Republic of the Philippines
CONGRESS OF THE PHILIPPINES
Metro ManilaFifteenth Congress
Second Regular SessionBegun and held in Metro Manila, on Monday, the twenty-fifth day of July, two thousand eleven.
REPUBLIC ACT NO. 10179
AN ACT GRANTING THE CULTURAL FOUNDATION OF DAVAO DEL SUR INCORPORATED (CFDI) A FRANCHISE TO CONSTRUCT, INSTALL, ESTABLISH, OPERATE AND MAINTAIN RADIO AND TELEVISION BROADCASTING STATIONS IN DAVAO DEL SUR
Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:
Section 1. Nature and Scope of Franchise. – Subject to the provisions of the Constitution and applicable laws, rules and regulations, there is hereby granted to Cultural Foundation of Davao del Sur Incorporated (CFDI), hereunder referred to as the grantee, its successors or assigns, a franchise to construct, install, establish, operate and maintain for commercial purposes and in the public interest, radio and/or television broadcasting stations in Davao del Sur, where frequencies and/or channels are still available for radio and/or television broadcasting, through microwave, satellite, or whatever means, including the use of any new technologies...
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Republic Acts
AN ACT GRANTING THE CULTURAL FOUNDATION OF DAVAO DEL SUR INCORPORATED (CFDI) A FRANCHISE TO CONSTRUCT
Republic Act No. 10179
Summary of Republic Act No. 10179
Nature and Scope of Franchise (Section 1):
- Grants Cultural Foundation of Davao del Sur Incorporated (CFDI) a franchise to construct, install, establish, operate and maintain radio and/or television broadcasting stations in Davao del Sur.
- Allows the use of any new technologies in radio and television broadcasting.
Manner of Operation (Section 2):
- Stations shall be operated in a manner that results in minimum interference with existing stations.
Prior Approval of NTC (Section 3):
- CFDI must secure appropriate permits and licenses from the National Telecommunications Commission (NTC) for construction and operation of stations.
- NTC shall not unreasonably withhold or delay the grant of authority.
Responsibility to the Public (Section 4):
- CFDI shall provide adequate public service time for government to reach the population on important public issues.
- CFDI shall provide sound and balanced programming, assist in public information and education, conform to ethics of honest enterprise.
- CFDI shall not broadcast obscene, indecent, false information, or incite subversive or treasonable acts.
Right of Government (Section 5):
- The President can temporarily take over, suspend operations, or authorize temporary use of CFDI's stations during war, rebellion, public peril, calamity, emergency, disaster or disturbance of peace and order, with due compensation.
- The radio spectrum is part of the national patrimony and its use is a privilege that may be withdrawn anytime after due process.
Term of Franchise (Section 6):
- The franchise is valid for 25 years from the date of effectivity of this Act, unless sooner revoked or cancelled.
- The franchise shall be deemed ipso facto revoked if CFDI fails to:
(a) Commence operations within 1 year from approval of operating permit by NTC;
(b) Operate continuously for 2 years; and
(c) Commence operations within 3 years from effectivity of this Act.
Acceptance and Compliance (Section 7):
- CFDI must accept the franchise in writing within 60 days from effectivity of this Act.
- Non-acceptance shall render the franchise void.
Bond (Section 8):
- CFDI shall file a bond in favor of NTC, with an amount determined by NTC, to guarantee compliance with franchise conditions.
- The bond shall be cancelled by NTC if CFDI fulfills conditions after 3 years from permit approval, otherwise forfeited in favor of the government and franchise revoked.
Self-regulation and Undertaking (Section 9):
- CFDI shall not require previous censorship of any broadcast matter.
- CFDI shall cut off from the air any broadcast matter that incites treason, rebellion, sedition, or is indecent or immoral.
- Willful failure to do so shall constitute a valid cause for cancellation of the franchise.
Warranty in Favor of National and Local Governments (Section 10):
- CFDI shall hold the national, provincial, city and municipal governments free from all claims arising out of accidents or injuries caused by construction or operation of its stations.
Nontransferability of Franchise (Section 11):
- CFDI shall not lease, transfer, grant usufruct, sell, assign or merge the franchise or controlling interest without prior approval of Congress.
- Any entity to which the franchise is transferred shall be subject to the same conditions, terms, restrictions and limitations.
Dispersal of Ownership (Section 12):
- CFDI shall offer at least 30% of its outstanding capital stock in a securities exchange in the Philippines within 5 years from achieving the status of a national broadcasting network (operating 3 or more radio and/or television stations).
- Non-compliance shall render the franchise ipso facto revoked.
Equality Clause (Section 13):
- Any advantage, favor, privilege, exemption or immunity granted under existing or future broadcasting franchises shall ipso facto become part of this franchise, except provisions concerning territory, life span or type of service.
General Broadcast Policy Law (Section 14):
- CFDI shall comply with any general broadcast policy law that Congress may enact.
Reportorial Requirement (Section 15):
- CFDI shall submit an annual report to Congress on its compliance with the franchise terms and conditions and operations within 60 days from the end of every year.
Separability Clause (Section 16):
- If any section or provision is held invalid, all other provisions not affected shall remain valid.
Repealability and Nonexclusivity Clause (Section 17):
- The franchise is subject to amendment, alteration or repeal by Congress when public interest requires, and shall not be interpreted as an exclusive grant.
Effectivity Clause (Section 18):
- The Act shall take effect 15 days after its publication in at least two newspapers of general circulation in the Philippines, upon the initiative of the grantee.
Nature and Scope of Franchise (Section 1):
- Grants Cultural Foundation of Davao del Sur Incorporated (CFDI) a franchise to construct, install, establish, operate and maintain radio and/or television broadcasting stations in Davao del Sur.
- Allows the use of any new technologies in radio and television broadcasting.
Manner of Operation (Section 2):
- Stations shall be operated in a manner that results in minimum interference with existing stations.
Prior Approval of NTC (Section 3):
- CFDI must secure appropriate permits and licenses from the National Telecommunications Commission (NTC) for construction and operation of stations.
- NTC shall not unreasonably withhold or delay the grant of authority.
Responsibility to the Public (Section 4):
- CFDI shall provide adequate public service time for government to reach the population on important public issues.
- CFDI shall provide sound and balanced programming, assist in public information and education, conform to ethics of honest enterprise.
- CFDI shall not broadcast obscene, indecent, false information, or incite subversive or treasonable acts.
Right of Government (Section 5):
- The President can temporarily take over, suspend operations, or authorize temporary use of CFDI's stations during war, rebellion, public peril, calamity, emergency, disaster or disturbance of peace and order, with due compensation.
- The radio spectrum is part of the national patrimony and its use is a privilege that may be withdrawn anytime after due process.
Term of Franchise (Section 6):
- The franchise is valid for 25 years from the date of effectivity of this Act, unless sooner revoked or cancelled.
- The franchise shall be deemed ipso facto revoked if CFDI fails to:
(a) Commence operations within 1 year from approval of operating permit by NTC;
(b) Operate continuously for 2 years; and
(c) Commence operations within 3 years from effectivity of this Act.
Acceptance and Compliance (Section 7):
- CFDI must accept the franchise in writing within 60 days from effectivity of this Act.
- Non-acceptance shall render the franchise void.
Bond (Section 8):
- CFDI shall file a bond in favor of NTC, with an amount determined by NTC, to guarantee compliance with franchise conditions.
- The bond shall be cancelled by NTC if CFDI fulfills conditions after 3 years from permit approval, otherwise forfeited in favor of the government and franchise revoked.
Self-regulation and Undertaking (Section 9):
- CFDI shall not require previous censorship of any broadcast matter.
- CFDI shall cut off from the air any broadcast matter that incites treason, rebellion, sedition, or is indecent or immoral.
- Willful failure to do so shall constitute a valid cause for cancellation of the franchise.
Warranty in Favor of National and Local Governments (Section 10):
- CFDI shall hold the national, provincial, city and municipal governments free from all claims arising out of accidents or injuries caused by construction or operation of its stations.
Nontransferability of Franchise (Section 11):
- CFDI shall not lease, transfer, grant usufruct, sell, assign or merge the franchise or controlling interest without prior approval of Congress.
- Any entity to which the franchise is transferred shall be subject to the same conditions, terms, restrictions and limitations.
Dispersal of Ownership (Section 12):
- CFDI shall offer at least 30% of its outstanding capital stock in a securities exchange in the Philippines within 5 years from achieving the status of a national broadcasting network (operating 3 or more radio and/or television stations).
- Non-compliance shall render the franchise ipso facto revoked.
Equality Clause (Section 13):
- Any advantage, favor, privilege, exemption or immunity granted under existing or future broadcasting franchises shall ipso facto become part of this franchise, except provisions concerning territory, life span or type of service.
General Broadcast Policy Law (Section 14):
- CFDI shall comply with any general broadcast policy law that Congress may enact.
Reportorial Requirement (Section 15):
- CFDI shall submit an annual report to Congress on its compliance with the franchise terms and conditions and operations within 60 days from the end of every year.
Separability Clause (Section 16):
- If any section or provision is held invalid, all other provisions not affected shall remain valid.
Repealability and Nonexclusivity Clause (Section 17):
- The franchise is subject to amendment, alteration or repeal by Congress when public interest requires, and shall not be interpreted as an exclusive grant.
Effectivity Clause (Section 18):
- The Act shall take effect 15 days after its publication in at least two newspapers of general circulation in the Philippines, upon the initiative of the grantee.