SEVENTEENTH CONGRESS )REPUBLIC OF THE PHILIPPINES )F irst Regular Session )

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K E a iV C O B V 1.

SENATE

S.B. No. 1259

In tro d u c e d by SENATOR LOREN LEGARDA

AN ACTESTABLISHING A PHILIPPINE SPACE DEVELOPMENT POLICY AND CREATING THE PHILIPPINE SPACE AGENCY (PhilSA), DEFINING ITS PURPOSE, APPROPRIATING FUNDS THEREFOR AND FOR OTHER PURPOSES

E xplanatory Note

This bill seeks to estab lish a National Space Developm ent and Utilization Policy (NSDUP), w hich will serve a s the coun try ’s prim ary strategic roadm ap for space developm ent and will em body the co u n try ’s goal of becom ing a space-capable and space-faring nation w ithin the next decade.

It m u st be considered th a t the Philippines is lagging behind its neighboring coun tries su ch a s Indonesia, M alaysia, V ietnam , an d Singapore, each having Space Agencies w ith satellites devoted on telecom m unications or earth m onitoring. Due to lack of local su p p o rt to th is field, m any of o u r globally- com petitive Filipino space sc ien tists have in stead opted to serve in space agencies abroad.

Space program s an d developm ent a re no t lim ited to sending a s tro n a u ts to space or engineering space crafts and technologies, b u t they, in fact, ad d ress basic needs in o u r daily lives such a s the application of global navigation satellite system s w hich directly affects industries, tran sp o rta tio n m anagem ent, na tional security , health m anagem ent, and the expansion of scientific and engineering resources.

In view of the foregoing, the passage of th is bill is earnestly sought.

—iX)REN LEGARDASenator

SEVENTEENTH CONGRESS )REPUBLIC OF THE PHILIPPINES )F irs t Regular Session )

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'16 DEC -1 AlO -34

SENATE

S.B. No. 1259 M C E IV tD IV :

In tro d u c e d by SENATOR LOREN LEGARDA

AN ACTESTABLISHING A PHILIPPINE SPACE DEVELOPMENT POLICY AND CREATING THE PHILIPPINE SPACE AGENCY (PhUSA), DEFINING ITS PURPOSE, APPROPRIATING FUNDS THEREFOR AND FOR OTHER PURPOSES

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

1 SECTION 1. SHORT TITLE. This Act shall be know n a s the “P h ilip p in e Space2 A ct (PhilSA).”3 SEICTION 2. D e c la ra tio n o f Policy . - It is hereby declared the policy of the4 State:

5 (a) To safeguard Philippine sovereignty, territorial integrity, Philippine6 in terest, an d the right to self-determ ination a s m andated by the Article II7 Section 7 of the 1987 C onstitu tion;8 (b) To sup p o rt and com m it to the developm ent of science an d technology9 th a t will foster patrio tism an d nationalism an d accelerate social progress,

10 su ch a s the developm ent of space technology and applications for its11 security and for the benefit of its citizens;12 (c) To en su re access to space and its environs a s a sovereign right and13 s tip u la tes the need to create a na tional strategy for space development;14 (d) To recognize th a t there is an u rgen t need to create a coheren t and unified15 strategy for space developm ent an d utilization to keep u p with o ther16 n a tio n s in te rm s of space science and technology;17 (e) To en su re th a t the Philippines h a s official rep resen ta tion in the18 in ternational space com m unity for estab lish ing cooperation agreem ents19 and linkages on space developm ent;20 (f) To en su re th a t the Philippines abides by the various in ternational space21 trea ties and principles prom ulgated by the United N ations and becom es22 an active partic ipan t in the in ternational space com m unity;23 SECTION 3. D e fin itio n o f T erm s. - As used in th is Act, the following term s24 are defined a s follows:25 (a) PhilSA shall refer to the Philippine Space Agency created by virtue of th is26 Act.

27 (b) Space Science and Technology A pplications or SSTA shall m ean the28 scientific principles and their applications to space science, engineering29 an d o ther allied fields.

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(c) Satellites include all objects launched into E arth orbit and artificial objectsto be placed in o rb it of celestial bodies or conduct space exploration.

SECTION 4. T he P h ilip p in e Space D ev elo p m en t a n d U tiliz a tio n Policy. ThePhilippine Space Developm ent and Utilization Policy, or the Philippine Space Policy, will serve a s the co u n try ’s prim ary strategic roadm ap for space developm ent and em bodies the co u n try ’s cen tra l goal of becom ing a space-capable and space- faring nation w ithin the next decade. It shall focus on a reas of SSTA th a t would address national issues, prom ote the efficient u tilization of space a sse ts and resources, estab lish capacity-build ing m easu res for hum an resources developm ent and enhance in ternational cooperation.

SECTION 5: F ram ew o rk o f th e Space Policy . The Philippine Space Policy will focus on six (6) Key Developm ent Areas (KDA) for SSTA developm ent to en su re the S ta te ’s su s ta ined progress:

a) National Security and Developm ent - The Philippines will focus on space applications th a t can preserve and enhance the coun try ’s national security and prom ote developm ent th a t is beneficial to all Filipinos;

b) Hazard M anagem ent and Clim ate S tud ies - The Philippines will develop and utilize space science and technology applications to enhance its hazard m anagem ent and d isaste r m itigation strategy as well a s ensure the n a tio n ’s resiliency to clim ate change;

c) Space R esearch and Developm ent - To sp u r rapid scientific growth, the Philippines will focus on conducting research and developm ent endeavors in vital a reas of space science, technology and allied fields;

d) Space Industry Capacity Building - The Philippines will create a robust and thriving space industry to sup p o rt the co u n try ’s space program through private sector involvem ent and cooperation;

e) Space E ducation and A w areness - The Philippines aim s to estab lish a su s ta inab le pool of trained space sc ien tists, engineers and com m unicators th a t will be critical for the co u n try ’s fu ture space program and increasing public aw areness on its value and benefits; and

f) In ternational Cooperation — Through in ternational p a rtn ersh ip s and collaborations, the Philippines will become a key player in the ASEAN and global space com m unity by providing significant con tribu tions and capabilities on space science and technology applications.

SECTION 6. C re a tio n o f th e P h ilip p in e Space A gency (PSA). - A Philippine Space Agency, hereinafter referred to as the “PhilSA”, is hereby established as the central governm ent agency addressing all national issues and activities related to space science and technology applications.

SECTION 7. M an d ate - The PhilSA shall be the prim ary policy, planning, coordinating, im plem enting, and adm inistrative entity of the Executive B ranch of the governm ent th a t will plan, develop, and prom ote the national space program in line with the Philippine Space Policy.

SECTION 8. Pow ers a n d F u n c tio n s . - The PhilSA shall exercise the following powers and functions:

Policy and Planning and Coordination

a. A ssist the S tate in the creation, developm ent and im plem entation of na tional and in ternational space policies;

b. Plan, direct, m anage and im plem ent program s and projects relating to scientific space research and developm ent and the application of space technology;

I.

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c. Take hold of money, securities or o ther personal or moveable property by gift or bequest and expend, adm in ister or dispose of any such money, securities or property subject to the term s, if any, on which the gift or bequest w as m ade in such m anner a s shall best prom ote the PhilSA’s objectives;

d. Im plem ent the Philippine Space Developm ent and Utilization Policy;e. Coordinate all space activities of various sectors and stakeholders in

the Philippines;

Provide appropria te and accura te advice to the President of the Philippines and o ther governm ent agencies on space-related issues and concerns;

f.

II. Improved Public Access and R esource-Sharing

a. Develop, construc t, acquire, m anage, m ain tain and operate space research , developm ent and operation facilities and system s on behalf of the Philippine governm ent for use of various governm ent agencies;

b. A ssist D epartm en ts and o ther agencies of the S tate in the utilization of SSTA to aid in the perform ance of their respective m andates and duties;

III. R esearch and Developm ent

a. Perform basic and applied research and developm ent relating to SSTA in collaboration with universities, industries and o ther institu tions;

b. Design, develop and co n stru c t space system s and facilities necessary thereof, as well a s launch , track and operate the satellites on behalf of the Philippine governm ent;

c. Prom ote the growth of space science and technology th rough research and developm ent;

IV. E ducation and C apacity Building

a. E stab lish program s th a t would develop space education and prom ote public aw areness;

b. Provide g ran ts and con tribu tions in sup p o rt of program s or projects relating to scientific or industria l space R&D and application of space technology;

c. Provide services and facilities for the u se by entities conducting academ ic R8&D relating to SSTA;

V. Industry Developm ent

a. Prom ote the developm ent of a ro b u st and v ibran t local space industry and economy;

b. Prom ote the transfer and diffusion of space technology th roughou t the Philippine industry ;

c. E ncourage the com m ercial exploitation of space capabilities, technology, inform ation, facilities and system s.

d. License, sell or otherw ise m ake available any paten t, copyright, industria l design, tradem ark , trade secret or o ther like property controlled;

e. D issem inate the resu lts of R&D activities and prom ote the utilization thereof, except w hen inform ation is deem ed confidential for national

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welfare and security and for the protection of intellectual propertv rights;

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VI. In ternational Cooperation

a. Cooperate with space-related agencies of o ther coun tries in the peaceful u se and developm ent of space;

b. E n ter into con tracts, m em oranda of u n d e rs tan d in g /ag reem en t or o ther a rran g em en ts in behalf of the State;

E stab lish and m ain tain linkages with o ther na tional space agencies and organizations;

c.

SECTION 9. C o m p o sitio n . - The PhilSA shall be an a ttached agency of the Office of the President for pu rposes of policy and program coordination, to ensu re alignm ent in na tional policies and priorities. It shall be headed by a Director General. The PhilSA proper shall be com posed of the Office of the D irector General, the Offices of the D eputy D irectors and various Divisions to be created as deem ed necessary.

SECTION 10. D irec to r G enera l o f th e PhilSA. - The D irector G eneral shall have the rank and com pensation of a C abinet Secretary and shall be appointed by the President, sub ject to the confirm ation by the Com m ission on A ppointm ents. The Director General shall have the following functions:

a) Provide executive direction and supervision over the entire operations of the PhilSA and its a ttached un its;

b) E stab lish policies and s tan d ard s for the effective, efficient and econom ical operation of the PhilSA, in accordance with the program s of the governm ent;

c) Review and approve requests for financial and m anpow er resources of all operating offices of the PhilSA;

d) Designate and appo in t officers and employees of the PhilSA, excluding the Deputy D irectors, in accordance with the civil service laws, ru les and regulations;

e) Exercise disciplinary powers over officers and em ployees of the PhilSA in accordance with law, including their investigation and the designation of a com m ittee or officer to conduct such investigation;

f) Coordinate with o ther D epartm ents, agencies and public and private in te rest groups, including non-governm ent organizations (NGOs) and people’s organizations (POs) on PhilSA policies and initiatives;

g) Prepare and subm it to the President through the D epartm ent of Budget and M anagem ent (DBM) an estim ate of the necessary expenditures during the next fiscal year, on the basis of the reports and estim ates subm itted by the divisions and offices u n d e r h im /h e r;

h) Serve a s a m em ber of the G overnm ent P rocurem ent Policy Board (GPPB) as estab lished by Republic Act No. 9184, also known as the Governm ent Procurem ent Reform Act;

i) Serve as the Presidential Adviser on Space M atters and advise the President on the prom ulgation of executive and adm inistrative orders and form ulation of regulatory and legislative p roposals on m atte rs pertaining to SSTA developm ent;

j) Form ulate such ru les and regulations and exercise such o ther powers as m ay be required to im plem ent the objectives of th is Act: and

k) Perform such o ther ta sk s as m ay be provided by law or assigned by the President.

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SECTION 11. D epu ty D irec to rs . - The D irector G eneral shall be assisted by three (3) Deputy D irectors with the ran k and com pensation of a D epartm ent U ndersecretary who shall be appointed by the President upon the recom m endation of the Director General: Provided, th a t two (2) of the D eputy D irectors shall be career executive officers.

SECTION 12. Q u a lif ica tio n s . - No person shall be appoin ted D irector General or Deputy Director of the PhilSA un less he or she is a citizen and residen t of the Philippines, of good m oral charac ter, of proven integrity with, with an advanced degree in Space Science, Astronom y, Physics, Engineering or related fields of study, with a t least five (5) years of com petence and expertise in any of the following: astrophysics, space science, aerospace engineering, space system s engineering, rem ote sensing space industry , or h u m an capital developm ent in the SSTA sector.

SECTION 13. T ra n sfe r o f A stro n o m ica l a n d S p a c e -re la te d F u n c tio n s . - Toconsolidate the functions of PSA the following o ffice /un its shall be transferred from its paren t agency;

a) Philippine Aerospace Developm ent C orporation, D epartm ent of T ransporta tion and C om m unication (DOTC)

b) M anila P lanetarium , National M useumc) Philippines Space E ducation Institu te (DOST-SEl)

Non-D im inution of M andates - Nothing in th is Act shall d im inish the functions and responsib ilities of the support agencies.

SECTION 14. S e p a ra tio n a n d R e tire m e n t from S erv ice . — Employees who are separated from service within six (6) m onths from the effectivity of th is Act as a resu lt of consolidation a n d /o r reorganization u n d e r the provisions of th is Act shall receive separation benefits to which they m ay be entitled u n d e r Executive O rder No. 366, s. 2004: Provided, T hat those who are qualified to retire u n d er existing retirem ent laws shall be allowed to retire and receive re tirem ent benefits to which they may be entitled u n d er applicable laws and issuances.

SECTION 15. S tru c tu re a n d S ta ffing P a tte rn . — Subject to the approval of the DBM, the PhilSA shall determ ine its organizational s tru c tu re and create new divisions or u n its as it m ay deem necessary, and shall appoin t officers and employees of the PhilSA in accordance with the civil service law, ru les and regulations.

SECTION 16. M agna C arta . - Qualified employees of the PhilSA and its a ttached u n its shall be covered by Republic Act No. 8439, known as the Magna C arta for Scientists, Engineers, R esearchers and O ther Science and Technology personnel in the Government.

SECTION 17. A nnua l R ep o rt. - The PhilSA shall subm it to the President and to both H ouses of C ongress, not la ter th an M arch 30 of every year following the effectivity of th is Act, a report giving a detailed accoun t of the s ta tu s of the im plem entation of th is Act and recom m ended legislation, w here applicable and necessary.

SECTION 18. F u n d s o f th e PhilSA. - The funds of the PhilSA shall consist of:a) the a n n u a l G eneral A ppropriation for the PhilSA;b) Income, fees, royalties and o ther revenues obtained from any o ther

sources;

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The funds shall be adm inistered by the D irector G eneral of the PhilSA in accordance with existing governm ent budgeting, accounting and auditing ru les and regulations.

SECTION 19. P h ilip p in e S pace D ev elo p m en t F und . - There is hereby created the Philippine Space Developm ent Fund to be used exclusively for the PhilSA. The Philippine Space Developm ent Fund shall be adm in istered by the Director General of the PhilSA in accordance with existing governm ent budgeting, accounting and auditing ru les and regulations. The Philippine Space Developm ent Fund shall be sourced from the following:

a) The am o u n t of ten billion pesos (P 10,000,000,000.00) to be taken from the share of the National G overnm ent in the gross incom e of the Philippine A m usem ent and Gam ing C orporation (PAGCOR) and the Bases Conversion and Developm ent A uthority (BCDA). For five (5) years after the effectivity of th is Act, an am oun t of two billion pesos (P 2 ,000,000,000.00) per year shall be released to the PSA. The entire am oun t of ten billion pesos (P 10,000,000,000.00), including any in terest income thereon, shall be used exclusively for capital outlay.

b) Income from specialized products, services, and royalties produced bv the PhilSA.

c) Loans, con tribu tions, g ran ts, bequests, gifts, and donations w hether from local or foreign sources. Provided, th a t the acceptance of g rants, bequests, con tribu tions and donations from foreign governm ents shall be subject to the approval of the President upon the recom m endation of the Director G eneral of the PhilSA and Secretary of the D epartm ent of Foreign Affairs (DFA). The D irector General with the approval of the NEDA and subsequen tly the D epartm ent of Finance (DOF) is hereby granted the au tho rity to en te r into loan agreem ents with foreign financial institu tions.

SECTION 20. A p p ro p ria tio n s . - The sum of One Billion Pesos (PHP 1,000,000,000.00) is hereby appropriated a s initial operating fund of the PhilSA, taken from the c u rren t fiscal y ear’s appropriation of the Office of the President! D epartm ent of Science and Technology, and D epartm ent of National Defense.' Thereafter, the am o u n t needed for the operation and m ain tenance of the PhilSA shall be included in the G eneral A ppropriations Act.

SECTION 21 . Im p le m e n tin g R ules an d R eg u la tio n s . - The PhilSA, DBM, CSC and o ther governm ent agencies concerned shall issue within ninety (90) days from the effectivity of th is Act the necessary ru les and regulations for the effective im plem entation of th is Act.

SECTION 22. S e p a ra b ility C lause. - If any provision of th is Act shall be declared unconstitu tional or invalid, the o ther provisions not otherw ise affected shall rem ain in full force and effect.

SECTION 23. R ep ea lin g C lause. - All laws, decrees, executive orders, ru les and regulations and o ther issu an ces or p a rts thereof which are inconsisten t with th is Act are hereby repealed, am ended or modified accordingly.

SECTION 24. E ffec tiv ity . - This Act shall take effect fifteen (15) days after its publication in a t least two (2) new spapers of general circulation.

Approved,