Granting a Radio and Television Broadcasting Franchise to Mount Apo Science Foundation College, Inc.
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Granting a Radio and Television Broadcasting Franchise to Mount Apo Science Foundation College, Inc.
Republic Act No. 11843
June 17, 2022
Case Overview and Summary
Summary of Republic Act No. 11843Nature and Scope of Franchise (Section 1):
- Grants Mount Apo Science Foundation College, Inc. (the Grantee) a franchise to construct, install, establish, operate, and maintain radio and television broadcasting stations in the Philippines.
- Allows the use of any available frequencies, channels, and new technologies for radio and television broadcasting.
Manner of Operation of Stations or Facilities (Section 2):
- The Grantee's stations or facilities shall be operated in a manner that results in minimum interference with existing or future stations.
- The Grantee shall not diminish its own privilege to use its assigned wavelengths or frequencies and the quality of transmission or reception.
Prior Approval of the National Telecommunications Commission (NTC) (Section 3):
- The Grantee shall secure appropriate permits and licenses from the NTC for the construction and operation of its stations or facilities.
- The Grantee shall not use any frequency without authorization from the NTC.
- The NTC shall not unreasonably withhold or delay the grant of any such authority.
- The NTC has the authority to revoke or suspend permits or licenses after due process for any violation of the franchise provisions.
- The NTC may recommend to Congress the revocation of the franchise for any violation.
Responsibility to the Public (Section 4):
- The Grantee shall provide free public service time, which is reasonable and sufficient, for the government to reach the public on important issues, announcements, and warnings.
- The public service time shall be a maximum of 10% of paid commercials or advertisements, allocated to the Executive, Legislative, and Judiciary branches, Constitutional Commissions, and international humanitarian organizations.
- The NTC may increase the public service time in case of extreme emergency or calamity.
- The Grantee shall allot a minimum of 15% of the daily total air time to child-friendly shows, pursuant to the Children's Television Act of 1997.
- The Grantee shall promote public participation, assist in public information and education, conform to ethics, promote audience sensibility and empowerment, and not broadcast obscene or indecent content, false information, or incite subversive acts.
Right of the Government (Section 5):
- The radio spectrum is part of the national patrimony, and its use is a privilege that may be withdrawn after due process.
- The President has the right to temporarily take over and operate the Grantee's stations or facilities, suspend operations, or authorize temporary use by any government agency during times of war, rebellion, public peril, calamity, emergency, disaster, or disturbance of peace and order, with due compensation to the Grantee.
Term of Franchise (Section 6):
- The franchise shall be in effect for 25 years from the effectivity of this Act, unless sooner revoked or cancelled.
- The franchise shall be deemed ipso facto revoked if the Grantee fails to operate continuously for 2 years.
Self-regulation by and Undertaking of the Grantee (Section 7):
- The Grantee shall not require previous censorship of any speech, play, act or scene, or other matter to be broadcast.
- The Grantee shall be free from liability for any speech, play, act or scene, or other matter that constitutes a violation of law or infringement of a private right.
- The Grantee shall cut off the airing of any speech, play, act or scene, or other matter that proposes or incites treason, rebellion, or sedition, or is indecent or immoral.
- Willful failure to do so shall constitute a valid cause for the cancellation of the franchise.
Warranty in Favor of the National and Local Governments (Section 8):
- The Grantee shall hold the national, provincial, city, and municipal governments free from all claims, liabilities, demands, or actions arising out of accidents causing injury to persons or damage to properties during the construction or operation of the Grantee's stations.
Commitment to Provide and Promote the Creation of Employment Opportunities (Section 9):
- The Grantee shall create employment opportunities and accept on-the-job trainees in the franchise operations.
- Priority shall be accorded to the residents of the place where the Grantee's principal office is located.
- The Grantee shall comply with applicable labor standards and allowance entitlement under existing labor laws, rules and regulations.
- The employment opportunities or jobs created shall be reflected in the General Information Sheet (GIS) submitted to the Securities and Exchange Commission (SEC) annually.
Sale, Lease, Transfer, Grant of Usufruct, or Assignment of Franchise (Section 10):
- The Grantee shall not sell, lease, transfer, grant the usufruct of, nor assign the franchise or the rights and privileges acquired thereunder to any person, firm, company, corporation, or other commercial or legal entity without the prior approval of Congress.
- The Grantee shall inform Congress of any sale, lease, transfer, grant of usufruct, or assignment of franchise or the rights and privileges acquired thereunder, or of the merger or transfer of the controlling interest of the Grantee, within 60 days after the completion of the transaction.
- Failure to report such change of ownership shall render the franchise ipso facto revoked.
- Any person or entity to which the franchise is sold, transferred, or assigned shall be subject to the same conditions, terms, restrictions, and limitations of this Act.
Reportorial Requirement (Section 11):
- The Grantee shall submit an annual report on its compliance with the terms and conditions of the franchise and on its operations to Congress, through the Committee on Legislative Franchises of the House of Representatives and the Committee on Public Services of the Senate, on or before April 30 of every year during the term of its franchise.
- The annual report shall include updates on the commencement of activities, development, operation, and expansion of business; audited financial statements; latest GIS officially submitted to the SEC, if applicable; certification of the NTC on the status of its permits and operations; and an update on the dispersal of ownership undertaking, if applicable.
- The reportorial compliance certificate issued by Congress shall be required before any application for permit or certificate is accepted by the NTC.
Fine (Section 12):
- Failure of the Grantee to submit the requisite annual report to Congress shall be penalized by a fine of Five hundred pesos (P500.00) per working day of noncompliance to the NTC.
- The fine shall be collected separately from the reportorial penalties imposed by the NTC and shall be remitted to the Bureau of the Treasury.
Equality Clause (Section 13):
- Any advantage, favor, privilege, exemption, or immunity granted under existing franchises, or which may hereafter be granted for radio and television broadcasting, upon prior review and approval of Congress, shall become part of this franchise and shall be accorded immediately and unconditionally to the Grantee.
- This shall not apply to provisions concerning territorial coverage, the term, or the type of service authorized by the franchise.
Repealability and Nonexclusivity Clause (Section 14):
- This franchise shall be subject to amendment, alteration, or repeal by Congress when the public interest so requires.
- This franchise shall not be interpreted as an exclusive grant of the privileges provided herein.
Separability Clause (Section 15):
- If any of the sections or provisions of this Act is held invalid, all other provisions not affected thereby shall remain valid.
Repealing Clause (Section 16):
- All laws, decrees, orders, resolutions, instructions, rules and regulations, and other issuances or parts thereof which are inconsistent with the provisions of this Act are hereby repealed, amended, or modified accordingly.
Effectivity (Section 17):
- This Act shall take effect 15 days after its publication in the Official Gazette or in a newspaper of general circulation.
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Granting a Radio and Television Broadcasting Franchise to Mount Apo Science Foundation College, Inc.
Republic Act No. 11843
•June 17, 2022
June 17, 2022
REPUBLIC ACT NO. 11843
AN ACT GRANTING MOUNT APO SCIENCE FOUNDATION COLLEGE, INC. A FRANCHISE TO CONSTRUCT, INSTALL, ESTABLISH, OPERATE, AND MAINTAIN RADIO AND TELEVISION BROADCASTING STATIONS IN THE PHILIPPINES
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 Mount Apo Science Foundation College, Inc., hereunder referred to as the Grantee, its successors or assignees, a franchise to construct, install, establish, operate, and maintain for commercial purposes and in the public interest, radio and television broadcasting stations in the Philippines, where frequencies and channels are still available for radio and television broadcasting, including digital television system, through microwave, satellite or whatever means, as well as the use of any new technology in radio and television systems, with the corresponding technological auxiliaries and facilities, special broadcast and other program and distribution services and relay stations.
SECTION 2. Manner of Operation of Stations or Facilities. — The stations or facilities of the Grantee shall be constructed and...
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