July 30, 2021
REPUBLIC ACT NO. 11578
AN ACT RENEWING FOR ANOTHER TWENTY-FIVE (25) YEARS THE FRANCHISE GRANTED TO TAGBILARAN BROADCASTING SYSTEM, PRESENTLY KNOWN AS TAGBILARAN BROADCASTING SYSTEM, INC., UNDER REPUBLIC ACT NO. 8149, ENTITLED "AN ACT GRANTING THE TAGBILARAN BROADCASTING SYSTEM A FRANCHISE TO CONSTRUCT, INSTALL, OPERATE AND MAINTAIN RADIO AND TELEVISION BROADCASTING STATIONS IN THE VISAYAS REGION, AND FOR OTHER PURPOSES"
SECTION 1.Nature and Scope of Franchise. — Subject to the provisions of the Constitution and applicable laws, rules and regulations, the franchise granted to Tagbilaran Broadcasting System, presently known as Tagbilaran Broadcasting System, Inc., under Republic Act No. 8149, hereunder referred to as the grantee, its successors or assignees, to construct, install, operate, and maintain for commercial purposes and in the public interest, radio and/or television broadcasting stations in the Visayas region, where frequencies and/or channels are still available for radio and/or television broadcasting, including digital television system, through microwave, satellite or whatever means, as well as the use of any new technology...
Nature and Scope of Franchise (Section 1):
- Renews the franchise granted to Tagbilaran Broadcasting System, Inc. for 25 years to construct, install, operate, and maintain radio and/or television broadcasting stations in the Visayas region.
- Allows the use of new technologies in television and radio systems.
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):
- Grantee must secure appropriate permits and licenses from the National Telecommunications Commission (NTC).
- NTC has the authority to revoke or suspend permits/licenses after due process for any violation.
- NTC may recommend to Congress the revocation of the franchise for any violation.
Responsibility to the Public (Section 4):
- Provide free public service time equivalent to 10% of paid commercials for government agencies and international humanitarian organizations.
- Allocate 15% of daily total airtime for child-friendly shows.
- Provide sound and balanced programming, promote public participation, assist in public information and education.
- Not broadcast obscene, indecent, false, or treasonable content.
Right of the Government (Section 5):
- The President can temporarily take over, suspend operations, or authorize temporary use of stations during war, rebellion, public peril, calamity, emergency, or disturbance of peace and order.
Term of Franchise (Section 6):
- Franchise is valid for 25 years from the effectivity of the Act, unless revoked or cancelled.
- Franchise is deemed revoked if the grantee fails to operate continuously for 2 years.
Self-regulation by the Grantee (Section 7):
- Grantee shall not require prior censorship but can cut off airing of treasonable, rebellious, seditious, indecent, or immoral content.
- Willful failure to do so is a valid cause for cancellation of the franchise.
- Grantee shall guarantee accurate and truthful news reporting, and equal time for all parties involved.
- Grantee shall ensure promotion of positive Filipino values and reasonable rates for election advertisements.
Warranty in Favor of National and Local Governments (Section 8):
- Grantee shall hold the national, provincial, city, and municipal governments free from claims, liabilities, demands, or actions arising out of accidents during construction or operation.
Employment Opportunities (Section 9):
- Grantee shall create employment opportunities and accept on-the-job trainees, prioritizing residents of the principal office location.
- Grantee shall comply with applicable labor standards and allowance entitlement.
Sale, Lease, Transfer, or Assignment of Franchise (Section 10):
- Grantee cannot sell, lease, transfer, grant usufruct, or assign the franchise without prior approval of Congress.
- Congress must be informed within 60 days after any such transaction.
- Failure to report such change of ownership shall render the franchise revoked.
Dispersal of Ownership (Section 11):
- Grantee shall offer at least 30% of outstanding capital stocks to Filipino citizens within 5 years in a securities exchange.
- Noncompliance shall render the franchise revoked.
Reportorial Requirement (Section 12):
- Grantee shall submit an annual report on compliance and operations to Congress on or before April 30 of every year.
- The annual report shall include updates on business, financial statements, permits status, and ownership dispersal.
- Reportorial compliance certificate from Congress is required before NTC accepts any application.
Fine (Section 13):
- Failure to submit the annual report shall be penalized by a fine of P500 per working day of noncompliance, collected by NTC and remitted to the Bureau of the Treasury.
Equality Clause (Section 14):
- Any advantage, favor, privilege, exemption, or immunity granted under existing or future broadcasting franchises shall be accorded to the grantee.
Repealability and Nonexclusivity Clause (Section 15):
- The franchise is subject to amendment, alteration, or repeal by Congress when the public interest requires.
- The franchise shall not be interpreted as an exclusive grant of privileges.
Separability Clause (Section 16):
- If any section or provision is held invalid, all other valid provisions shall remain in effect.
Repealing Clause (Section 17):
- All laws, decrees, orders, resolutions, instructions, rules and regulations inconsistent with this Act are repealed, amended, or modified accordingly.
Effectivity (Section 18):
- The Act shall take effect 15 days after its publication in the Official Gazette or a newspaper of general circulation.