MEMORANDUM

TO : THE DIRECTOR
Legislative Liaison Office

FROM : GROUP 3

SUBJECT : COMMENTS ON THE HOUSE BILL ON “AN ACT

STRENGTHENING FURTHER THE POWERS AND FUNCTIONS OF
THE AUTHORITY OF THE FREEPORT AREA OF CEBU AMENDING
FOR THE PURPOSE REPUBLIC ACT NO. 9728, OTHERWISE
KNOWN AS THE ‘FREEPORT AREA OF CEBU ACT OF 2027, AS
AMENDED BY REPUBLIC ACT NO. 11453.”

DATE : 23 November 2023

This refers to your Memorandum requesting for comments on the House Bill on
“AN ACT STRENGTHENING FURTHER THE POWERS AND FUNCTIONS OF THE
AUTHORITY OF THE FREEPORT AREA OF CEBU AMENDING FOR THE PURPOSE
REPUBLIC ACT NO. 9728, OTHERWISE KNOWN AS THE ‘FREEPORT AREA OF CEBU ACT
OF 2027, AS AMENDED BY REPUBLIC ACT NO. 11453”.
Upon review of the House Bill, while the Item m](Q) is practical considering the
speedy issuance of permits as only the Freeport Area of Cebu will approve the same,
we however find said Item to be contrary to existing laws, in particular Section 4 of
Executive Order No. 192, s. 2017 or the Reorganization Act of the DENR, Section 20 of
Presidential Decree No. 705 or the Revised Forestry Code of the Philippines, as
amended, Section 11, Chapter III of Commonwealth Act No. 141, or the Public Land
Act, as amended, and Article 90(j), Chapter VIII of Presidential Decree No. 1067 or The
Water Code of the Philippines.
Section 4 of EO No. 192 provides—
“The Department shall be the primary government agency responsible for
the conservation, management, development and proper use of the country’s
environment and natural resources, specifically forest and grazing lands, mineral
resources, including those in reservation and watershed areas, and lands of the
public domain, as well as the licensing and regulation of all natural resources as
may be provided for by law in order to ensure equitable sharing of the benefits
derived therefrom for the welfare of the present and future generations of
Filipinos.”
Section 20 of PD No. 705, as amended, provides—-
 “No person may utilize, exploit, occupy, possess or conduct any activity within
any forest land, or establish and operate any wood-processing plant, unless he
has been authorized to do so under a license agreement, lease, license, or
permit.”
Section 11, Chapter III, of CA 141, as amended, provides—-
“Public lands suitable for agricultural purposes can be disposed of only as
follows, and not otherwise:
xxx
(3) By lease”
xxx

Article 90 (j), Chapter VIII of Water Code of the Philippines

The following acts shall be penalized by suspension or revocation of the violator's

water permit or other right to the use of water and/or a fine of not exceeding
One Thousand Pesos (P1,000.00), in the discretion of the Council:

xxx

(j) Drilling of a well without permission of the Council.

xxx

Based on the foregoing, Item m] (Q) arrogated to the Freeport Area of Cebu
(Freeport) the functions and mandate of DENR. Moreover, the Freeport does have the
technical expertise in issuing permits, such as Environmental Compliance Certificate
(ECC), Discharge and Drilling Permits, Tree Cutting Permits, among others.
For your consideration.

XXXXXXX
Chair, Group 3