)Belmonte (V.)BenaldoBenitezBiazonBinayBravoBrawner BaguilatBrionesBulut-Begtang

CabalunaCagasCalimbas-VillarosaCalixto-RubianoCanonigoCasiñoCasteloCastroCatamcoCelesteCerillesChipecoClimacoCoCojuangco (E.)Cojuangco (K.)ColmenaresCortunaCosalanCuaDalogDatumanongDazaDe VeneciaDefensorDel MarDel Rosario (A. A.)DiazDimaporoDuavitDuranoDyEjercitoEmanoEnvergaEriguelEscuderoEspinaEstrellaEvardoneFabian

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MONDAY, JANUARY 24, 2011 9

FariñasFerrer (A.)FerriolFloresFortunoFuentebellaGarayGarbinGarcia (A.)Garcia (P.)Garcia-AlbanoGarin (J.)Garin (S.)GatchalianGo (A.)Golez (A.)Golez (R.)Gonzales (A.)Gonzales (N.)GonzalezGuanlaoGullasHarescoHataman-SallimanHerrera-DyIlaganJaafarJalosjos (C.)JavierJosonKho (D.)LabadlabadLacson-NoelLagdameo (A.)Lagdameo (M.)LagmanLapusLazatinLeonen-PizarroLicoLimkaichongLoongLopez (C.J.)LoyolaMacapagal-Arroyo (G.)MadronaMagsaysay (E.)MaliksiMandanasMarañonMarcoletaMarcosMarianoMellanaMendoza (J.)Mendoza (M.)Mendoza (R.)MercadoMercado-RevillaMirafloresMontejoNava

ValenciaVelardeVelascoVergaraVillafuerte

NoelNogralesObilloOcamposOngOrtega (F.)Ortega (V.)OsmeñaPacquiaoPadillaPaezPalmonesPanchoPangandaman (M.)Pangandaman (S.)ParasPayuyoPiamontePichayPing-ayPrimicias-AgabasPunoQuibranza-DimaporoQuimboQuisumbingRadazaRamosRelampagosRemullaRobesRodriguez (I.)Rodriguez (M.)Rodriguez (R.)RomanRomarateRomualdezRomualdoRomuloSacdalanSakaluranSalvacionSambarSarmiento (C.)Sarmiento (M.)SemaSuarezTañadaTeodoroTevesTiangcoTiengTingTingaTinioTomawisTreñasTugnaTyUmali (C.)Umali (R.)UnabiaUnico

VillarVillaricaYap (S.)YuZamora-Apsay

Negative:

None

Abstention:

None

APPROVAL OF H.B. NO. 3825ON THIRD READING

THE DEPUTY SPEAKER (Rep. Tañada). With 216affirmative votes, no negative vote and no abstention, HouseBill No. 3825 is approved on Third Reading.

The Sr. Dep. Majority Leader is recognized.

NOMINAL VOTING ON H.B. NO. 3826ON THIRD READING

REP. GARIN (J.). Mr. Speaker, I move that we vote onHouse Bill No. 3826 on Third Reading and that the SecretaryGeneral be directed to read the title of the measure and callthe roll for nominal voting.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion isapproved.

Thereupon, the Secretary General read the title of HouseBill No. 3826, printed copies of which were distributed tothe Members on January 17, 2011 pursuant to Section 58,Rule X of the House Rules.

THE SECRETARY GENERAL. House Bill No. 3826,entitled: AN ACT INSTITUTIONALIZING THEKINDERGARTEN EDUCATION INTO THE BASICEDUCATION SYSTEM AND APPROPRIATING FUNDSTHEREFOR.

The Chair directed the Secretary General to call the rollfor nominal voting. Thereafter, pursuant to the Rules of theHouse, a second roll call was made. The result of the votingon Third Reading on the aforesaid House bill is as follows,per Journal No. 49:

Affirmative:

AbayonAcharonAcopAlcalaAlcoverAlmarioAlmonteAlvarez (M.)Amatong

AngaraAntonioAntoninoApacibleApostolAquinoArenasArnaizArquiza

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10 MONDAY, JANUARY 24, 2011

Arroyo (D.)Arroyo (I.)Avance-FuentesBag-aoBagasinaBagatsingBalindongBanalBarzagaBataoilBatocabeBautistaBelloBelmonte (F.)Belmonte (V.)BenaldoBenitezBiazonBinayBravoBrawner BaguilatBrionesBulut-BegtangCabalunaCagasCalimbas-VillarosaCalixto-RubianoCanonigoCasiñoCasteloCastroCatamcoCelesteCerillesChipecoClimacoCoCojuangco (E.)Cojuangco (K.)ColmenaresCortunaCosalanCuaDalogDatumanongDazaDe VeneciaDefensorDel MarDel Rosario (A. A.)DiazDimaporo (F.)DuavitDuranoDyEjercitoEmanoEnvergaEriguelEscuderoEspinaEstrella

MontejoNavaNoelNogralesObilloOcamposOngOrtega (F.)Ortega (V.)OsmeñaPacquiaoPadillaPaezPalmonesPanchoPangandaman (M.)Pangandaman (S.)ParasPayuyoPiamontePichayPing-ayPrimicias-AgabasPunoQuibranza-DimaporoQuimboQuisumbingRadazaRamosRelampagosRemullaRobesRodriguez (I.)Rodriguez (M.)Rodriguez (R.)RomanRomarate

EvardoneFabianFariñasFerrer (A.)FerriolFloresFortunoFuentebellaGarayGarbinGarcia (A.)Garcia (P.)Garcia-AlbanoGarin (J.)Garin (S.)GatchalianGo (A.)Golez (A.)Golez (R.)Gonzales (A.)Gonzales (N.)GonzalezGuanlaoGullasHarescoHataman-SallimanHerrera-DyIlaganJaafarJalosjos (C.)JavierJosonKho (D.)LabadlabadLacson-NoelLagdameo (A.)Lagdameo (M.)LagmanLapusLazatinLeonen-PizarroLicoLimkaichongLoongLopez (C.J.)LoyolaMacapagal-Arroyo (G.)MadronaMagsaysay (E.)MaliksiMandanasMarañonMarcoletaMarcosMarianoMellanaMendoza (J.)Mendoza (M.)Mendoza (R.)MercadoMercado-RevillaMiraflores

RomualdezRomualdoRomuloSacdalanSakaluranSalvacionSambarSarmiento (C.)Sarmiento (M.)SemaSuarezTañadaTeodoroTevesTiangcoTiengTingTingaTinioTomawisTreñasTugnaTyUmali (C.)Umali (R.)UnabiaUnicoValenciaVelardeVelascoVergaraVillafuerteVillarVillaricaYap (S.)YuZamora-Apsay

Negative:

None

Abstention:

None

REP. TINIO. Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada). What is thepleasure of the Gentleman from the Party-List ACT Teachers?

REP. TINIO. I would like to have an opportunity toexplain my vote.

REP. ALMARIO. Mr. Speaker.

SUSPENSION OF SESSION

THE DEPUTY SPEAKER (Rep. Tañada). The sessionis suspended.

It was 4:50 p.m.

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MONDAY, JANUARY 24, 2011 11

RESUMPTION OF SESSION

At 4:55 p.m., the session was resumed.

THE DEPUTY SPEAKER (Rep. Tañada). The sessionis resumed.

APPROVAL OF H.B. NO. 3826ON THIRD READING

THE DEPUTY SPEAKER (Rep. Tañada). With 216affirmative votes, no negative vote and no abstention, HouseBill No. 3826 is approved on Third Reading.

REP. ALMARIO. Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada).Congresswoman Almario is recognized.

REP. ALMARIO. Just a very minor but also a majorthing: the name of Congressman Salvador Escudero shouldappear ahead of my name.

THE DEPUTY SPEAKER (Rep. Tañada). The remarkof Congresswoman Almario is noted.

REP. ALMARIO. Thank you very much, Mr. Speaker.

REP. TINIO. Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada). What is thepleasure of the Congressman from Party-List ACT Teachers,Congressman Tinio?

REP. TINIO. Thank you, Mr. Speaker. I would just liketo take this opportunity to explain my vote on House Bill No.3826.

THE DEPUTY SPEAKER (Rep. Tañada). TheGentleman has three minutes.

REP. TINIO EXPLAINS HIS VOTE

REP. TINIO. Thank you, Mr. Speaker.ACT Teachers Party-List votes in the affirmative on

House Bill No. 3826 entitled, AN ACTINSTITUTIONALIZING THE KINDERGARTENEDUCATION INTO THE BASIC EDUCATION SYSTEMAND APPROPRIATING FUNDS THEREFOR. We welcomethis administration’s move to implement universalkindergarten education. It is a necessary step that will help inreducing the huge number of dropouts in the early elementarygrades. However, at this point, I would like to express certainreservations and concerns regarding the implementation ofuniversal kindergarten education.

First of all, if this bill becomes a law and the plan isto implement universal kindergarten education by nextschool year, this June, then Malacañang must respectthe rights and welfare of kindergarten teachers inimplementing this program. In the committee hearings, itwas revealed that in order to implement universalkindergarten education by next school year for up to 2.5

million five-year-old children, and given the budgetaryconstraints in the 2011 budget, the Department ofEducation (DepEd) would have to hire up to 27,000kindergarten teachers on a contractual basis. We believethat the plan of the DepEd to employ teachers on acontractual basis on such a massive scale will violate therights of the teachers to just compensation and jobsecurity. The monthly honorarium of P6,000 for thesecontractual teachers is way below the minimum wage,even though the kindergarten teachers are expected toprovide six hours of actual teaching per day, five days aweek, just like regular teachers. Furthermore, the DepEd,if this plan pushes through, will have the dubiousdistinction of becoming the country’s single biggestemployer of contractuals. If their plan pushes through,this will seriously undermine the status of the teachingprofession. Furthermore, I would like to point out thatthis plan of the DepEd will violate certain provisions ofRepublic Act No. 4670, the Magna Carta for Public SchoolTeachers, which guarantees the security of tenure ofteachers and promotes the right of teachers to a decentcompensation.

In addition, Mr. Speaker, in my conversations with anumber of school administrators in Metro Manila, they havegiven me the impression that our public school system willnot be ready to accept an influx of up to 2.5 million newstudents into the system. Where will we get the additionalclassrooms? In effect, we will be implementing an additionalgrade level in our public schools. Where will we get not onlythe teachers but also the additional classrooms? In somedivisions, they are already thinking about implementing a thirdshift to their existing two shifts if the expected influx of newstudents will come in.

Therefore, Mr. Speaker, I raise these concerns and I callon my colleagues here in Congress to look at possible waysin order for Congress to be able to provide more funds for theimplementation of universal kindergarten education by June.This can include the possibility of realigning funds becausethe planned implementation is already by June this year.President Aquino has touted universal kindergarten as oneof the key educational reforms of his administration. If so,then this administration must do things right starting with …

THE DEPUTY SPEAKER (Rep. Tañada). The Speakerwould like to remind the Gentleman to wind up.

REP. TINIO. … the adequate funding that will securethe rights of teachers and provide the conditions for qualityeducation.

Thank you, Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada). The Sr. Dep.Majority Leader is recognized.

NOMINAL VOTING ON H.B. NO. 3849ON THIRD READING

REP. GARIN (J). Mr. Speaker, I move that we vote onThird Reading on House Bill No. 3849 and direct theSecretary General to read the title of the measure, and callthe roll for nominal voting.

I so move.

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12 MONDAY, JANUARY 24, 2011

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion isapproved.

Thereupon, the Secretary General read the title of HouseBill No. 3849, printed copies of which were distributed tothe Members on January 17, 2011 pursuant to Section 58,Rule X of the House Rules.

THE SECRETARY GENERAL. House Bill No. 3849,entitled: AN ACT STRENGTHENING THE PHILIPPINEPUBLIC SAFETY COLLEGE SYSTEM AS THEPREMIER EDUCATIONAL INSTITUTION FORTRAINING, HUMAN RESOURCE DEVELOPMENT ANDCONTINUING EDUCATION OF ALL POLICE, FIRE ANDJAIL PERSONNEL, APPROPRIATING FUNDSTHEREFOR AND FOR OTHER PURPOSES.

The Chair directed the Secretary General to call the rollfor nominal voting. Thereafter, pursuant to the Rules of theHouse, a second roll call was made. The result of the votingon Third Reading on the aforesaid House bill is as follows,per Journal No. 49:

Affirmative:

DiazDimaporoDuavitDuranoDyEjercitoEmanoEnvergaEriguelEscuderoEspinaEstrellaEvardoneFabianFariñasFerrer (A.)FerriolFloresFortunoFuentebellaGarayGarbinGarcia (A.)Garcia (P.)Garcia-AlbanoGarin (J.)Garin (S.)GatchalianGo (A.)Golez (A.)Golez (R.)Gonzales (A.)Gonzales (N.)GonzalezGuanlaoGullasHarescoHataman-SallimanHerrera-DyIlaganJaafarJalosjos (C.)Jalosjos (S.)JavierJosonKho (D.)LabadlabadLacson-NoelLagdameo (A.)Lagdameo (M.)LagmanLapusLazatinLeonen-PizarroLicoLimkaichongLoongLopez (C.J.)LoyolaMacapagal-Arroyo (G.)MadronaMagsaysay (E.)

AbayonAcharonAcopAgyaoAlcalaAlcoverAlmarioAlmonteAlvarez (M.)AmatongAngaraAntonioAntoninoApacibleApostolAquinoArenasArnaizArquizaArroyo (D.)Arroyo (I.)Avance-FuentesBag-aoBagasinaBagatsingBalindongBanalBarzagaBataoilBatocabeBautistaBelloBelmonte (F.)Belmonte (V.)BenaldoBenitez

BiazonBinayBondocBravoBrawner BaguilatBrionesBulut-BegtangCabalunaCagasCajayonCalimbas-VillarosaCalixto-RubianoCanonigoCasiñoCasteloCastroCatamcoCelesteCerillesChipecoClimacoCoCojuangco (E.)Cojuangco (K.)ColmenaresCortunaCosalanCruz-GonzalesCuaDalogDatumanongDazaDe VeneciaDefensorDel MarDel Rosario (A. A.)

MaliksiMandanasMarañonMarcoletaMarcosMarianoMatugasMellanaMendoza (J.)Mendoza (M.)Mendoza (R.)MercadoMercado-RevillaMirafloresMontejoNavaNoelNogralesObilloOcampoOcamposOngOrtega (F.)Ortega (V.)OsmeñaPacquiaoPadillaPaezPalmonesPanchoPangandaman (M.)Pangandaman (S.)ParasPayuyoPiamontePichayPing-ayPrimicias-AgabasPunoQuibranza-DimaporoQuimboQuisumbingRadazaRamosRelampagosRemullaRiveraRobesRodriguez (I.)Rodriguez (M.)Rodriguez (R.)RomanRomarateRomualdezRomualdoRomuloSacdalanSakaluranSalvacionSambarSan LuisSarmiento (C.)

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MONDAY, JANUARY 24, 2011 13

Sarmiento (M.)SemaSuarezTañadaTeodoroTevesTiangcoTiengTingTingaTinioTomawisTreñasTugnaTy

ng Anakpawis Party-List at Kilusang Magbubukid ngPilipinas (KMP) ang pinakamataas na pagsaludo kina DaniloArjona, Leopoldo Alonzo, Adelfa Aribe, Dionisio Bautista,Roberto Caylao, Vicente Campomanes, Ronilo Domanico,Dante Evangelio, Angelito Gutierrez, Rodrigo Grampan,Bernabe Laquindanum, Sonny Boy Perez at Roberto Yumul.Sila ang mga martir ng Mendiola massacre, mga martir ngdakilang pakikibaka para sa tunay na reporma sa lupa.

Subalit, G. Ispiker, mga kapwa Kinatawan, 24 na taon naang nakararaan, nananatiling mailap pa rin ang hustisya samga biktima ng masaker sa Mendiola. Wala pa ring tunay nareporma sa lupa. Wala pa ring katarungan para sa mga biktima,ngunit nagpapatuloy ang laban para sa lupa. Ang masaklappa, sa harap ng kawalan at pagbale-wala sa kanilang mgalehitimo at makatarungang kahilingan ay lalo pang tumindiat sumahol ang pagsasamantala at pang-aapi sa masangmagbubukid. Isinubasta ang kanilang lupa sa dayuhan atipinaloob ang sektor na agrikultura at ekonomiya ng bansasa mga hindi pantay at maka-isang panig na kasunduan tuladng General Agreement on Tariffs and Trade (GATT), WorldTrade Organization (WTO) at itinuon ang direksiyon ng sektorsa kabuuang balangkas at iskima ng globalisasyon.

G. Ispiker at mga kapwa ko Kinatawan, sa nagdaang 24na taon, tumindi pang lalo ang pangangamkam sa lupangbinubungkal ng mga magsasaka, sa pamamagitan ng iba’tibang pakana, ng kapwa mga dayuhan at mga lokal namalalaking panginoong may lupa. Kaliwa’t kanan angkumbersyon ng mga lupang agrikultural tungo sa ibang gamito land use conversion. Isang matingkad na halimbawa, mgakapwa ko Kinatawan, ang mga dating luntiang palayan napinagtataniman ng mga gintong butil ng palay sa mgalalawigan ng Gitnang Luzon at Timog Katagalugan aytinayuan ng mga planta para sa semi-manufacturing assembly,mga pook-libangan ng mga dayuhan at iba pa. Ayon mismosa National Statistics Office (NSO), as of year 2002 palamang, mahigit 800,000 ektarya na ang na-i-convert. Higitpang itinuon ang produksyong agrikultural sapangangailangan ng tinatawag na globalisasyon ng malayangpamilihan or free market globalization, kung saan ang ibigsabihin ay ang todo-todong deregulasyon, liberalisasyon atpribatisasyon ng agrikultura at ekonomiya. Sa pamamagitanng mga patakarang ito, ibayong piniga ang lakas paggawa ngmga magsasaka upang lumikha ng labis na hilaw na materyaleshabang pinanatili namang bansot at atrasado ang produksyon,at ang kakarampot pang pondong inilaan na para sana samagsasaka at agrikultura ay napunta pa sa korupsyon.Kasabay nito ay ini-asa na lamang sa pag-aangkat oimportasyon ang pangangailangan ng bayan para saproduktong pagkain.

Isa sa mga unang casualty ng liberalisasyon, deregulasyonat pribatisasyon sa agrikultura ay ang ating lokal naproduktong palay o bigas. Opo, bigas—ang unangpangunahing pagkain ng sambayanang Pilipino. Noong isanglinggo, sa anibersaryo ng Partido Liberal, isiniwalat niPangulong Benigno Simeon “Noynoy” C. Aquino III angumano ay pumakyaw o naka-corner sa over-importation atoverpricing ng imported na bigas ng nagdaangadministrasyong Arroyo. Ayon sa Pangulo, at nais ko po nabaybayin ito, to quote:

Administrator Lito Banayo is puzzled why themanager’s checks of those who were given a chance

Umali (C.)Umali (R.)UnabiaUngabUnicoValenciaVelardeVelascoVergaraVillafuerteVillarVillaricaYap (S.)YuZamora-Apsay

Negative:

None

Abstention:

None

APPROVAL OF H.B. NO. 3849ON THIRD READING

THE DEPUTY SPEAKER (Rep. Tañada). With 226affirmative votes, no negative vote and no abstention, HouseBill No. 3849 is approved on Third Reading.

The Floor Leader is recognized.

PRIVILEGE HOUR

REP. ORTEGA (F.). Mr. Speaker, I move that we proceedto the Privilege Hour.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion isapproved.

REP. ORTEGA (F.). Mr. Speaker, I move that werecognize the Hon. Rafael V. Mariano from the Party-ListAnakpawis for his privilege speech.

THE DEPUTY SPEAKER (Rep. Tañada). TheGentleman from the Party-List Anakpawis, the Hon. RafaelV. Mariano, is hereby recognized.

PRIVILEGE SPEECH OF REP. MARIANO

REP. MARIANO. Maraming salamat po, G. Ispiker.Maganda hapon po sa ating mga kapwa Kinatawan:Noong nakaraang Sabado, ginunita ng mga magbubukid

ang ika-24 na taon ng malagim na trahedyang kumitil sa buhayng 13 magsasaka sa tulay ng Mendiola. Nakaukit sakasaysayan ang trahedyang ito bilang “Mendiola Massacreng Enero 22, 1987” sa panahon ng administrasyon ngyumaong dating Pangulong Corazon Cojuangco Aquino.Ginunita ng mga magbubukid ang kabayanihan ng mgamagsasakang nagbuwis ng buhay alang-alang sa mithiingmagkaroon ng isang tunay na reporma sa lupa. Ipinapaabot

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to import came from only one bank, and it allegedlydoesn’t stop there. The checks were in sequentialorder. It appears that only one group or one personbenefited there.

Ikalawang beses na po ito na mismong si PresidenteAquino ang nagsalita hinggil sa over-importation ng bigas.Ang una ay sa nakaraang State of the Nation Address niyanoong isang taon. G. Ispiker, patingi-tingi, bitin at mala-telenovela. Hindi tinumbok ng Presidente kung sino angsalarin at ano ang tunay na dahilan sa may P177 bilyongpagkabaon sa utang ng National Food Authority (NFA).Kasunod ng pahayag ng Pangulo ay ang mabilis na pahayagni Budget Secretary Florencio Abad sa isang forum nainorganisa ng financial executives na i-devolve ang tatlongfunctions ng NFA. Aniya, in quotes:

The first one, subsidy function, can be best doneby the Department of Social Welfare andDevelopment (DSWD) through the ConditionalCash Transfer Program.

Para naman sa procurement function ng NFA, ayon saKalihim, ganito po ang kanyang tinuran, “There is an emergingconsensus to bring in private sector in the trading.” At angregulatory function naman ay ililipat na lamang sa isang unitng Department of Agriculture (DA). G. Ispiker, lubhangnakababahala ang pahayag na ito ni Secretary Abad sapagkatnangangahulugan ito ng abolisyon ng NFA.

Una, sa usapin ng pagpasok ng pribadong sektor saprocurement ng palay, at batay sa karanasan namingmagsasaka, labis na binabarat ng mga private traders angaming produktong palay. Sa katunayan, wala pang dalawangporsyento ng kabuuang ani o kabuuang produksyon ng palayang binibili ng NFA kada taon. At sa panahon ng anihan, dihamak na mas mahal pa ang kilo ng darak o rice bran kaysasa isang kilong palay o unhusked rice. Ikalawa, sa usapin ngsubsidy, obligasyon ng gobyerno sa kanyang mamamayan namagkaroon ng abot-kayang presyo ng bigas, hindi angpaglalaan ng dole-out na CCT na magpapasidhi lamang ngpagiging palaasa o panlilimos at hindi ire-resolba ang mgaugat ng kahirapan ng mamamayan. Ikatlo, tiyak na magre-resulta din ang planong ito sa pagtatanggal sa trabaho atpagkawala ng hanapbuhay ang mahigit 5,300 mga kawani ngNFA at pagsadlak sa kahirapan ng kanilang pamilya.

G. Ispiker at mga kapwa Kinatawan, hindi solusyon angtodo largang pribatisasyon tungo sa abolisyon ng NFA saproblema ng malalang korapsyon at iregularidad sa kalakalanat distribusyon ng pagkaing-butil ng bansa. Hindi ba na masmatinding korapsyon ang maituturing pa nga na sapamamagitan ng abolisyon ng NFA ay tuluyan nangaabandonahin ng gobyerno ang tungkulin nitong suportahanang mga magsasaka at tiyakin ang abot-kayang presyo ngbigas at seguridad sa pagkain para sa mga mamamayan? Angpatakaran ng todo-todong liberalisasyon, deregulasyon atpribatisasyon sa sektor ng lokal na agrikultura ang siyangpangunahing salarin. Ang patakaran ng labis-labis naimportasyon ng bigas ay higit na nagsadlak sa mga magsasakasa kahirapan. Nagbunga ito ng malawakang kumbersyon nglupa, pagpapatalsik sa mga magsasaka mula sa kanilanglupang sinasaka at ibayong nagpako sa presyo ng kanilangmga produkto at nagpasirit naman paitaas sa presyo ng bigas

kung saan ito ay halos hindi na maabot ng nakararamingmamamayang Pilipino. Ang patakarang ito ng labis-labis naimportasyon ng bigas ang pangunahing salarin kung bakitnakalubog sa P177 bilyong pagkakautang ngayon ang NFA.Ang patakarang ito na nagpapasok at nagkakanlong sa mgapangunahing salarin sa overpricing ng imported na bigas atsa talamak na korapsyon sa nasabing ahensya.

Ayon mismo sa NFA Employees Association o NFAEA,kaanib na organisasyon ng COURAGE, sa isang pahayagnoong ika-14 ng Enero, taong kasalukuyan, 2011, at nais kopong baybayin ang mga ganitong kataga nila:

When the Arroyo administration, under theNFA’s Farmers as Importers Program, allowedbusinesses in the guise of pseudo farmerscooperatives to import as much as 200,000 metrictons, the government in turn shouldered the fees,tariffs and other costs; thus, the overpriced and over-imported rice ended up not on the warehouses ofthe government but on the rice cartels and thecommissions and kickbacks on government officials’pockets.

G. Ispiker at mga kapwa ko Kinatawan, ito ang mgadahilan kung bakit nagtataka kami kung bakit hindi magawangsabihin ng Pangulo ang pangalan ng sinasabi niyang isangtao o grupo na nakinabang sa patakarang ito. Hindi po masisisini Pangulong Aquino ang mga magsasaka na hamunin siyangi-prosecute ang mga salarin sa patakarang ito na nagpahirapat ibayong nagsadlak sa kahirapan sa masang magsasaka.Kung hindi niya kayang pangalanan ang mga salarin, ano pakaya ang pag-prosecute sa kanila upang mabigyan ngkatarungan ang magsasaka at mamamayang Pilipino?

G. Ispiker at mga kapwa Kinatawan, katarungan angsigaw ng mga magbubukid. Noong Enero 22, 1987, sapanahon ng unang administrasyong Cojuangco-Aquino, 24na taon na po ang nakalilipas pero katarungan pa rin ang sigawng mga magbubukid sa panahon ng ikalawangadministrasyong Cojuangco-Aquino. Tunay na reporma salupa pa rin ang masidhing kahilingan ng masang magbubukid.Tunay na reporma sa lupa na babasag sa malalawak na lupainat libreng ipamamahagi ang lupa sa mga magsasaka. Tunayna reporma sa lupa na babasag sa mga hacienda katulad ngHacienda Luisita sa Tarlac, Hacienda Looc sa Batangas,Araneta property sa hangganan ng San Jose Del MonteBulacan at Rodriguez sa Rizal, Hacienda Yulo sa Laguna,Hacienda San Antonio, Santa Isabel sa Isabela at sa mgahacienda ni G. Danding Cojuangco sa isla ng Negros at ibapang malalawak na lupain sa ating bansa kabilang na angmay 3,100 hectares ng Fort Magsaysay Military Reservation.

G. Ispiker, nakahain ngayon sa ika-Labing-limangKongreso ang tunay na solusyon sa suliranin sa kawala’tkakulangan sa lupa ng milyun-milyong mga magsasaka’tmanggagawang bukid sa ating bansa. Ito ang House Bill No.374 o Genuine Agrarian Reform Bill (GAR) at ang HouseBill No. 3105 o ang proposed Rice Industry DevelopmentAct of 2010 na magpapalakas ng produksyon ng palay atmagtitiyak sa seguridad sa pagkain para sa mamamayangPilipino. Ang dalawang panukalang batas pong ito angmagsisilbing matibay na pundasyon ng lokal na sektor ngating agrikultura. Ang pagpapatupad ng tunay na reporma salupa ay magtitiyak na makakamit ng masang magsasaka ang

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kasapatan sa pagkain para sa mamamayang Pilipino;magtitiyak na hindi na tayo mag-aangkat ng pagkain opagkaing butil mula sa pandaigdigang pamilihan; at magtitiyaksa sariling kasapatan at seguridad sa pagkain ng ating bansa.

Maraming salamat po, G. Ispiker at mga kapwa koKinatawan. Magandang hapon po sa inyong lahat.

THE DEPUTY SPEAKER (Rep. Tañada). The Floor Leaderis recognized.

REP. ORTEGA (F.). Mr. Speaker, the Gentleman fromthe Lone District of Nueva Vizcaya, the Hon. Carlos M.Padilla, wishes to interpellate the Honorable Mariano.

May we recognize the Honorable Padilla.

THE DEPUTY SPEAKER (Rep. Tañada). What is thepleasure of the Gentleman from Nueva Vizcaya?

REP. PADILLA. G. Ispiker, puwede po bang mabigyanang inyong lingkod ng pahintulot para magtanong ng ilangbagay sa ating Kongresista mula sa Anakpawis Party-List?

THE DEPUTY SPEAKER (Rep. Tañada). Kung papayagpo ang Ginoo mula sa Party-List Anakpawis.

REP. MARIANO. Mr. Speaker, malugod ko pongpauunlakan ang kahilingan ng Kinatawan ng Lone District ofNueva Vizcaya na magtanong sa Kinatawang ito ngAnakpawis Party-List.

REP. PADILLA. Maraming salamat po, Mr. Speaker.Ang tema po ng inyong privilege speech ay katarungan

at ang katarungang ito ay naka-sentro doon sa mga pamilyang biktima ng Mendiola massacre dalawampu’t apat na taonna ang lumipas. Tama po ba iyon, G. Ispiker?

REP. MARIANO. Opo, G. Ispiker, kung saan hanggangngayon nga po wala pa ring katarungan,wala pa ring lupa,wala pa ring seguridad sa pagkain, hindi lamang po ang mgabiktima ng Mendiola massacre noong January 22, 1987 kundiang sambayanang Pilipino.

REP. PADILLA. Samakatuwid, bagama’t nabanggit natinang Mendiola massacre ang mga biktima dito angsumisimbulo at kumakatawan sa sambayanang sektor ngmagsasaka sa buong bansa.

REP. MARIANO. Tama po iyon, G. Ispiker. Ang kanilapong pinagbuwisan ng buhay sa paanan ng Mendiola aykumakatawan sa patuloy na kahilingan at pakikibaka ngmasang magsasaka para sa lupang agraryo.

REP. PADILLA. Ang katarungan ay hindi lamang paratukuyin kung sino man ang mga responaible sa pagkamatayo pagkasugat ng mga kapatid na magsasaka sa Mendiola kundiito din ay katarungan para umunlad at gumanda angkabuhayan ng mga kapatid nating magsasaka sa buong bansa.

REP. MARIANO. Totoo po iyon, at hindi lamang paramaparusahan ang mga salarin at dapat managot sa naganapna malagim na Mendiola massacre, na isang malagim napahina ng ating kasaysayan, pero ang pinakamalalim pong

pagbibigay ng katarungan para sa kanila ay ang pagpapatupadng hustisyang panlipunan at pagpapatupad ng tunay nareporma sa lupa—na kung saan ito po ang pinakamalalim nadahilan ng kanilang pagbubuwis ng buhay.

REP. PADILLA. Para umunlad ang kanilang kabuhayan,ano ang prescription ng ating kapatid na Kinatawan ngAnakpawis Party-List? Of course, tunay na reporma sa lupaang isa. Maaaring ang katuwiran ay kung walang tunay naland reform, kalian man ay hindi uunlad ang kabuhayan ngmga magsasaka. Iyan po ba ang unang thesis ninyo, G.Ispiker?

REP. MARIANO. Totoo po na pangunahin ito sapagresolba at paglutas sa fundamental problem ng kawalanat kakulangan sa lupa ng mga milyun-milyong mgamagsasaka. Pangunahin na po ditto ang maralitang magsasakaat manggagawang bukid sa ating bansa.

REP. PADILLA. Sapagkat iyan naman pong tema tungkolsa genuine land reform na nabanggit ng Kinatawan aytinutumbok ng isang panukalang batas na sa aking palagayay nakahain na at maaaring nandoon na sa Committee onAgriculture or Committee on Agrarian Reform. Sa ilalim pong ating mga reglamento o sa rules ng Kamara ay hindi ponatin puwedeng pag-usapan, as part of a privilege speech,ang mga issues na may relasyon sa isang pending bill, kayahindi na po ako magtatanong tungkol diyan.

Ngayon, ang isang pang gusto ko pong malaman ay angopinyon at kaisipan ng Kinatawan tungkol sa isang problemapo natin dito sa ating bansa, at ito ay nabanggit na rin ninyo—ang pag-angkat o pag-importa ng bigas mula sa ibang bansa.Imbes na nakakatulong sa ating magsasaka, ito ay lalongnakakasama. Ito ay isang factor kaya lalong sumasama angkalagayan ng ating mga magsasaka dahil pag pumasok ditoang imported rice, bumabagsak ang presyo ng local productsnatin. Iyan po ba ang katuwiran ng inyong lingkod? Mayroonpa siyang gustong idagdag diyan, Mr. Speaker?

REP. MARIANO. Totoo po iyon. Sa mahabangkaranasan na po natin, dahil sa ating pagdepende sapatakaran ng importasyon, ang labis na pag-asa saimportasyon ng bigas mula sa labas ng bansa, sa halip napalakasin ang lokal na produksyon po natin, ay ang sadyapong pumapatay sa lokal na produksyon natin ng palay obigas, o pagkaing-butil sa ating bansa. Bagama’t umiiral papo iyong tinatawag na quantitative restrictions on rice, perodahil po sa patakaran ng over-importation na tinatawag,ang labis-labis na importasyon at papababang at papaliitpo na inilalaan namang budget para sa pagpapalakas nglokal na produksyon natin ng palay sa bansa, at nandiyandin ang malawakan o kaliwa’t-kanang kumbersyon ng mgalupaing agrikultura natin, ay lalo na po nakasama saproduksyon ng pagkaing-butil sa bansa. Wala rin pongkomprehensibong at totoong programa para palawakin angating irrigated rice lands at sa neto po ay lumiliit pa angirrigated rice lands natin, wini-withdraw o ina-atras ang dapatna subsidy o ayuda para sa mga magsasaka natin nanagtatanim ng palay, mais at iba pang mga pananim. Ito poay tumindi nang ibukas ang ating ekonomiya at agrikulturasa pangdaigdigang mga produkto at pagpasok ng iba-ibangprodukto sa ating lokal na ekonomiya.

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REP. PADILLA. Maraming salamat, G. Ispiker. doon posa ibinigay na pagpapaliwanag ng ating kasamahangMambabatas mula sa Anakpawis Party-List. Pero ang sinasabipo ng ating mga eksperto, lalung-lalo na po iang mganagkakalap ng mga datos, mayroon po tayong deficiency orshortage of rice production at ayon sa kanilang mga datos, ayhindi bumababa sa 10 porsyento at umaakyat hanggang 15porsyento ang kakulangan ng produksyon ng palay o bigasdito sa ating bansa. Kung hindi po tayo mag-i-import, G.Ispiker, paano natin mabibigyan ng solusyon ito? Puwede pobang marinig ang panig ng ating kapatid na Mambabatas mulasa Anakpawis Party-List?

REP. MARIANO. Hindi po naman dapat o absolutelyna hindi na tayo mag-aangkat sa lahat ng panahon. Angpinaninindigan lang po ng Kinatawang ito ng AnakpawisParty-List ay, kung gaano man po ang kakulangan natin parasa pambansang konsumo ng pagkain ng ating nadadagdagano lumalaking populasyon ay kaya po nating likhain ito locallyin sufficient quantity at baka kaya ngang higitan pa angpangangailangan ng ating mga mamamayan. Tungkol po sa10 to 15 percent na sinasabing kakulangan, ako po aynaniniwala na kaya natin itong punuan sa pamamagitan ngpagpapalakas ng ating lproduksyon ng palay o bigas sa atingbansa at hindi dapat tayong palagiang umasa sa world marketdahil papaliit din naman po ang supply doon.

REP. PADILLA. Samakatuwid, G. Ispiker, sumasang-ayon ang ating kapatid na Mambabatas mula sa AnakpawisParty-List na para lalong sumigla ang produksyon ng palay obigas, bigyan natin ng mga incentive ang mga magsasaka.

REP. MARIANO. Tama po iyon.

REP. PADILLA. Ang 10 o 15 porsyento na kakulangan,kung makita man nila, ang isang pinakamagandang insentibopara dito ay bigyan natin sila ng garantiya na ang presyo ngkanilang palay, pag ito ay ibinenta nila sa palengke, ay hindisila malulugi kundi magkakaroon pa sila ng disenteng kita oincome.

REP. MARIANO. Tama po iyon.

REP. PADILLA. Noon pong buwan ng Agosto, ako poay nabigyan ng pagkakataong dumalaw sa Vietnam. Ito namanpo ay hindi sa pamamagitan ng ating Kongreso kundi angaming pagpunta roon ay subsidized ng isang foundation. Angnakita kong isang ginagawa nila sa Vietnam, sa pamamagitanng isang pahayag nila na nabasa ko, ang importante aymagarantiyahan na mayroong tubo ang mga magsasaka,mayroon silang disenteng income o kita. Hindi lamang, ikanga, basta makaraos lang. G, Ispiker, kundi may kaya pa silangpag-aralin ang kanilang mga anak, bumili ng mga kasangkapanat magpatayo ng disenteng bahay. Samakatuwid, iyongincentive ay importante at iyan ang wala dito sa atin sapagkatang Kinatawan po ay naniniwala na kadalasan ay lugi pa angmagsasaka, .lalung-lalo na kung pumasok dito ang importedrice.

REP. MARIANO. Totoo po iyon. Sa North America atsa Europe ay binibigyan pa po ng subsidies o incentives angmga magsasaka nila upang huwag lang magtanim dahil lalabis

ang produksyon nila sa pangangailangan nila sa domesticmarket nila, at kung gayon ay maa-apektuhan ang presyo ngprodukto nila at maaari itong bumagsak. Dito po sa atin aynagtatanim na ang mga magsasaka pero kadalasan nga po aylugi at wala pang incentives. Kung hindi pa po nila sarili anglupang sinasaka nila, nagbabayad pa sila ng mataas na upa,buwis o amortisasyon sa lupa. Kung walang sariling kapitalat umuutang lang sa usurero, kinakain na po ng mataas nainteres sa pautang ang malaking bahagi ng kanyang inaani atpagdating nga po ng anihan at kung nagkalamidad pa, angpresyo ng kanyang produktong palay, mais o iba pang pananimay binabarat naman po. Kaya po kinakailangan angkomprehensibong ayuda o suporta ng gobyerno para talagapong matiyak ang patuloy na pagtatanim ng ating mgamagsasaka at para lumaki rin ang kanilang netong kita. Kunglumalaki po ang netong kita nila, siyempre po ay lumalakidin ang kanilang disposable income, ang purchasing powernila. Sa bawat kita nila na ibinibili nila ng anumang produktoay lumalakas din po ang lokal na pamilihan sa ating bansa.

REP. PADILLA. Nabanggit po niya iyong salitang“subsidy” at ito ay ginagawa sa mga ibang bansa. Ako po aysumasang-ayon diyan, kahit hindi po siguro direct subsidy.Halimbawa, ang kasalukuyang ginagawa ngayon ng NFA kungsaan sila ang bumibili ng palay mula sa ating mga magsasakasa magandang presyo, iyan po ay napakalaking insentibo parasa mga magsasaka.

REP. MARIANO. Totoo po.

REP. PADILLA. Alam ko na may kakulangan pa angNFA. Halimbawa po, ang isang reklamo ng mga magsasakaay kailangan pang mayroon kang bank book or pera napambayad ng voucher or kailangan pang i-installment angbayad. Samakatuwid, hindi nila kayang gawin ang mgaginagawa ng mga private buyers or traders. Siguro, isangsuhestiyon ito na dapat imungkahi natin sa NFA na kailanganmaging maganda rin ang kanilang proseso sa pagbili parahindi kailangan pa na maghintay ang magsasaka ng ilanglinggo bago siya mabigyan ng kabuuang kabayaran sa kanyangibinentang palay

REP. MARIANO. Totoo po, at dagdag po dito nakailangang 14 percent lang ang moisture content ng palay, atiyon pong tinatawag na purity ay hindi lamang 90 percentkundi dapat 95 percent. Para sa mga magsasaka po natin,lalo na po kung tag-ulan, madalas po tayong tinatamaan ngkalamidad kung kaya’t ang ani po talaga nila ay hindi ganoongmaganda ang kalidad kaya kailangan din po ang angkop napatakaran at programa ng gobyerno.

REP. PADILLA. Mayroon akong isang gustong makuhaat ito ay kung ano ang kaisipan ng ating kaibigan mula saParty-List Anakpawis, G. Ispiker. Sabi natin na may subsidypara sa magsasaka sa ibang bansa, kahit sa Amerika. Mayroonngang pag-aaral na ginawa noong araw na sa Amerika, on theaverage, ang subsidy na ibinibigay ng gobyerno sa mgamagsasaka ay hindi bumababa sa US $21,000 per farmer perharvest season. Kaya kung gagawin sa Pilipinas iyan, palagayko ay kahit hindi na magbungkal ng lupa iyong farmer, iyongUS $21,000 ay sapat na upang makaraos siya hindi lamangsa loob ng isang taon kundi sa maraming taon. But of course,

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we are not saying, Mr. Speaker, na gagawin natin iyan. Angtanong ko lang, hindi ba sa mga kasunduan katulad ng mgaagreement sa GATT o WTO, hindi ba ipinagbabawal nga angmga subsidy na iyan, G. Ispiker?

REP. MARIANO. Totoo po, at gayun din sa mgadeveloping countries po na nakakategorya ang Pilipinas, …

REP. PADILLA. Puwede pa.

REP. MARIANO. … kung saan ay ina-allow pa po ang10 percent ng kanilang gross value of production saagrikultura o …

REP. PADILLA. Samakatuwid, G. Ispiker …

REP. MARIANO. … 10 percent of aggregate measureof support. Pero ang ating inilalaan po ay napakaliit at hindipa po umaabot sa 10 percent ng aggregate measure of support.

REP. PADILLA. Ang pananaw po ng inyong lingkod—hindi ko lang alam kung ano ang pananaw ng atingMambabatas mula sa Party-list Anakpawis—ay kahit hindina po tayo magbigay ng subsidy sa fertilizer o sa kung anoman, basta lang ang pondo ng gobyerno para sa pambili ngpalay sa mga farmers o doon sa kanilang local production aymagarantiyahan. Sa aking palagay ay napakalaking bagay naito, G. Ispiker.

REP. MARIANO. Totoo po, Mr. Speaker. Angnangyayari nga lang po ay, halimbawa, nilaanan ang pondong NFA ng P1.1 bilyon sa taong 2007; noong 2008, mga P2bilyon; noong 2009, P4 bilyon; at para sa 2010, P8 bilyon.

REP. PADILLA. G. Ispiker, magkano naman ang inilaanpara mga previous years para sa pag-angkat ng bigas?

REP. MARIANO. Ang nangyayari po kasi, ang sinusunodpo sa NFA ay iyong tinatawag na “one-fund” concept na kungsaan kung ano po ang hawak ng NFA, kung nagkataon napanahon na mag-aangkat ito, mahigit o dagdag pa doon sapag-avail nito ng credit line sa mga bangko, ay nagagamit narin po nito ang pondo na para sana ay sa local palayprocurement. Nagagawa po ito dahil po sa “one-fund” conceptna iyan.

REP. PADILLA. Kung minsan nga, sa loob ng isangtaon, ay hindi bababa sa P20 bilyon ang naging pag-angkat.

REP. MARIANO. Oo nga po, sa naging kalakaran. Kungiyan po sana ay inilaan doon sa pagbili mismo ng produktongpalay ng ating mga magsasaka at bago pa sa panahon ngkanilang pag-ani, ito nga po ang sinasabi niya na napakalakingincentives na maipagkakaloob o maibibigay natin sa atingmga magsasaka. Ang masakit po nito, ang mga inaangkat nabigas ay dumarating kahit sa kalagitnaan o katapusan ngpanahon ng pag-ani natin, at pumapasok pa po ng Nobyembreat Disyembre, hindi lamang po sa Oktubre.

REP. PADILLA. Mayroon po ba kayong pag-aaral, G.Ispiker, doon sa apat na bilyong piso na inilalaan para sapambili ng local produce mula sa ating mga farmers, ilang

porsyente dito ang kabuuang production ng palay sa buongPilipinas?

REP. MARIANO. Puwede pong sabihin na hindi pobababa sa limang porsyento ng ating total palay outputproduction ang mabibili.

REP. PADILLA. Kaya ko po itinanong iyan dahil noongaraw, mayroong pag-aaral na ginawa ang isang grupo nanaka base sa UP Los Baños or sa Los Baños, Laguna at angsabi nila, kung ang gobyerno ng Pilipinas ay maglalaan ngpondo para bumili ng palay mula sa ating mga magsasakana hindi bababa sa 25 porsyento ng total rice production,hindi na matitinag ang presyo ng palay kahit ano pa anggawin ng mga private traders para ibagsak ang presyo nito.Magiging matatag ang presyo ng palay at iyan aynapakalaking insentibo sa ating mga magsasaka. Ano satingin niya, G. Ispiker?

REP. MARIANO. Totoo po. Kung ang NFA, bilang PPAo palay procurement agency natin, ay bibigyan natin ngkakayahang mabili at least 25 percent ng total palay outputnatin, sa porsyento iyong na ipamimili ng NFA, ito aymagkakaroon ng malakas o malaking impluwensya na sapresyo ng palay sa farm gate. Iyon nga po, ina-announce palamang ng NFA na mayroon silang ganitong malaking pondoat ang target nila ay 25 porsyento ng total palay output natinang kanilang bibilhin, iyon lamang pong announcement naiyon at ang mabilisan ng pag-download ng pondong iyon samga managers ng NFA sa mga probinsya, magiging mabilisna ang paggalaw ng presyo ng palay, at hindi po pababa kungdi gagalaw po ito pataas. Ito po ay makakatulong sa mgamagsasaka natin at ng kanilang pamilya.

REP. PADILLA. Bagama’t nakalulungkot, G. Ispiker, nakung minsan ay mayroong mga taon na wala pang isangporsyento ang nabibili ng NFA mula sa ating mga magsasaka.

REP. MARIANO. Kalahati po ng isang porsyento,ganoon lang.

REP. PADILLA. G. Ispiker, marami pa sana akonggustong itanong pero dahil alam kong mahaba ang listahanng magbibigay ng talumpati sa pamamagitan po ng tinatawagnating Privilege Hour, isang katanungan na lamang. Kungpasisiglahin natin ang pamimili ng palay at palalakihin natinang pondo para dito, samakatuwid, sa kasalukuyang sistema,hindi po maganda na mawawala ang NFA. Hindi sa tayo aykumu-kumporme sa NFA or dahil kaibigan natin ang mganamamahala sa NFA, pero sa kanyang paniniwala ba na kungbubuwagin ang NFA, dapat ba ay ngayon na, or maski kailanay hindi dapat mabuwag ang NFA dahil sa isyung ito, G.Ispiker?

REP. MARIANO. Ang paninindigan po ng Kinatawangito mula sa Anakpawis Party-List at siya rin pongkasalukuyang Pambansang Pangulo ng Kilusang Magbubukidng Pilipinas (KMP), ay hindi po dapat buwagin ang NationalFood Authority.

REP. PADILLA. Nababahala po ang inyong lingkod dahilkasi mayroong lumabas na statement kanina na hindi raw

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bubuwagin ang NFA sa ngayon—not now. Baka naman bukasay mayroon na silang isusulong na panukala tungkol diyan,kaya dapat siguro maliwanagan ng mga kasamahan natin atng buong sambayanan na, hindi sa ating ipinagtatanggol angNFA, kung hindi dahil mayroon pong mahalagang papel angnasabing ahensya ng gobyerno sa pagiging stable ng presyong palay at ito ay makakatulong ng malaki para sa ating mgamagsasaka.

REP. MARIANO. Totoo po, G. Ispiker, ang mandato pong NFA sa original charter nito ay gawing stable ang supplyat presyo ng bigas at matiyak ang food security ng ating mgamamamayan. Kaya nga po mayroon itong tinatawag na “buyhigh, sell low” policy at ito po ay para sa local palay o cornprocurement at hindi po sa importasyon. Ang mandato ngNFA ay para matiyak na mayroong sapat na supply atseguridad sa pagkain at abot- kayang presyo ng bigas para saating mga mamamayan. Kapag ginawang pribado ito at i-abolish ng NFA, G. Ispiker, Kagalang-galang na Kinatawanng Lone District of Nueva Vizcaya, ang mangyayari po dahilmahigit anim na bilyong piso ang sinasabing kagyat na assetsng NFA, at mula sa mga pag-aaral po, ay lumalabas namukhang mahihirapan ang gobyerno na humanap ngpribadong sektor na bibili sa NFA. Kung nagkagayon aypuwedeng pumasok ang dayuhang korporasyon dahil po na-liberalize na natin ang pagbebenta ng bigas at deregulated napo ito. Kaya sila ang magkakaroon ng monopoly sa ricetrading and distribution sa ating bansa at lalo pong papatayito sa lokal na produksyon natin ng palay o bigas sa atingbansa.

REP. PADILLA. Lalong magiging kawawa si Juan DelaCruz, G. Ispiker.

REP. MARIANO. Iyon po ang totoong mangyayari, G.Ispiker.

REP. PADILLA. G. Ispiker, marami pa sana akong mgakatanungan, mga paglilinaw, pero alam ko pong mahaba paang listahan. Ako po ay nagpapasalamat sa ating Mambabatasmula sa Anakpawis Party-List. Maraming salamat din sa inyo,G. Ispiker.

REP. MARIANO. Maraming salamat din po saKagalang-galang na Kinatawan ng Lone District ng NuevaVizcaya dahil napakahalaga po ng mga tanong niya at angsinabi niya na huwag po tayong papayag na mabuwag o ma-abolish ang NFA dahil ang unang-una pong magpipiyesta pagnangyari ito ay ang Binondo cartel at mga nakikinabang saimportasyon at tiwaling pamamahagi ng distribusyon ng bigassa ating bansa.

Maraming-maraming salamat po, G. Ispiker.

THE DEPUTY SPEAKER (Rep. Tañada). The Floor Leaderis recognized.

REP. ORTEGA (F.). Mr. Speaker, the Gentleman fromthe Party-List Akbayan, the Hon. Walden F. Bello, wishes tointerpellate the Gentleman from Anakpawis.

THE DEPUTY SPEAKER (Rep. Tañada). What is thepleasure of the Gentleman from the Party-List Akbayan?

REP. BELLO. Mr. Speaker, I just have a few questions forthe Gentleman from Anakpawis.

THE DEPUTY SPEAKER (Rep. Tañada). If he sodesires.

REP. MARIANO. Very willingly, Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada). Pleaseproceed.

REP. BELLO. G. Ispiker, sumasang-ayon ho kami saanalysis po ng Kinatawan mula sa Anakpawis na dahil sa tradeliberalization ay talagang lumala ho ang kondisyon ng atingagrikultura at industriya. Sa tingin niya, ano ang dapat natinggawin ngayon kasi natakot ho tayo dito sa mga tradeagreements katulad ng AFTA-CEPT. Isa pa ho ang ASEAN-China Agreement na patungo sa total trade liberalization,including the lifting of the price or the quota on rice. Ano hosa tingin niya ang dapat gawin ng administrasyon at ngKongreso kasi para tayong na-preso sa iba’t ibang mgaagreements na ito? Itong globalization at liberalization aytalagang hindi uubra but we are imprisoned in these systems.Ano ho kaya ang mga hakbang na dapat nating gawin,especially dito sa ating House of Representatives? Ano angmga measures that we can take to liberate ourselves from thebad effects of these agreements?

REP. MARIANO. G. Ispiker, bagaman po wala sa poderng House of Representatives ang bumaklas o mag-terminateng kung ano mang existing trade agreements dahil po angratifying body sa ating Kongreso ay ang Senado, angKinatawan pong ito ng Anakpawis Party-List at maging angKilusang Magbubukid ng Pilipinas ay naninindigan na—dahildin sa mahabang panahon ng ating karanasan sa mga umiiralna hindi pantay at makaisang panig na mga kasunduan tuladng GATT-WTO, partikular na ang agreement on agriculture—ang mga ito ay hindi nakabuti at bagkus, nakasama pa sa atinglokal na ekonomiya, partikular sa lokal na agrikultura. Kayananinindigan nga po kami na dapat bumaklas na sa mganaturing kasunduan at agreement. Noong pa man bago i-ratifyng Senado ang General Agreement on Tariffs and Trade oGATT ay nanindigan na po ang KMP na hindi tayo dapatpumasok sa kasunduan sa GATT-WTO.

REP. BELLO. G. Ispiker, kailangan ho siguro tayongmagkaroon ng isang thorough review by Congress of all thesetrade agreements. Sumasang-ayon ho ba siya na dapat numberone ito sa agenda ng Fifteenth Congress?

REP. MARIANO. Sumasang-ayon po ang Kinatawangito na dapat tayo magsagawa ng thorough, comprehensive atmadaliang review—hindi naman dapat umabot ito ng tatlo olimang taon pa—at pag-aralan kung ano po ang proteksyonna kinakailangan na ma-install ng gobyerno paramaprotektahan pa ang ating sektor ng agrikultura, at kungano pa ang hindi naibibigay ng mga malalaking tradingpartners sa atin. Ang masaklap po kasi, sa mga nagingnegosasyon sa agreements—kung saan ang paniniwala natinay “give and take”—ang hindi pa po hinihingi ng malalakingmga bansang kaanib ng GATT-WTO ay pinagkakaloob nang Pilipinas dahil doon sa mga pangakong ang pagsapi sa

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GATT-WTO ay magki-create ng 5,000 jobs sa sektor ngagrikultura kaya hindi na lalaki ang ating agriculture deficit atiba’t iba pang mga ipinangako, pero hindi naman po nangyarisa ating agrikultura at sa ating ekonomiya.

REP. BELLO. Maraming salamat, G. Ispiker. I wouldjust like to strongly support a very thorough study of all thesetrade agreements because I think the data now will show thattrade liberalization has really destroyed Philippine agricultureand industry. Nagpapasalamat ho ako sa ating Mambabatasmula sa Anakpawis sa kanyang pag-stress dito ng studyregarding the necessity of really liberalizing tradeliberalization. Gusto ko rin sabihin na sumasang-ayon kamina napakahalaga ng functions ng NFA. Gusto ko lang hongtanungin sa ating Representative from Anakpawis kung anongmga concrete measures that we can take so that we can savethe institution so that it can perform its functions better. Kasiho ang abolition ng NFA is not really a solution. In fact, itongproposal for abolition ay galing ho sa World Bank at alamnaman natin ang record ng World Bank dito sa atin. Ano hoang mga concrete measures na ina-advocate niya para ma-i-reform natin ang NFA?

REP. MARIANO. Bago ko po sagutin, idagdag pa podoon ay ito rin po ang naging rekomendasyon ng AGILE noonpa man taong 2000 na i-privatize ang NFA, but in reality, ineffect, it will abolish the NFA. Ano po ang mga konkretonghakbang na kailangang gawin? Una po ay tamang turulin otukuyin ang pangunahing dahilan kung bakit sinasabi ang NFAngayon ay may malaking pagkakautang o dumaranas ngfinancial hemorrhage na sinasabi. Ito ba ay dahilan sa kanyangmandate na bumili ng mataas-taas na presyo ng palay atgumiling ng bigas upang ibenta ito sa ating mga mamamayansa mas abot-kayang presyo, o dahil doon saan sa sumigi-sigina unbridled over-importation?

Ibig sabihin po, kailangan ay ang totoong pag-diagnoseng sakit. Ako po ay naniniwalang walang problema doon samandate. Kung susuriin natin talaga ay hindi lang po doon sasistema. Kung mayroon mang financial mismanagement, hindipo ang dahilan ay ang NFA administrator lamang, dahil angnagdedesisyon kung ilang metriko tonelada ang aangkatinng ating bansa ay ang NFA council at ang interagencycommittee, at hindi po pupuwede na walang approval angsinuman pong Presidente na nakaupo sa isang panahon. Kayamahalaga po ang turulin o tumbukin ang pangunahing dahilan,at hindi lamang ang mga sintomas pero pati ang malalangnaging sakit na ng pamamalakad ng kalakalan at distribusyonng bigas sa ating bansa.

Noon araw ay hindi naman umaasa sa badyet ng gobyernoang NFA. Ang importation, trading and distribution of wheatand flour sa bansa ay nasa kamay pa ng NFA na datingNational Grains Authority. Sa katunayan po, iyong kinikitanila ay ang nagsu-sustain sa NFA at nagbibigay ng badyetpara mamili under this “buy high, sell low” scheme. Ito rinang nakapagpatayo ng mga bodega ng NFA. Na-privatize poito through the deregulation policy kaya ang nangyari po ayumaasa na ang NFA sa appropriations mula sa nationalgovernment. Ang isa pang dapat na kagyat na hakbang ditoay alamin kung sino ang maituturo na may pananagutan osiyang salarin dito na dapat na ma-prosecute at maparusahan.Sabi ko nga po, dahil ang mga pertinent documents namanay nasa kasalukuyang gobyerno at sa pamamagitan ng mga

iba’t ibang ahensiya, lalo na ng mga miyembro ng NFAcouncil, ay madali naman nilang matutukoy kung sino angsinasabing tao o grupo na nakinabang o nakikinabang saganitong mali at tiwaling kalakaran at pamamalakad sa NFA.Ang isa pang binabanggit ay mahalaga rin na, kung palalakasinman ang NFA, dapat bigyan ito ng sapat na pondo at dapatunahin na gamitin ang pondong ito sa pamimili po ng palaysa lokal na produksyon at hindi po sa importasyon. Nabanggitko po kanina ang “one-fund” concept na umiiral sa NFA.Siyempre po, sa mga usapin ng mga polisiya diyan, dapattratuhin ang ating agrikultura bilang pundasyon ng atingpambansang ekonomiya. Dapat ma-increase at ma-expandang irrigated areas natin kaya magtutok sa generation ng newareas at itigil muna ang conversion ng mga agricultural lands,primarily ng mga lupaing naka-devote sa food production.Dapat din tulungan natin ang ating mga magsasaka sa creditkasi po, ang layunin naman natin ay maging self-financingang ating mga magsasaka at hindi naman po dapat silapalaging nakaasa sa pautang. Gayon din, kailangan angsuporta nga sa presyo ng produkto ng ating mga magsasaka.Kaya sa tingin ko po ay kung ang krusada ng gobyernongNoynoy Aquino ay sugpuin ang corruption, masusubukan poiyan sa pagsasa-ayos ngayon sa ang mga usaping over-importation at overpricing ng rice stocks, at tukuyin ang dapatmanagot.

REP. BELLO. Maraming salamat ho sa Kinatawan mulasa Anakpawis. Ang ipinakita ho niya ay interconnected talagasa lahat ng problema ng ating agrikultura. Ang solusyon hoay—at idiniin ho niya that we should move with a bold front—we support the increase in productivity, we reverse tradeliberalization, and we make the NFA more effective. Dito hosa functions ng NFA, instead of abolishing it, we should pushfor the thorough completion of agrarian reform. Ito angkailangan ho natin ngayon, especially that we need to reviewang mga trade agreements and if possible, to exit from thesetrade agreements because they really proved to be verydetrimental to both agriculture and industry in this country.

Thank you very much, and I really appreciate his answers.

REP. MARIANO. Maraming salamat po sa Kinatawanng Akbayan at maraming salamat po, G. Ispiker.

Kinakailangan po, lalo na ng mga proponents ng NFAdecoupling bills, na pag-aralan po natin ang mga ito sapagkatsa nasabing mga panukalang batas, lalo na kung sasagutin ngnational government ang pagkaka-utang ng NFA, kapag na i-decouple ang function na ito ay baka po unang matutuwadito ay ang mga salarin ng over-importation.

Unwillingly and unintentionally, iyon pong pagpapasang mga nasabing NFA decoupling bills ang magiging coverpo ng kanilang mga pagkakasala sa mamamayang Filipino.

THE DEPUTY SPEAKER (Rep. Tañada). The Dep.Majority Leader is recognized.

REP. BANAL. Mr. Speaker, I move that we refer theprivilege speech and the interpellation of the distinguishedGentleman to the appropriate committee.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion ishereby approved.

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REP. BANAL. Mr. Speaker, since the time for the PrivilegeHour is almost up, I move that we extend the Privilege Hourfor another 20 minutes.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion isapproved.

The Privilege Hour is hereby extended for another 20minutes.

The Dep. Majority Leader is recognized.

REP. BANAL. Mr. Speaker, I move that we recognizethe Gentleman from the First District of Misamis Occidental,the Hon. Jorge T. Almonte, for his privilege speech.

THE DEPUTY SPEAKER (Rep. Tañada). TheGentleman from the First District of Misamis Occidental,Congressman Jorge Almonte, is hereby recognized.

PRIVILEGE SPEECH OF REP. ALMONTE

REP. ALMONTE. Thank you, Mr. Speaker.Mr. Speaker, I rise to extol the significant

accomplishments of this august Body during the first sixmonths of our term in the year 2010.

Mr. Speaker, ladies and gentlemen:On January 17th, we returned to this House of the people

to continue the mandates of our constituents after our holidaybreak. Having been fully recharged, after savoring a whiff offresh air in the countryside, I cannot just let this year passwithout extolling the sterling accomplishments of the Houseof Representatives during the past year. The able leadershipof Speaker Feliciano R. Belmonte Jr. has lifted us to a newheight of excellence. His qualities and capabilities matched,if indeed they do not surpass, the outstanding example set byhis illustrious predecessors. Speaker Belmonte hasdemonstrated the highest degree of statesmanship, impartialityand unselfish devotion during the deliberations on Houselegislative priorities on a completely nonpartisan basis,resulting in the consideration and passage of vital measuresthat truly address our urgent national concerns. Mr. Speaker,the exemplary performance of the House of Representativesis a settled fact.

From July to December 2010, there were 3,867 bills and796 resolutions filed in the House of Representatives, of which21 bills had been approved on Third Reading and six billsapproved on Second Reading. This has been punctuated bythe fact that for over a decade, it is only under this leadershipthat the annual General Appropriations Act was passed ontime. The large number of bills and resolutions filed and theencouraging number of attendees in committee and plenarysessions readily show the great enthusiasm of Members ofthe House to perform their gargantuan tasks. It is worthy toemphasize, Mr. Speaker, that a rare display of harmoniousworking relationship between the House of Representativesand the Executive has produced positive results to both.

The national government does not have to operate undera reenacted budget this year and hopefully, we will neverhave to under the present leadership. This positive act of theHouse of Representatives was reciprocated with the efficientrelease by the Department of Budget and Management ofbudgetary allocations for priority projects which we identified

for our respective districts. We are truly fortunate, therefore,that we have a Speaker who is blessed with mature judgmentand a mindset of a team builder. His performance isestablished a standard of excellence in the discharge oflegislative thrusts of the House of Representatives, worthy ofemulation by the present and future Members of this augustBody. All these significant accomplishments, of course, hecould not have achieved alone, without the indefatigableassistance extended primarily by the House Majority andMinority leaders and their deputies.

I take my hats off to our Majority Leader, Hon. NeptaliM. Gonzales II. Boyet Gonzales, as we fondly call him, is adedicated and accomplished parliamentarian. He properlysteered the affairs and deliberations of this Chamber, whichpaved the way for the passage of important legislativemeasures in consonance with the goals of the government.His strict adherence to parliamentary rules and procedureshas greatly contributed to the successful deliberations on thefloor. Perhaps, it is in his veins that he must work hard, beingan illustrious son of an illustrious father. His father, the lateSenate President Neptali Gonzales, once represented thebiggest legislative district in contemporary Philippine history,the First District of Rizal, which then consisted of QuezonCity, Pasay City, Caloocan City, and the then municipalitiesof Malabon, Navotas, Mandaluyong, San Juan, Makati,Taguig, Pateros, Parañaque, Las Piñas and Muntinlupa, whichhave all since been converted into highly urbanized cities,except for Pateros.

Not to be outdone, of course, is the Minority Leader,Hon. Edcel C. Lagman, whose imposing presence in theplenary hall made the floor deliberations more enlighteningand lively at times. He belongs to the breed of conscientiousleaders and discharges his duties as the protector of theMinority with utmost dedication and sincerity. He fearlesslyopposed the approval of legislative measures perceived asfavorable to the few while supported legislations whichadvanced the national interest. His independence andundeviating fidelity to constitutional processes, mastery ofparliamentary rules and procedures, and political acumen havelargely contributed to the success of this Chamber.

Even as a neophyte lawmaker I, for one, cannot easilybe mesmerized by fancy report cards or taken-in by kilometricaccomplishment reports. I made this conclusion out of mykeen observations on committee and plenary proceedings.Mr. Speaker, I began my career in the Fifteenth Congresswith the false impression that it would just be another positionin another government agency. But nay, I was really surprisedto learn that all those articles printed in the newspaper givinga negative portrayal of the House of Representatives were,more or less, sensationalized news with, perhaps, adornmentsof innuendos and conjectures. I discovered that there is,indeed, no honeymoon period here. Our work is 24/7 andthis is completely different from where I have gone throughmy career in public service as an election registrar, city specialcounsel, city fiscal, and later, as city mayor.

As Representatives of the people, no matter how far weare from our district, we cannot escape the watchful eyes ofour constituents, owing to modern technology. We are allconveniently within the reach of our constituents, either athome or in our office, any time of the day, any day of theweek. Mr. Speaker, the call of the day is to win tomorrow.We must not strive only for us but for our country and people,

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for anything that we do for us will just die with us. Butanything that we do for our country and people will becomean enduring legacy. May it be our constant prayer and,quoting a famous, colorful American President in my time,John F. Kennedy:

Let us go forth to lead the land we love, askinghis blessing and his help, but knowing that here onearth God’s work must truly be our own.Thank you, Mr. Speaker. A million thanks to you, ladies

and gentlemen. (Applause)

THE DEPUTY SPEAKER (Rep. Tañada). The FloorLeader is recognized.

REP. ORTEGA (F.). Mr. Speaker, I move that we referthe privilege speech of the Gentleman from MisamisOccidental, First District, the Honorable Almonte, to theappropriate committee.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the same is herebyapproved.

The Floor Leader is recognized.

REP. ORTEGA (F.). Mr. Speaker, I move that werecognize the Gentleman from the Coop-NATCCO Party-List,the Hon. Cresente C. Paez, for his privilege speech.

THE DEPUTY SPEAKER (Rep. Tañada). TheGentleman from the Party-List Coop-NATCCO,Congressman Paez, is hereby recognized.

PRIVILEGE SPEECH OF REP. PAEZ

REP. PAEZ. Mr. Speaker, distinguished colleagues:I rise to speak on the distressed cooperative banks which

have been under receivership by the Philippine DepositInsurance Corporation (PDIC), thus, tremendously affectingthe rural financing sector in particular, and the ordinary peoplein general.

What is the burning issue, Mr. Speaker? The burningissue is that there are now 10 cooperative banks which arein trouble and under prompt corrective action (PCA) by theBangko Sentral ng Pilipinas or in the ICU due to capitaldeficiency or simply due to capital hemorrhage. This is thereason, specifically, that I rise to bring this issue to yourattention. The government will stand to lose P1.8 billion ifthese 10 distressed cooperatives will eventually beforeclosed by the BSP due to a PCA failure. Not only that,Mr. Speaker, I rise to inform you and my colleagues in thisHouse that the ordinary people numbering 258,000 will losetheir hard-earned P244.2 million in equity funds investedin these 10 distressed cooperative banks if nothing is doneto prevent their closure. Finally, I rise because I want topropose that the government will bail out these 10 distressedcooperative banks by setting up a P2.5-billion rehabilitationfund.

Our rural banking industry is in jeopardy. In fact, somecooperative banks and several rural banks had been padlockedby the PDIC. Public confidence towards poorly managed ruralbanks and cooperative banks as well, with some exceptions,is relatively low. The cases of Legacy Group and G7 caused

by the alleged massive fraud by the owners of the banks,have aggravated the banking image and conditions of manyrural and cooperative banks due to loss of public trust.According to the BSP, many cooperative banks and ruralbanks as well are under-capitalized and poorly managed.However, this Representation believes that an existinggovernment policy involvement is not conducive to the groupof the rural banking industry.

What is the attitude of the government towards ruralbanking? I observed that if you are a small bank and you arein trouble, our government will never care. If you are a bigbank and you are in trouble, our government will always bethere to help you. Another observation, Mr. Speaker: if youare cooperative bank and you are financially distressed, theprescribed solution of BSP and PDIC is normally to padlockyou instead of coming to rescue you.

With respect to regulations, cooperative banks are treatedno different from rural banks without giving due considerationthat cooperative banks, by their very nature, are owned bycooperatives which are also users of bank services. At thisjuncture, Mr. Speaker, we should understand that cooperativebanks are part of the rural banking system of the country andthe BSP classifies cooperative banks as rural banks.Cooperative banks are owned by primary cooperatives, whilerural banks are mostly owned by families from the local elite.Cooperative banks are small players in the rural bankingsystem. They are only six percent compared to 643 rural banksas of 2009.

BSP acknowledges the fact that as one of the vitalsources of financing in the countryside, the rural bankingindustry remains stable and continues to deliver sustainableand market-driven financial services to the agriculturalsector and the enterprising households. BSP reported thatduring the first three months of 2010, there were four ruralbanks which ceased to operate. Because of these closures,total assets of the industry were slightly reduced to P156.8billion at the end of March 2010 from P157.4 billion at theend of December 2009. As a highly-leveraged industry, ruralbanks have generated P108.4 billion deposits, accounting a69.1 percent share of the total resources of P156.8 billionas of March 2010. The total capital accounts were a farsecond provider of funds, with a 16.8 percent share of P26.3billion.

Mr. Speaker, the core business of the industry is lending.In fact, loans reached 60.9 percent or P95.5 billion of thebank’s total resources. According to the BSP, the rural bankingindustry continues to play a vital role in raising agriculturaloutput, channeling a significant portion of their lending tothe agricultural sector. Outstanding loans of rural banks tothe agricultural sector remain the largest at 35.9 percent share,which is P36 billion of total loans. Likewise, the rural bankingindustry was actively involved in the promotion ofmicrofinance in the countryside. BSP says, “Rural banksprovided a total of P4.9 billion worth of microfinance loansto 748,423 micro borrowers as of March 2010.”

It is worth mentioning that the industry is compliant withreference to MSME credit which exceeded the statutory floorsof eight percent from micro and small enterprises and twopercent from medium enterprises, respectively. Similarly, Mr.Speaker, the industry surpassed the minimum 10-percentmandatory credit allocation for agrarian reform credit at 15.6

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percent and exceeded the overall prescribed 25 percent agri-agra credit, posting a compliance ratio of 39.8 percent.

Let me point out the reported closure of rural andcooperative banks, Mr. Speaker. In 1999, 33 rural banks withliabilities worth P4.8 billion were closed. In 2008, 25 ruralbanks were closed. In 2009, 31 rural banks were padlocked.Seventy-nine rural banks were closed during the last threeyears, and this figure is 11.5 percent of the 686 rural andcooperative banks. These banks have 2,195 offices andbranches nationwide which were padlocked, and therefore,depriving rural people to have access to banking services. Asof 2008, 492 rural banks were under receivership andliquidation. There were a few takers to buy or bail out troubledbanks. As a result, the government had to incur huge losses.As long as the government fails to dispose of the closed banks’assets, it will have to shoulder all costs to the public? In fact,the cases of the Legacy Group and the closure of G7, becauseof the alleged massive fraud committed by the owners of thebanks, have raised a critical issue that there is somethingwrong with how banks are examined judiciously andcompetently. Not only this, we always read in the newspapersthe number of rural banks closed by the PDIC every year.Last year alone, the PDIC reported that 23 banks have beenplaced under receivership. Of this number of closed banks,three were cooperative banks, namely: the Cooperative Bankof Camarines Sur, the Cooperative Bank of Nueva Ecija andthe Cooperative Bank of Lanao del Norte. Is this not alarmingin the highest proportion to cause a panic, or loss ofconfidence, because our rural banking industry is ailing? Withthese 23 closed banks, the PDIC padlocked 59 head officesand branches of rural banks throughout the country, affecting81,238 bank accounts with deposit liabilities worth P2.7billion. In fact, the PDIC is obligated to shoulder the paymentof P2.5 billion worth of deposits solicited from the public.Of this amount, P408 million or 16 percent of the insureddeposits have already been paid by the PDIC.

It came to the knowledge of this Representation that lastyear, the PDIC formed a help desk to entice troubled banksto place itself under electronic auction. How does this work?The help desk will collate under secrecy the interested buyersof banks held under receivership for sale. Unfortunately, Mr.Speaker, nothing has been consummated as the distressedbanks priced themselves too high or set a high premium ontheir foreclosed assets. Nobody is interested to buy. This isunderstandable. The rural bankers would prefer to open morebranches rather than acquire something that is not worthbuying.

Banks can open five branches at a time on areas outsideMetro Manila and other restricted areas set by the BSP. Infact, a rural bank could realistically open a maximum 15branches a year. I was told that it is easier and cheaper thanbuying foreclosed banks. While it is true that depositors areinsured up to P500,000 of their deposit accounts, it is thegovernment that bears the financial burden. As taxpayers, weare actually the ones paying for the losses of a bank that isbeing padlocked. Everytime we hear news that a bank isforeclosed, a taxpayer like me becomes the loser.

PDIC President Jose Nograles assured the public thatdeposit liabilities of the 23 rural banks were something thatthe PDIC could easily afford. He said that as of September2010, the accrued value of a deposit insurance fund wasestimated at P66.4 billion. This is the amount of reserves of

the PDIC that are used to service deposit insurance claims ofdepositors of closed banks. It seemingly appears that Mr.Nograles’ pronouncement is a relief to the fear of mostly smalldepositors that they might not be able to recover their hard-earned savings from the closed banks. This assurance cameabout from the fact that the PDIC has the capability toshoulder deposit claims of closed banks because the combinedamount of validated deposits in the 23 banks closed this yearwas, in fact, small compared to what PDIC had to pay tocover for liabilities of banks closed in late 2008 to 2009.

As we recall, Mr. Speaker, the Legacy Group of ruralbanks had about P13 billion in validated deposit claims. Ofthese claims, the PDIC was able to pay P11 billion as ofOctober 2010. I read in the newspapers that, according toour government regulators, the allegedly fraudulent businessmodel of the Legacy Group was an exception rather than arule in the rural banking sector. The nagging question is thefact that banks, including the Legacy Group, were highlysupervised and regulated. The case of rural banks folding uphas not been prevented by this highly-supervised and regulatedenvironment. What I know, Mr. Speaker, is that the approachadopted by the BSP and the PDIC regarding rural banks andcooperative banks in distress is simply encouraging large andhealthier banks to acquire these troubled banks. Likewise,they are posing for consolidation and merger in the country’sbanking sector.

Recently, the PDIC and the BSP jointly put up a P5-billion fund that can be tapped as loans by big banks whichare willing to acquire rural banks. However, big banks do nothave the appetite to take this offer for the obvious reason thatit is better for them to establish new branches than buy atroubled bank. Mr. Speaker, last August 9, 2010, the BSPissued Circular No. 693, the BSP guidelines on the grant ofregulatory relief under the Strengthening Program for RuralBanks or SPRB. This is a joint undertaking of the BSP andthe PDIC in order to promote mergers and consolidations asa means to further strengthen the rural banking system throughthe grant of financial assistance by the PDIC and regulatoryrelief by the BSP to eligible strategic third-party investors(STPIs), which shall be RBs desiring to enter into mergersand consolidations with eligible RBs that may be consideredunder the SPRB.

Mr. Speaker, I believe that the grant of regulatory reliefand financial assistance in the form of a loan as provided inthe said circular will not effectively address the problems ofthe ailing rural banks and the cooperative banks as well.

At this juncture, Deputy Speaker Tañada relinquishedthe Chair to Deputy Speaker Raul A. Daza.

I am really wondering how effective our governmentregulators are in monitoring rural banks. Are they religiouslyand competently doing their supervisory tasks? Our BSPexaminers are supposed to be experts in the field ofsupervision and inspection to determine whether banks arecompliant to the internationally accepted prudential standards.At this juncture, Mr. Speaker, I would like to focus on theprevailing situations of the cooperative banks and theirpotential impact in the rural banking industry. Let me startwith some interesting statistics.

There were 55 cooperative banks organized under PD175 and under the Cooperative Code and now, it is down to

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43, or a decrease by 22 percent. Last year, three were closed.Of the 43 cooperative banks, 10 are under PCA (PromptCorrective Action). Again, of the 43 cooperative banks, 30have failed to comply with the Capital Adequacy Ratio (CAR).According to the BSP report, the cooperative banking industrycontinues to be fundamentally healthy, having better loan andasset qualities, adequate liquidity and solvency positions andprofitable operations. At the same time, the industry continuedto expand its assets, loans, deposit liabilities and capitalaccounts. Cooperative banks reported an impressive growthin earnings for the year 2009 as net profit rose by 29.5 percentto P368 million from P284 million in 2008. As a result, theindustry achieved higher return on assets (ROA) and returnof equity (ROE) at 2.8 percent and 20.2 percent, respectively.The industry’s total assets were record high at P15.2 billion,up by 17.9 percent from P12.9 billion in the previous year.

Loans extended to borrowers in the rural areas increasedby 17.4 percent to P10.9 billion from P9.3 billion over theprevious year. The nonperforming loans or NPLs and thenonperforming assets or NPA ratios got better to 8 percentfrom 9.6 percent, respectively. Deposit liabilities posted adouble-digit growth of 20 percent to P9.2 billion from P7.6billion in the previous year. These were provided withadequate cover as the liquid assets-to-deposits ratio stood at35.7 percent, while cash and due from banks to deposit ratiowidened to 31 percent over 2008.

Mr. Speaker, the BSP said in its report that thecooperative banking sector remained solvent. As of 2009,the industry’s total capital accounts amounted to P2.1 billion,up by 19.5 percent from the previous year’s of P1.8 billion.According to the BSP, this is the highest capital recorded sofar. More importantly, Capital Adequacy Ratio (CAR) as ofSeptember 2009 strengthened to 15.65 percent, way abovethe minimum 10 percent regulatory floor of the BSP and theinternational standard of 8 percent. Although the cooperativebanking industry continued to expand, the industry’s share ofbanking offices remained the smallest within the Philippinebanking system. As of December 2009, the industry has areach-out of 119 branches/offices all over the country.

Mr. Speaker, the primary reason that I stand before youand my dear colleagues today is to bring to your attentionthat with the closure of three cooperative banks this year andwith the 10 cooperative banks under the PCA by the BSP asof December 2010, I am greatly alarmed by the fact thataround 258,000 ordinary people, who are members of thevarious cooperatives affiliated with these ailing banks, willbe surely affected. Not only these individuals will be deprivedof access to credit and other banking services, they will losetheir own equity amounting to P244.2 million. Why close acooperative bank if it cannot comply with the promptcorrective action as required by the BSP? Why can thegovernment not help to prevent their closure and rehabilitatethem? In fact, according to the BSP, the cooperative bankingindustry remains as a significant alternative source of fundsfor the community, particularly for small businesses underthe marginalized sector of the economy. Another seriousmatter is the fact that the government will most likely incurP1.8 billion in deposit liabilities and bills payable if these 10cooperative banks under the PCA will not be able to recoverand consequently, will be foreclosed.

Is it not more prudent and strategic for the governmentto provide the P1.8 billion in the form of equity funds to

address capital inadequacy situation of these 10 distressedbanks in order to give them financial strength, rather thanclose them and incur the loss of P1.8 billion in taxpayers’money? Is it not more prudent and strategic for thisgovernment to provide temporary regulatory relief to thesedistressed cooperative banks with the condition that aneffective rehabilitation plan is in place? Is it not more prudentand strategic for the government to bail out the P244.2 millionhard-earned equity of the 258,000 ordinary people who aremembers of these cooperatives? Mr. Speaker, I thereforepropose that the government provide P2.5 billionrehabilitation fund for the 10 distressed cooperative banks.These 10 distressed cooperative banks should be merged orconsolidated with professional management as part of thecondition of rehabilitation and the government will compelall the 43 cooperative banks to work together and transformthem into one strong consolidated cooperative bank within atime frame of five years.

At this juncture, Deputy Speaker Daza relinquished theChair to Deputy Speaker Lorenzo R. Tañada III.

There was a similar effort undertaken by the governmentfor the rehabilitation of distressed cooperatives. Mr. Speaker,sometime in the 1980s, the government set up a cooperativefinance group to rehabilitate area marketing cooperatives.The group was composed of the BSP, NEDA, Land Bank,DA and Bangkoop. At that time, the Cory administration, ifI am not mistaken, provided an P80–million rehabilitationfund. Helping rehabilitate ailing banks is not a new approach,Mr. Speaker. This was done in the case of the UCPB in2008, if my memory does not fail me. Likewise,rehabilitating cooperative banks was done in the US. In fact,in the US, the government put up a central bank forcooperatives and allocated funds for capital infusion to ailingcooperatives. Everytime a cooperative avails of a loan fromthe central bank for cooperatives, 5 percent is deducted andcontributed to the central fund. The idea of 5 percentretention is an eventual replacement of the governmentfunds. With this proposal, I plan to file a legislative measurefor the establishment of a P2.5 billion rehabilitation fundfor the cooperative banks.

Maraming salamat, Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada). TheHonorable Guanlao is recognized.

REP. GUANLAO. Mr. Speaker, will the distinguishedGentleman from the Party-List Coop-NATCCO yield to someclarificatory questions?

THE DEPUTY SPEAKER (Rep. Tañada). If he sodesires.

REP. PAEZ. I am excited to entertain some questionsfrom my good colleague, being the former manager of acooperative bank in Pampanga, Mr. Speaker.

REP. GUANLAO. First, I would like to thank theGentleman for raising this issue about the cooperative bankingsystem. I think all of us represent districts in the provinceswhere cooperative banks are thriving in the rural areas,

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helping rural farmers, cooperatives and even microfinanceentrepreneurs. The Gentleman said that there are nowproblems of ailing cooperative banks. He also said that theBangko Sentral had issued PCO, prompt corrective actions,meaning, there are some 10 cooperative banks which arealready, ano ba ang tawag natin diyan, nasa death chamberna. Is that correct, Mr. Speaker?

REP. PAEZ. That is correct, Mr. Speaker. There are now10 distressed cooperative banks and they are considered underICU. That means, if nothing is done to help these cooperativebanks, all of these banks will be wiped out insofar as theguidelines of the BSP are concerned.

REP. GUANLAO. The Gentleman raised the issue ofrehabilitation. Is the government promoting this kind ofprogram for ailing cooperative banks? Specifically, I thinkthe Bangko Sentral now is much more concerned withconsolidating the resources of the financial sector and focusingon the large commercial banks.

REP. PAEZ. Precisely, that is the core of my privilegespeech, Mr. Speaker, because the attitude of BSP, and evenPDIC, is not really developmental. If you talk about banking,anything that has something to do with development wouldnot be considered. The fact is that cooperative banks andeven rural banks are there to provide the credit in the ruralareas, and therefore, their mission is developmental. This isthe very reason I raised this point, Mr. Speaker. The BSPshould come up with separate rules and regulations forcooperative banks.

REP. GUANLAO. The Gentleman means to say ourBangko Sentral now is not adept to deal with the economicsituation in our rural areas, considering that he said thatcooperative banks and rural banks really tend to help spurcountryside development. Why does the Bangko Sentral notmeet a lot with this kind? What percent of the total bankingsystem is made up of cooperative banks and the rural banks?Does the Gentleman know the ratio?

REP. PAEZ. Mr. Speaker, if the Gentleman is talkingabout the percentage that is provided to the total bankingresources of the banking system by the cooperative and ruralbanks, it is very insignificant, Mr. Speaker. But if theGentleman talks in terms of the presence of banks in thecountryside, then I would say that, insofar as commercial,universal banks are concerned, it is almost zero because theyare not present in the rural areas.

REP. GUANLAO. That means...

REP. PAEZ. Let me continue, Mr. Speaker. So, if theGentleman takes a look at the presence of commercial banksin relation to cooperative banks and rural banks in the ruralareas, talo ang commercial banks kasi wala naman sila doon.

REP. GUANLAO. Yes. Ang gusto ko hong malaman—dahil sabi niya nga na mukhang hindi pinapansin ng BangkoSentral ang maliliit na cooperative and rural banks—kayabang palitan ng mga commercial banks na ito ang ginagawangpagsisilbi ng ating mga rural financial institutions kapag

mawala silang lahat, assuming pabayaan ng gobyerno itongang ating mga cooperative and rural banks? Kaya bangpalitan ang ginagawa ang mga rural and cooperative banksng mga big or large commercial banks?

REP. PAEZ. From the developmental point of view, ifthe BSP will come up with a regulation that commercial banksshould put up branches or offices in the countryside, thenthat could be an alternative. But from the business point ofview, I do not think that commercial banks will do so becausethat is not profitable for them. In other words, what I amsaying is that there is no alternative, taking into considerationthe banking system we have in this country.

REP. GUANLAO. So, the Gentleman is suggesting thatthe presence of the rural banks and cooperative banks in ourcountryside development is really important, and thatrehabilitating these rural and cooperative banks is very crucialin the development of our countryside?

REP. PAEZ. Yes, I absolutely agree with the Gentlemanfrom Pampanga. Just imagine if there are no rural banks orcooperative banks in the municipalities and what you have isonly a commercial bank in the urban center. A farmer or anentrepreneur would then have to go to the city and travel,maybe, 50 or 100 kilometers just to deposit money. That isone disadvantage. Let us also think about the cost involved.Number two, I do not think that there is a commercial bankwhich will provide loans of one thousand, two thousand orfive thousand pesos. In fact, I learned that as an individual,you can borrow from a commercial bank if the amount thatyou would like to borrow is not less than five million pesos,Mr. Speaker. So how will there be access to credit insofar asthe rural people are concerned?

REP. GUANLAO. So, the Gentleman agrees that thereis really a need for this august Body to call for therehabilitation of our rural financial institutions. I am onein carrying that mission in rehabilitating the cooperativebanks. I suppose our other colleagues here who are alsofrom the rural areas will also support our call forrehabilitating not only the cooperative banks, but the ruralbanks and other rural financial institutions, Mr. Speaker,my dear colleagues.

Thank you, Mr. Speaker.

REP. PAEZ. In fact, Mr. Speaker, it would be a crime onthe part of the BSP not to address the situation. Imagine, aboutP244 million hard-earned money of the ordinary people willbe gone because of the lack of sensitivity on the part thegovernment, Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada). What is thepleasure of the Gentleman from the Party-List Coop-NATCCO, Congressman Ping-ay?

REP. PING-AY. Mr. Speaker, good evening, my dearcolleagues. I would like to ask several questions to theHonorable Paez, if he is willing to yield to several questions.

THE DEPUTY SPEAKER (Rep. Tañada). If he sodesires.

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REP. PAEZ. Gladly, Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada). Please proceed.

REP. PING-AY. Thank you, Mr. Speaker.Mr. Speaker, the Gentleman mentioned in his privilege

speech that out of the 55 cooperative banks that wereregistered under Presidential Decree No. 175 several decadesago, only 43 of these cooperative banks are still alive at thistime. In his study, what does he think are the factors that ledto the death of these cooperative banks in the country,including the 10 that are under the intensive care unit at thistime?

REP. PAEZ. One reason, Mr. Speaker, is the fact that theBSP applies the same regulatory framework of other banksto cooperative banks. What I am saying is that the BSP didnot consider the very nature and character of cooperativebanks so that one particular activity, for example, helping aprimary cooperative in granting loans, is immediatelyconsidered as DOSRI.

REP. PING-AY. DOSRI?

REP. PAEZ. Meaning, a cooperative bank, under BSPregulations, will be penalized. But the very nature of acooperative bank is that they were established to serve theneeds of primary cooperatives. So, what I am saying is thatcooperative banks should not be treated the same as otherbanks, and in fact this is one reason: it is not a question oflacking capital, but it is a question of regulatory impositionsand the result is that it would affect the capital accounts of acooperative bank.

REP. PING-AY. Yes, Mr. Speaker. When this humbleRepresentation was actively involved in the formation ofcooperative banks in Northern Luzon—I was once thefounding Chair of the Ilocos Sur Cooperative Bank—weinitiated the formation of the Benguet Cooperative Bank andthe Mountain Province Cooperative Bank. We were of theimpression, as promised by the Bangko Sentral ng Pilipinasat that time, that cooperative banks will be having their ownrule book. I was expecting that, at this time, there is already arule book specifically to govern the operations of cooperativebanks. Hanggang ngayon ba, Mr. Speaker, wala pa ba angmga rules na ito that should govern the operations ofcooperative banks, which are entirely distinct and differentfrom rural banks?

REP. PAEZ. To my knowledge, Mr. Speaker, there is nosuch rule book that is separate, that is only for cooperativebank operations. What the BSP is doing is applying thesame rule to all kinds of banks, including cooperativebanks. As a matter of fact, there is an imposition thatcooperative banks, even rural banks, should subscribe toBasel II. That means the standards are so high that it isalmost impossible for small banks to be able to complywith, Mr. Speaker.

REP. PING-AY. Mr. Speaker, when we were encouragedto form these cooperative banks in Northern Luzon, the veryobjective of the formation of the cooperative banks is for

these banks to generate deposits from the general public tobe used by the primary cooperatives that are investors of thecooperative banks. Now, the Gentleman is saying that,because of the BSP rules, the borrowings of these primarycooperatives which invested in these cooperative bank, areconsidered loans and therefore, these cooperative banks arebeing penalized for allowing the borrowing of theseinvestments in the cooperative banks. In fact, the veryobjective of the formation of these cooperative banks is forthe primary cooperatives to enjoy the privilege of being ableto borrow, at a lesser cost, money from these cooperativebanks that they own and they operate themselves.

REP. PAEZ. I agree with the Gentleman, Mr. Speaker.That is why, Mr. Speaker, at this time, I agree with the proposalof the former manager of the Pampanga Cooperative Bank,the Hon. Agapito Guanlao, when he said that we should createan atmosphere that is conducive to developing andstrengthening cooperative banks in the entire country. It is anecessity therefore that a legislation should pass throughCongress relative to the operation of cooperative banks thatis entirely distinct and separate from the operation of theserural banks in the country.

REP. PING-AY. But I think, Mr. Speaker, the BSP isplaying blind to its role and mandate with reference toRepublic Act No. 9520, Article 103, Assistance toCooperative Banks. Let me quote Republic Act No. 9520:

In accordance with existing policies,government agencies, government -owned or -controlled corporations and financial institutionsshall provide assistance, technical or otherwise tocooperative banks to permit them to grow, developand perform their role in countryside developmenttowards a sustainable national economicdevelopment. Whenever a cooperative bankorganized under this Code is in a state of continuinginability or unwillingness to maintain a period ofliquidity, the BSP may designate one of its officialsor a person of recognized competence preferablywith experience in cooperative banking andfinance, as conservator of the said bank pursuantto the appropriate provisions of existing bankinglaws.

What I am saying, Mr. Speaker, is that it is provided inthe law that the government cannot just padlock cooperativebanks. They have to rehabilitate them; they have to dosomething about it.

Mr. Speaker, yes, it is there in the provisions of RA No.9520. However, Republic Act No. 9520 was created two yearsago pero hanggang ngayon, in the cooperative sector, we areyet to feel the proper implementation of Republic Act No.9520. If we ask the Bangko Sentral ng Pilipinas whether theyare aware of the provision of Republic Act No. 9520 statingthat they should give financial or technical assistance tocooperative banks and cooperatives at any given time, I donot think that they are aware of that provision of the law, Mr.Speaker. As of this time, it is very lamentable to note thatRepublic Act No. 9520, one year and 10 months after it wasmade effective, the cooperative banking sector is yet to feel

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the proper implementation of the law. It is the very agenciesof government that are tasked to implement the provisionsof this law that do not comply with the provisions ofRepublic Act No. 9520. That is why the JointCongressional Oversight Committee, whereby this humbleRepresentation is a Co-Chairman with Senator Zubiri ofthe Senate, is going around the entire country to tell theagencies of government that they should comply with theprovisions of the law and that the cooperatives should nowfeel the privileges that are granted by Republic Act No.9520. But again, it is sad to note, Mr. Speaker, that theagencies of the government that are supposed to be taskedto implement the provisions of this law, are not even awareof the existence of the law and this provision. That is whyit is still an aspiration for us in the cooperative sector tobe assisted technically and financially by these governmentfinancial institutions pursuant to the provisions of RepublicAct No. 9520.

REP. PAEZ. The Gentleman is right there, Mr. Speaker,and I think, with his leadership, something can be done. But,I think, the first thing that we should do is to educate our BSPpeople. The fact that they do not understand cooperativesdoes not help. If only they understand, I think the situationwill not be like this.

I will give the Gentleman a specific example, Mr.Speaker. According to Basel ll, the capital adequacy ratiorequired is only eight percent, but in this country, therequirement is 10 percent. Now, the cooperative banks lendto their members – precisely, that is their purpose – andeverytime they lend money to their members, that is a penalty,that is a punishment, because that is considered an industryand so, the effect is that it would be very difficult for thecooperative banks—almost impossible—to be able to complywith the 10-percent capital adequacy ratio because theseaccounts will be taken against their capital accounts. But thefact is that cooperative banks are precisely organized for theirmembers and so, that is a contradiction, Mr. Speaker. Thus,there is really a need to educate these BSP people or perhaps,we can come up with a separate central bank for cooperativesrather than just allow cooperative banks to be under the mercyof the BSP, Mr. Speaker.

REP. PING-AY. Okay.

REP. APOSTOL. Mr. Speaker, point of order.

THE DEPUTY SPEAKER (Rep. Tañada). What is thepoint of order of the Gentleman from Leyte, CongressmanApostol?

REP. APOSTOL. Mr. Speaker, in the Committee ofBanks and Financial Intermediaries, there is a pending billnow on cooperatives and our study shows that this bill wasapproved by this House during the last Congress. Followingthe new Rules of the House, that bill will not anymore undergoany debate in the committee but will just be approved. Thisis my lead, for the information of the two Gentlemen.

THE DEPUTY SPEAKER (Rep. Tañada). The Chairwould like to acknowledge the point of order of the Gentlemanfrom Leyte.

Yes, it is stated in our Rules that said bill should beapproved by the committee without any need for a debatebefore it reaches plenary. That is correct, CongressmanApostol.

REP. PAEZ. May I know, Mr. Speaker…

REP. APOSTOL. May I just inform the two Gentlementhat the Committee on Banks will meet on February 1 to treatthis bill on the rehabilitation of cooperative banks.

Thank you very much, Mr. Speaker, for giving me thischance to inform the Body.

THE DEPUTY SPEAKER (Rep. Tañada). Thank you,Gentleman from Leyte. Congressman Paez may proceed.

REP. PING-AY. May I continue my last question, Mr.Speaker.

REP. PAEZ. Mr. Speaker, let me react because I am alsoa member of the Committee on Banks and FinancialIntermediaries, and being a member, I am always aware as tothe bills filed with reference to the cooperative sector. Withthe kind indulgence of the Chairman of the Committee onBanks and Financial Intermediaries, I have yet to see thisHouse bill being filed.

REP. APOSTOL. Of course, we will accommodate theGentleman. I do not know what the Gentleman will do becauseonce the bill is called in the Committee, somebody will moveto have that approved and the Committee will send it to theplenary for debate. Anyway, if the Gentleman is interested,the Secretary of the Committee will furnish him a copy ofthat bill authored by Congresswoman Del Mar.

THE DEPUTY SPEAKER (Rep. Tañada). Thank you,Representative Apostol. Congressman Paez will pleasecontinue.

REP. PAEZ. Yes, Mr. Speaker, I will consider themanifestation of the Chairman.

REP. PING-AY. Mr. Speaker, one last question.

THE DEPUTY SPEAKER (Rep. Tañada). TheHonorable Ping-ay will please proceed.

REP. PING-AY. Mr. Speaker, on the issue of his proposalfor a bailout coming from the BSP or whatever agency ofgovernment that is willing to undertake this initiative, thishumble Representation is of the observation that it will costmuch less for the BSP to just allow a cooperative bank to die anatural death rather than bail it out. Kasi ang perangnakadeposito sa mga cooperative banks ay very insignificantinsofar as the volume or the total amount is concerned thaninfusing capital. But the negative impact of the closure of thesecooperative banks is so great that even the primary cooperatives,which are investors in these cooperative banks, will have anunquantifiable loss, as a matter of fact, especially the peoplewho invested their money in these primary cooperatives which,in turn, invested their capital in these cooperative banks. Thatis why we urge that this privilege speech of the Honorable

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Paez be referred to a very specific committee so that thenecessary corrective measures to this financial situation ofthese cooperative banks will also be implemented.

Thank you, Mr. Speaker.

REP. PAEZ. Let me educate the Gentleman, Mr.Speaker, because this is a very important point. Accordingto the report of the BSP, the total deposit liabilities posted adouble-digit growth of 20 percent to P9.2 billion. Meaning,if nothing can be done, we lose P9.2 billion because thePDIC has to pay. The proposal is a P2.5 billion rehabilitationfund for us to be able to save P9.2 billion. But that is afigure, so to speak, without taking into consideration thatthe rural people in the countryside will be deprived of accessto credit, Mr. Speaker.

Maraming salamat po.

REP. LICO. Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada). What is thepleasure of the Gentleman from the Party-List ATING KOOP,Congressman Lico?

REP. LICO. Will the honorable Congressman Cris Paezyield to a few questions?

THE DEPUTY SPEAKER (Rep. Tañada). If he sodesires.

REP. LICO. Being a cooperative banker also?

REP. PAEZ. Yes, of course, Mr. Speaker.

REP. LICO. Thank you.

REP. PAEZ. Gladly and willingly to the Gentleman fromthe Party-List ATING KOOP.

REP. LICO. I congratulate the Gentleman for taking thecudgels for the cooperative bank industry. Being in thecooperative banking industry, I know how hard it is to operatethe cooperative banks. Is the closure of cooperative banksnot attributed to mismanagement?

REP. PAEZ. Mr. Speaker, I would say partly, but nottotally.

REP. LICO. Will the cooperative banks be strengthenedby strengthening first the primary cooperatives that own therespective cooperative banks?

REP. PAEZ. I say partly, Mr. Speaker, because the closureof these banks was also driven by oppressive regulatoryguidelines. As I said, under Basel II, the capital adequacyratio is set at eight percent. But, insofar as BSP policy isconcerned, whether it is a rural bank, a cooperative bank orcommercial bank, it is set at 10 percent. As I said, it is difficulton the part of the cooperative bank because they service theirmembers everytime they extend loans. This is considered riskyand would affect the capital accounts, especially if these loansare not secured, Mr. Speaker. But this point has nothing to dowith governance.

Of course, if the leadership of the cooperative bank isaggressive and is strong enough, and the bank has a betterrisk reputation in the community—maybe it has a capitaladequacy ratio of up to 20 percent—even if it has extendedvolume loans extended to its members, the effect could beinsignificant. But, of course, we have to consider the abilityof the cooperative banks to generate shares. We have toconsider the fact that there are cooperative banks operatingin provinces where the primary cooperatives are weak,especially if majority of these members are the SamahangNayon, Kilusang Bayan and others which were put up wayback during the martial law regime and can be foundnowhere; in other words, they cannot continue contributingto the shares. In fact, the primary cooperatives are there,but for them, it is not good business. After all, somecooperatives will look at cooperative banks competing withprimary cooperatives, especially credit cooperatives, Mr.Speaker.

REP. LICO. All right.Does the Gentleman have any statistics, considering that

the deposits of cooperative banks and rural banks are coveredby the PDIC, as to the 79 rural banks and cooperative banksclosed, as to how much deposits were not paid by the PDICabove the insured amount?

REP. PAEZ. There are 23 closed banks and depositliabilities amounting to P2.7 billion. Of the P2.7 billionliabilities, the PDIC is obligated to shoulder the payment ofP2.5 billion worth of deposits because not all deposits can becovered, taking into consideration that these affected banksare still within that P250,000 coverage, …

REP. LICO. Not the new coverage of P500,000?

REP. PAEZ. … not the new coverage of P500,000. ThePDIC was able to pay P408 million of the P2.7 billion. So,the PDIC is still obligated insofar as this report is concerned,Mr. Speaker.

REP. LICO. Mr. Speaker, the Gentleman mentionedmergers and consolidations of these banks. Does he have anyexperience as to how long will these will take? Especiallythat based on our experience, we have three banks inMindanao that we plan to consolidate and that proposal hasbeen pending for years in the BSP and there is no action up tothis time.

REP. PAEZ. Under the present policy environment ofthe BSP, it will take three, five or 10 years to consolidate ormerge. The issue is the policy environment. If BSP will lookat cooperative banks as financial institutions driven byconsideration of development in the rural areas, then I wouldsay it will take, maybe, one or two years. But if the attitude ofthe BSP is still banking in perspective, ganoon pa rin angmangyayari, Mr. Speaker. So, we have to address first thepolicy issues here, Mr. Speaker. If it is a small bank, it isnothing insofar as the BSP is concerned.

REP. LICO. All right. Based on our experience, werehabilitated one cooperative bank and that is the cooperativebank of Misamis Occidental that was closed by the PDIC, I

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think, three or five years ago, and it took us two years. Wewere of the belief that because deposits were paid or insuredby the PDIC, we will not be paying the PDIC what they havepaid to the depositors. But that belief was wrong. We weremade to pay the amount they paid to the depositors despitethe insurance with the PDIC. What can the Gentleman sayabout that?

REP. PAEZ. The Gentleman is correct because the viewor concern of the BSP is not rehabilitation.

REP. LICO. All right.

REP. PAEZ. If the view of the BSP is rehabilitation, thenthey have to find ways and means to come up with the bestsolution to the problem. So, they really address the problemas mechanical rather than developmental because if it isdevelopmental—if a distressed cooperative bank has to beconsolidated by a stronger cooperative bank, then theaccumulated losses over the years should be bailed out ratherthan considered as a carry-over in the books of the acquiringcooperative bank. In effect, it would diminish the capital baseof the acquiring bank in the process and so, any strongcooperative bank would never acquire a distressedcooperative bank because it would affect the value of theirshares.

REP. LICO. That is right.

REP. PAEZ. So, it is a crazy idea, Mr. Speaker. Theconcept is not rehabilitation. The concept is to kill. That isthe concept.

REP. LICO. Mr. Speaker, thank you very much,and I hope this bailout will succeed and we will seethat the cooperative banks in the countryside willprosper.

Thank you very much.

REP. PAEZ. Thank you very much, Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada). The FloorLeader is recognized.

REP. TUGNA. Mr. Speaker, I move that we refer theprivilege speech of the Hon. Cresente C. Paez from the Party-List Coop-NATCCO and the corresponding interpellationsthereon to the appropriate committee.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion isapproved.

The Floor Leader is recognized.

REP. TUGNA. Mr. Speaker, I move that we extend thePrivilege Hour by another 10 minutes.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion isapproved.

The Privilege Hour is extended by another 10 minutes.The Floor Leader is recognized.

REP. TUGNA. Mr. Speaker, may we recognize thehonorable Rep. Randolph S. Ting from the Third District ofCagayan for his privilege speech.

THE DEPUTY SPEAKER (Rep. Tañada). TheGentleman from the Third District of Cagayan, Rep. RandyS. Ting, is hereby recognized.

PRIVILEGE SPEECH OF REP. TING

REP. TING. Thank you very much, Mr. Speaker.Thank you very much, Floor Leader.Mr. Speaker, honorable Members of this esteemed

Chamber, guests, friends, ladies and gentlemen:Good evening.I rise to bring to the attention of this Chamber a possible

scenario that will happen after February 1, 2011 when theoverloading law will already be fully implemented by theDepartment of Public Works and Highways (DPWH) incoordination with the Philippine National Police (PNP) andthe Land Transportation Office (LTO). In order to protectour national highways and generate funding for itsmaintenance, Congress enacted Republic Act No. 8794,otherwise known as AN ACT IMPOSING A MOTORVEHICLE USER’S CHARGE ON OWNERS OF ALLTYPES OF MOTOR VEHICLES AND FOR OTHERPURPOSES. This act was signed by then President JosephEjercito Estrada in 2000 and the provisions of this lawprescribe the gross vehicle weight per type of vehicle, thecorresponding rates that each will pay, and the penalties forvehicles that weigh beyond the allowable gross vehicle weight.This law will generate more income for the government thatwill be utilized for the improvement, rehabilitation andmaintenance of our national roads.

Several years after the approval of this law, the DPWH,together with concerned agencies, is set to implement it,starting February 1, 2011. However, Mr. Speaker, thereappears to be a discrepancy in the computation of themaximum allowable gross vehicle weight that will be usedcome February, and that if used as a standard in theimplementation of this law, it will significantly affect thedelivery of goods to and from the major cities and provincesof this country in particular, and the economy in general. Toillustrate this discrepancy, let me discuss in brief how theweight of vehicles, especially those that are involved in thetransportation of goods and services, is computed.

The weight of a truck is determined per axle of thevehicle. The maximum weight allowed by the DPWH peraxle is 13,500 kilograms. So for a truck with two axles, 27,000kilograms is supposed to be allowed. This measurementdiffers, depending on the number of axles a vehicle has—whether it is a 10-wheeler or 18-wheeler, depending on thetype of cargo vehicle—for as long as the load per axle doesnot exceed 13,500 kilograms. But the matrix provided by theDPWH for all types of vehicle is way below the maximumallowable load per axle. For example, a truck that has twoaxles and six wheels, is allowed 27,000 kilograms. However,the maximum gross vehicle weight prescribed by the matrixsupplied by the DPWH for such type of vehicle is only 16,880kilograms. A truck trailer with three axles at motor, and twoaxles at trailer, should have a maximum allowable axle loadof 67,500 kilograms but the gross vehicle weight for such

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type of vehicle per matrix of the DPWH is only 41,00 kilograms.A 40-footer tanker that has a body weight of 24,000 kilogramsand can carry 40,000 liters of gasoline or fuel that, whenconverted to kilos, would weigh around 36,000 kilograms.Summing the two figures, a 40-footer tanker can have a grossweight of 60,000 kilograms but will only be allowed to have agross vehicle weight of 41,000 kilograms. There is a hugediscrepancy between the gross weight capacity of vehiclesand the gross vehicle weights as prescribed by the DPWH.When this will be implemented come February 1, 2011, trucksand trailers, tankers and other vehicles used in the transportof goods and services have to cut down or reduce their loadsto conform to the gross vehicle weights prescribed by theDPWH. If they will not reduce it, they will not be allowed topass through our national highways.

Mr. Speaker, if we will allow this to happen, what arethe possible scenarios?

First, the transport of goods to and from the provincesto Metro Manila and other cities will slow down. Eithertrucking companies will have to double their number of tripsfor a certain amount of deliveries just to meet the demandsof consumers, or just reduce the quantity of their deliveriesthat may redound to a shortage of supply. Imagine thedemand for fuel in all parts of the county, and fuel comesfrom the major depots in Metro Manila. When we reducethe gross vehicle weight for tankers, this will slow downthe operations of factories that are fuel-dependent and createa shortage in the supply of oil and gasoline in the provinces.Cagayan Valley, for instance, is the prime supplier of grainsto Metro Manila and other provinces. If traders will cut downon their deliveries to Metro Manila because of the increasein the transportation costs of their products, shortages inrice and corn will definitely happen and will affect even thelowliest family as we are all dependent on rice as our staplefood.

Second, with the unpredictable price of gasoline andother petroleum products and the imposition of load pervehicle limitations, businessmen involved in trading will begreatly affected as this will entail additional costs in thetransport of their goods. Ultimately, the traders will have topass on these additional costs to the consumers throughincreases in the prices of commodities. In the guise ofprotecting our roads and sourcing out funds for theirmaintenance, we will again put public interest and welfareon the line. Instead of helping out our traders in the conductof their business by providing them better roads fortransportation, we are imposing higher fees which will surelymake business harder for them. Instead of providing relieffor our people, especially during these times when the costof living has gone higher, the implementation of laws enactedseem inimical to their interests as it will possibly require themadditional expenses.

Mr. Speaker, I am not questioning the objective by whichRepublic Act No. 8794 was conceived nor am I questioningthe law. In fact, the law is laudable for it takes intoconsideration the protection and maintenance of our nationalroads. Our national roads are very important, particularly forour economy, for they provide links among provinces andfacilitate the delivery of goods and services. What I am askingfor us is to revisit the law, particularly its provisions onoverloading, in order for us to make it fair and equitable toall sectors concerned. It is for this reason Mr. Speaker, that I

am filing a resolution asking this Chamber to direct theCommittee on Transportation of this House to clarify andinquire on the computation of the maximum allowable grossvehicle weight per the overloading provisions of RepublicAct No. 8794. Considering that said overloading provisionwill be implemented on February 1, 2011, I ask that this begiven priority in order to clarify issues and concerns andeventually come out with a more acceptable mechanism ofprotecting our national roads and at the same time protectingthe interest and welfare of our people.

Thank you very much, Mr. Speaker.

REP. GONZALES (A.). Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada). What is thepleasure of the Congressman from the Third District ofPampanga, Aurelio “Dong” D. Gonzales Jr.?

REP. GONZALES (A.). Mr. Speaker, can I ask somethingto the Gentleman from Cagayan?

THE DEPUTY SPEAKER (Rep. Tañada). If he sodesires.

REP. TING. Yes, Mr. Speaker, gladly.

THE DEPUTY SPEAKER (Rep. Tañada). Pleaseproceed.

REP. GONZALES (A.). Thank you, Mr. Speaker.If the Gentleman says “axle load,” we are here tonight to

ask: what is one axle load, two axle loads and three axle loadsin terms of weight, Mr. Speaker?

REP. TING. If you will compute it by axle, then, it meansto say that the allowable load is 13,500 kilograms per axle.So, if we have three to four axles, then that will be equivalentto about 52,000 kilograms, more or less.

REP. GONZALES (A.). So, it is 52,000 kilograms, plusor minus?

REP. TING. 54,000 kilograms to be exact.

REP. GONZALES (A.). It is 54,000 plus or minuskilograms. What is the allowable rate given in this particularRepublic Act No. 8794?

REP. TING. It depends, Mr. Speaker. Actually, there is amatrix given by the Department of Public Works as theirpublic advisory. For Code 2, those with two axles is 16,880kilograms—that is the maximum allowable gross vehicleweight. For Code 12, for a 10-wheeler truck with three axles,it is 27,250. For a 10-wheeler with four axles, it is 29,700.Here, the Gentleman can see that for Codes 1 to 2 and Codes1 to 3, you can already see the difference. Actually, if youwill compute the difference, it should be 13,500 because youadded an additional one axle, but then in the computation ofthe Department of Public Works and Highways, the grossvehicle weight will only be 29,700. In fact, ang nadagdagdoon sa truck ay ang kilograms lang po ng axle. So, what isthe use of adding another axle without giving an additional

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load capacity for the truck? Iyon po ang nagiging isyu dito,Mr. Speaker. There are also other types of vehicles. I canjust give the Gentleman a copy of this advisory so that hecould see this for himself, at para malaman din po natin,Mr. Speaker.

REP. GONZALES (A.). Opo, nandoon na po ako—thenumber of axle, weight per axle, per load, per kilogram.Ang tinatanong ko lang po dito ay—I am just curiousbecause I am also from Pampanga—there are a lot of truckstravelling the roads 24 hours day and bringing sand, item 1-0-1, those arefeeding materials, et cetera, but as theGentleman said, the weight should not exceed the givenkilograms. What I mean to say, Mr. Speaker, hindi po kasitumaas ang presyo ng produkto. For example, in theprovince, hindi tumaas ang presyo ng produkto pero tumaasnaman po ang binabayaran natin sa toll gate like the tollfees sa North Luzon Expressway. Ang binababa nila ay angweight ng ating mga negosyante, kaya para nakikita ko podito na walang “win-win” solution. Does the Gentlemanknow the shrinkage of a national road being used by trucksin delivering goods from one province to another? Does heknow the shrinkage per truck load?

REP. TING. No, Mr. Speaker. Nagkaroon na dati ngproblema ito three years ago and in fact, there wereconsultations then in Malacañang with regard to thisoverloading law. At that time, the agreement was, magkakaroonpo ng parang load limits doon sa North Luzon Expressway.Up to the present, ang alam ko po ay ang mga trucks nadumadaan sa North Luzon Expressway ay mga trucks na hindilumalagpas ng 13.5 tons per axle na pumupunta rito sa MetroManila. Doon po sa North Luzon Expressway ay pinapayaganpo ang 13.5 tons per axle load. Hindi naman po nasisira angkalsada doon, hindi naman po nagde-deteriorate ito That is thelimit as of now kaya nga po gusto naming malaman kung anongdata na mayroon ang DPWH kaya nila sina-suggest ang tableng gross vehicle weight na ito.

REP. GONZALES (A.). Thank you, Mr. Speaker.I am just asking this of the Gentleman because I am not

anti-overloading, I am not also pro-overloading. But, youknow, in fairness to the national government, if every truckpassing through the national highway causes a shrinkage ofpoint something millimeter, ang nangyayari po sa ating mganational highways ay nagde-deteriorate po ang mga ito atnasisira because of the weight. Hindi po ako against doon.Ang concern ko lang po dito ay our constituents na, forexample, may negosyo na gravel and sand. Halimbawa, angisang truckload of sand sa isang 10-wheeler truck na sinabininyo po na may two or three axles, that is equivalent to 17to 20 cubic meters. However, if you are going to transportthat, you will violate the weight limit given in the anti-overloading law. Hindi po tumaas ang presyo ng produktopero tumaas naman po ang binabayaran nila sa nationalgovernment. Like, for example, for the toll fee in the NorthLuzon Expressway, there is an additional 10 percent butthere is no additional cost for the businessman orbusinesswoman na may negosyong sinabi niya, halimbawa,sa kanyang probinsya. Iyon po ang sinasabi ko. Siguro po,ang gagawin na lang natin, sa nakikita ko lang po dito, parasa DOTC at sa Department of Public Works and Highways,

ay dapat alamin nalang natin kung papaano maaayos angmga national highways natin everyday and we have a budgetof eight to 10 billion pesos from the Motor Vehicle Users Act.Puwede kong sabihin iyon. Sinasabi ko rin po dito na hinditumaas ang presyo ng produkto, ano mang produkto pa iyon,pero tumaas po ang binabayaran natin sa paggamit ng mgakalsada. Is the Gentleman in favor of that? Does he agreewith that?

REP. TING. Yes. In fact, I agree with the Gentlemanfrom Pampanga na hindi rin po kami against sa pag-implement ng anti-overloading law. Ang problema langnamin ay ang pagkuwenta ng overloading, ang process,because maski doon sa new matrix na ipinalabas nilangayon, at nasa aking kamay ang listahan, ay makikita mona mayroon silang maximum allowable weight. ForCategory Code 11 na truck, may maximum allowed grossweight sila na 16,880 kilograms. Pero doon sa anti-overloading enforcement matrix nila, ang apprehensionguide nila, ang 17,722 kilograms ay hindi po penalized.Doon po sa nagre-range between 17,000 to 17,723kilograms ay may penalty, and more than 25,320 kilograms,with penalty and no travel. So, on axle load, for thoseweighing 13,500 kilograms and below, there is no penaltybut with penalty and no travel are those weighing morethan 13,500 kilograms. Ayon po sa pag-aaral namin, ditopo sa 17,723 to 25,320 kilograms na second category nila,ito po ay siguradong hindi po lumalagpas sa 13,500kilograms per axle. Kaya kung axle load lang ang pag-uusapan, hindi po ito in violation of the law pero angginawa nila ngayon at nag-compute sila ng maximumallowable gross weight, at 16,880 kilograms ay consideredoverloading na kasi binabase na ito doon sa gross vehicleweight at hindi na sa 13,500 kilograms na isinasaad ngbatas na breaking point po ng ating mga kalsada. At totooang sinasabi ng magiting na Congressman sa Pampangana ang mangyayari, kung babawasan natin ang karga pong bawat truck na dumadaan po sa ating mga highways, aytataas po ang presyo dahil, siyempre, kapag binawasan moang kargada ng trak mo, saan mo kukunin ang ipandadagdagmo sa gastos na ganoon pa rin? Kaya sumasang-ayon poako sa kanyang pananaw.

REP. GONZALES (A.). Salamat po, Mr. Speaker.Halimbawa lang po, I will buy one truckload of sand

from Pampanga, the Porac sand, which is the first-class sandna ginagamit sa construction industry. Pagdating ng trak sajob site ay susukatin ko ito. Ang sukat ng bayad dito is percubic meter, Mr. Speaker. Halimbawa, dati mo akongbinibigyan ng 20 cubic meters at ngayon nagbawas ng apatna kubiko kaya magiging 16 cubic meters nalang. There is adifference of four cubic meters. Halimbawa, binabayaran kong P10,000 per truckload ito and per cubic meter, lalabas itong P500 per cubic. Meaning to say, natatalo na ang bumibilikaysa doon sa supplier. I am not looking for a congruent andanalytical explanation. Hindi ko lang makita ang punto dito.Binawasan natin ang volume na karga ng trak because ofoverloading, tapos, we are preventing it from using ournational highways. Papaano naman po ang mga negosyante?Negosyante ako, negosyante ka; ikaw ang nagsu-supply, akoang bumibili, kaya saan po tayo pupunta mula dito?Halimbawa, hindi ko babayaran ng P10,000 ang supplier kasi

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kulang ng apat na kubiko. Papaano na ang mga negosyante,papaano na ang mga supplier? Iyon po ang sinasabi ko. Kayakailangan ay mayroon tayong mapapagbasehan na mapapag-aralan kung saan hindi matatalo ang mga negosyante. Howcan we invest and generate employment at paano natintutulungan ang mga negosyante kung ganito ang mangyayari?Kaya tama po ang Kinatawan. I agree with the Gentleman sasinasabi niya about the axle load not being equal sa dini-deliver po ng ating mga supplier. Iyon lang po, Mr. Speaker.At least po ay na-claro ko po kay Congressman Ting, theGentleman from Cagayan, ang aking nais itanong.

Salamat po, G. Ispiker.

REP. TING. Maraming salamat din po.

THE DEPUTY SPEAKER (REP. Tañada). The Dep.Majority Leader is recognized.

REP. BINAY. Mr. Speaker, I move that we refer thespeech of the Honorable Ting, and the interpellations thereon,to the Committee on Transportation.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the same is approved.

The Dep. Majority Leader is recognized.

REP. BINAY. Mr. Speaker, I move that we close thePrivilege Hour.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion is approved.

The Privilege Hour is hereby terminated.The Dep. Majority Leader is recognized.

ELECTION OF MEMBERS TO COMMITTEES

REP. BINAY. I move that we consider the Business forthe Day.

Mr. Speaker, I would like to elect the following Membersto the following committees:

The Dep. Majority Leader, Rep. Mar-Len Abigail S.Binay, read the names of the House Members elected tovarious committees, per Journal No. 49:

COMMITTEE ON BANKS ANDFINANCIAL INTERMEDIARIES

Rep. Isidro Q. Lico, additional member

COMMITTEE ON HOUSINGAND URBAN DEVELOPMENT

Rep. Isidro Q. Lico, additional member

COMMITTEE ON COOPERATIVES DEVELOPEMENT

Rep. Isidro Q. Lico, additional member

COMMITTEE ON OVERSEAS WORKERS AFFAIRS

Rep. Isidro Q. Lico, additional member

COMMITTEE ON AQUACULTUREAND FISHERIES RESOURCES

Rep. Sharon S. Garin , as additional member

SPECIAL COMMITTEEON EAST ASEAN GROWTH AREA

Rep. Emmanuel D. Pacquiao, as additional member

COMMITTEE ON ECONOMIC AFFAIRS

Rep. Michael Angelo C. Rivera, as additional member,

COMMITTEE ON HUMAN RIGHTS

Rep. Francisco Emmanuel R. Ortega III, as additionalmember

Rep. Salvador P. Cabaluna III, as additional member

COMMITTEE ON MINDANAO AFFAIRS

Rep. Pedro B. Acharon Jr., as additional member

COMMITTEE ON NATIONAL DEFENSEAND SECURITY

Rep. Victor J. Yu, as additional member

COMMITTEE ON PUBLIC INFORMATION

Rep. Raymond V. Palatino, as additional member

COMMITTEE ON RURAL DEVELOPMENT

Rep. Ma. Rachel J. Arenas, as additional memberRep. Rex Gatchalian, as additional member

SPECIAL COMMITTEE ON SOUTHERNTAGALOG DEVELOPMENT

Rep. Michael Angelo C. Rivera, as additional memberI so move, Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada). Is thereany objection? (Silence) The Chair hears none; the saidMembers are hereby elected as part of the Majoritycontingent to the said committees.

The Dep. Majority Leader is recognized.

OMNIBUS CONSIDERATION ANDADOPTION OF RESOLUTIONS

REP. BINAY. Mr. Speaker, I move for the omnibusconsideration and adoption of the following resolutions oninquiries in aid of legislation:

1. House Resolution No. 710 as contained in CommitteeReport No. 493;

2. House Resolution No. 712 as contained in CommitteeReport No. 498;

3. House Resolution No. 713 as contained in CommitteeReport No. 499;

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4. House Resolution No. 715 as contained in CommitteeReport No. 500;

5. House Resolution No. 716 as contained in CommitteeReport No. 501;

6. House Resolution No. 718 as contained in CommitteeReport No. 502;

7. House Resolution No. 719 as contained in CommitteeReport No. 503; and

8. House Resolution No. 840 as contained in CommitteeReport No. 504.

I so move, Mr. Speaker.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the resolutionsare hereby adopted. *

REP. BINAY. Mr. Speaker, I move for the change of referralof House Bill No. 1408 from the Committee on Revision ofLaws to the Committee on Women and Gender Equality.

I so move.

Published by the Publication and Editorial Service, Plenary Affairs BureauThe Congressional Record can be accessed through the Downloads Center of the official website

of the House of Representatives at www.congress.gov.phAZB/ddc/042022013/1605

* See MEASURES CONSIDERED (printed separately)

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion isapproved.

The Dep. Majority Leader is recognized.

ADJOURNMENT OF SESSION

REP. BINAY. Mr. Speaker, I move that we adjournthe session until four o’clock in the afternoon of January25, 2011.

I so move.

THE DEPUTY SPEAKER (Rep. Tañada). Is there anyobjection? (Silence) The Chair hears none; the motion isapproved.

The session is adjourned until four o’clock in theafternoon of January 25, 2011.

It was 7:41 p.m.