Republic of the Philippines

PHILIPPINE MODEL CONGRESS

Metro Manila

SEVENTH CONGRESS
Regular Session

PMC Bill No. ______

Introduced by: Niel Joseph T. Cauyao

AN ACT
CONSTRUCTING GOVERNMENT OWNED FACTORIES IN ALL MUNICIPALITIES Commented [M1]: How do you think the private sector
TO GENERATE JOBS AND SUPPORT LOCAL INDUSTRIES IN RELATION TO will respond to this?

POVERTY REDUCTION Commented [NJC2R1]: I think the private sector will

also have to standardize their products as the ‘’BPP’’ raises a
standard quality which would result a healthy competition
between the government owned factories and the private
sector.
EXPLANATORY NOTE
Commented [M3]: Please refer to our template regarding
the title construction
Commented [NJC4R3]: Had changed the title to
The said government-owned factories aim to help millions of Filipinos concerning poverty ‘’justified’’
reduction through generating jobs. Benefits may include promotion of the municipality’s
economic status and the birth of industries that will take part of the factories’ production of
products. Also, the factories are self-sustaining and continuous growing businesses that are up to
date and maintained quality.
Millions of Filipinos still experience hunger and are trapped in poverty. Their daily
efforts to strive for their families are not well paid and just enough to survive the day. The
problem now is that Filipinos are skilled workers and are passionate about their jobs, however,
more aid is needed from the government. Many of the industries in the Philippines are starting to
die out resulting by competition with imported products which can also achieve by our localities
and sometimes has same or better quality. Commented [M5]: Please proofread your work.

With these factories, we can have standardization amongst our products and provide the
whole nation with quality products that are designed for Filipinos. Through this, the government
did not only supported the industries and capabilities of the Filipinos but also made a systematize
program to organize their products so they don’t have to worry about selling it because it will
Commented [M6]: Is there even a national brand? How
carry the national brand and so as it is the duty of government to market them. would you know what a province can specialize?

The passage of this bill is urgently sought. Commented [NJC7R6]: As the factories are under the
government authority it is an assumption to consider the
products of the factory as a national brand. Please refer to
the sec. 3. Definition of Terms (e) for a more detailed
concept about the national brand. To know what a province
NIEL JOSEPH T. CAUYAO can specialize please refer to the sec. 10. Ideas and
Suggestions to what the factories should produce (a), (b)
and (c).
 Republic of the Philippines
PHILIPPINE MODEL CONGRESS
Metro Manila

SEVENTH CONGRESS
Regular Session

PMC Bill No. ______

Introduced by: Niel Joseph T. Cauyao

AN ACT
CONSTRUCTING GOVERNMENT OWNED FACTORIES IN ALL MUNICIPALITIES
TO GENERATE JOBS AND SUPPORT LOCAL INDUSTRIES IN RELATION TO
POVERTY REDUCTION
Be it enacted by the Philippine Model Congress assembled:

1 SECTION 1. Short Title. – This Act shall be known as the “Bayanihang Pabrika Program’’
2 SEC. 2. Declaration of Policy. – It is hereby declared a policy of the State to establish
3 government-owned factories that shall address the insufficiency of jobs, support needed by the
4 local industries, and the standardization of products. The micro industry units have a special role
5 towards the effective function of the macro system and that of the said local industries need
6 systematic program as a support to their development to constitute a better result to the
7 macroeconomy and so on to our nation.
8 SEC. 3. Definition of Terms. – As used in this Act, the following terms shall mean: Commented [M8]: What are the sources of these
definitions?
Commented [NJC9R8]: The definition of terms are of
9 a) Government Factories – government-owned structural establishments that are constructed my own interpretation for best comprehension towards on
10 to all municipalities. A factory that is under the management of the local government which how I have apply them to the bill.
11 supports the product-making industries of each municipality.

12 b) Commercial Status – an accreditation or state of the municipality known for producing

13 certain products. The credibility of the municipality being renowned to produce of good quality
14 and effective products.

15 c) Standard Products – quality products that are designed mainly for Filipino usage. It is
16 products that have passed the quality standards set by the Department of Trade and Industry (DTI).

17 d) Systematize Program – a program built for the management of products produced by the
18 factories. It is a program marketing and promoting all the products from all the said factories.

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1 e) National Brand – products under the name of the Sari-Sari Malls (see section 11) which is
2 manufactured by the Bayanihang Pabrika Program under the management of the Department of
3 Trade and Industry (DTI) which provides the whole country with the needed products.

4 f) Local Industries – common livelihoods of inhabitants living within a certain locality.

5 g) Micro Industry Units – components that are responsible for making the raw materials
6 needed for the actual product. This is the lowest sector or to be known as the producers of the
7 stocks/supplies.

8 h) Macro System – the inclusive network function of the economy on a larger scale that holds
9 the stability of the nation.

10 Establishment of Cooperatives for the Bayanihang Pabrika Program

11 SEC. 4. Cooperatives for the Suppliers of the Factories. – There is hereby created cooperatives
12 between the factories and the suppliers to meet their common economic, social, and cultural
13 needs. The following shall be considered in the establishment and functions of the cooperatives:
14 a) To give subsidies and support to the producers/suppliers.
15 b) To give benefits to the suppliers as they can be referred to as semi-government
16 workers.
17 c) To have a contract that the producers will supply the factories with the concerted deal
18 of materials.
19 Creation of Bayanihang Pabrika Program (BPP) Commented [M10]: The structure isn’t clear. Would it be
under DTI since it is a program or would it be a separate
entity in itself connceted to DTI? (Like GoNegosyo?)
Commented [NJC11R10]: Yes, it is under DTI, I have
20 SEC. 5. Construction of the Factories. – There is hereby created the factories of Bayanihang added this statement to sec. 5. Construction of the
21 Pabrika Program (BPP), which shall be under the Department of Trade and Industry (DTI). The Factories.
22 following shall be considered in the creation of BPP:
23 a) The proposed factories are competently designed by the people assigned by the
24 government to be low cost but are of strong foundations and match up the Philippine
25 climate.
26 b) The factories shall be eco-friendly since the products are made manually and use
27 renewable energy sources such as solar panels etc.
28 c) There can be more than one factory inside a municipality upon the request of its local
29 government and approval of the governing board of BPP.
30 d) There shall be a small laboratory or planning area inside the factories that continued
31 research to how to develop and innovate the products of the factories.
32 e) The factories should be machine/robot free as much as possible to be able to generate
33 more jobs. Exceptions to this are products that have some procedures that can only be
34 done through machines due to the technological advances in which is the nature of
35 production of some products.

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1 f) As the factories aim to produce all products we can imagine the factories should be
2 convertible to suit any type of factory in case the municipality desires to switch to
3 another kind of product.
4 g) The BPP will be applied to all municipalities except the municipalities inside the
5 National Capital Region (NCR) in the goal of decentralization and population
6 reduction in the capital cities through relocation of people back to their provinces to
7 apply for the offered jobs of BPP.
8 SEC 6. Head of the BPP. – The BPP is headed by the Executive Director with the rank
9 equivalent to Undersecretary, who shall be appointed by the President of the Philippines upon
10 the recommendation of the Secretary of Trade and Industry. The Executive director shall
11 undertake the management and supervise the operations of all the BPPs.
12 SEC 7. Municipal Head. - The municipal head for each factory will come as a representative of
13 its municipal local government. The requirement for this position is he/she should be at least a
14 municipal local government unit (LGU) to be qualified. The Municipal Heads take charge of the
15 day-to-day functions inside of their each respective factories.
16 SEC 8. BPP Governing Board. – The BPP Governing Board is hereby created, hereinafter
17 referred to as ‘’Board,’’ which shall serve as an advisory body and will take charge of policy
18 making, accreditation, promotion and supervision among the factories functions and conditions.
19 The BPP Executive Director shall report directly to the Board, which shall be composed
20 of the following:
21 a) Secretary of Trade and Industry;
Commented [M12]: Do you think this is possible? Would
it be possible to move infrastructures from one place or
another? Isn’t it cost efficient for the government?
Commented [NJC13R12]: Apologies for a very confusing
statement. Had rephrased the sentence already. This
statement implies that there will no factories constructed
inside NCR as the BPP wants to attract informal settlers to
go back to their provinces to apply for the offered jobs of
the said program. Aside from that I assumed that the
factories that will be constructed in NCR would only cause
traffic jams and overpopulation to the capital region.
Commented [M14]: Criteria for this position?
Coordination with DOLE and PESO
Commented [NJC15R14]: I have added to sec. 7.
Municipal Head that the he/she must be at least a municipal
local government unit (LGU) to be qualified for this position.
Commented [M16]: How about the Exec Dir? How can
the Secretaries know the situation of the program if the
ones leading it are not seated in the Governing Board?
Commented [NJC17R16]: Had included the Exec.
Director to the board and other necessary components
needed for the program.

22 b) Secretary of Labor and Employment;

23 c) Secretary of Budget and Management;
24 d) Secretary of Social Welfare and Development;
25 e) Secretary of Interior and Local Government;
26 f) Secretary of Socio-Economic Planning;
27 g) Lead Convenor of the National Anti-Poverty Commission;
28 h) Agency Executive of Philippine Economic Zone Authority;
29 i) Agency Director of League of Municipalities of the Philippines; and
30 j) Municipal Heads of the Bayanihang Pabrika Program.
31 Certain factories will be automatically be connected to departments, bureaus, commissions
32 agencies, etc. depending on what product it will produce (e.g. factories producing foods will be
33 automatically be connected to Bureau of Food and Drug (BFAD)
34 Hiring, Training, and Benefits of the BPP Workers

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1 SEC 9. Factory Workers. –The jobs offered by the factories will be managed by Department of
2 Labor and Employment. The following shall be considered for the factory workers of BPP:
3 a) People most affected by poverty are the ones targeted by the offered jobs of BPP (e.g.
4 Informal Settlers, OWFs, PWDs, Detainees, Indigenous People etc.).
5 b) The hired workers will undergo several pieces training and medical check-ups and
6 other necessary pre-requirements to fit in the job.
7 c) There will be no age limit for the elderly, no educational attainments required and
8 additional benefits for all the workers
9 Production of the Products of BPP

10 SEC 10. Ideas and Suggestions to what the factories should produce. – One of the main
11 purposes of the factories is the standardization of the products. The vision is that what all
12 Filipinos are using from head to toe should also be made by their fellow Filipinos where all
13 customization of designs are based to maximize Filipino usage and promotion of cultural
14 heritage of the Philippines.
15 Ideas of what the factories should produce should be classified by the following: Commented [M18]: Everything written under each
sections are policies and are not merely suggestions. Please
16 a) Abundant Resources – the factories could produce products of where its raw materials refer to other laws for your reference
17 are abundantly present within a certain area around its municipality (e.g. cacao farms Commented [NJC19R18]: I have added sec. 12.
18 in Davao City, Davao del Sur). Functions and Goals of BPP (a), (b), (c), (d,) and (e) for the
suggestions to how the BPP shall work.
19 b) Cultural Products – the factories could produce products that are traditionally made in
20 that certain municipality (e.g. wood carved products of Paete, Laguna).
21 c) Important Factors – the factories could produce products which our country depends
22 on imports (e.g. technologies, electronics, machinery and vehicular mediums).
23 The following are inclusions needed for the production of the products of BPP:
24 a) There could be factories that could produce products of the same kind, but in this
25 case, each should have a different variety.
26 b) There should be a seal that is attached to the products which contain the words
27 ‘’Bayan Muna!’’ which meant provocation towards Filipino consumers to patronize
28 local products. This will also act as the security measures for the authentication of the
29 products.
30 Creation of the Sari-Sari Malls (SSM)

31 SEC. 11. Constructions of Sari-Sari Malls. – There is hereby created the Sari-Sari Malls within
32 the area of the factories, it is where all products from all the BPP of all municipalities be sold
33 with affordable standard prices. The following are inclusions inside the Sari-Sari Malls:
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1 a) There will be an area for non-BPP products which will serve as promotion and
2 support to the growing industries of the private sectors in each municipality.
3 b) All government employees will have a discount card to the Sari-Sari Malls whereas
4 for the non-government consumers will be offered with Suki-Card.
5 c) The SSM logo will affix to all the products, packaging, letterheads, brochures, leaflets
6 etc. whether in print or online, with permission from and subject to policies and
7 guidelines from the BPP.
8 d) The SSM shall establish and maintain an online website, which will serve as the main
9 repository of information about the objectives, progress, and achievements of BPP.
10 SEC. 12. Functions and Goals of BPP. – The BPP shall be the center of development of the
11 industries, laborers, and products as the implementation of the policy of this act. The following
12 shall be the functions towards the goals of BPP:
13 a) Producers:
14 i. To promote the producers of raw materials by contracting their products
15 under the management of the cooperatives of BPP.
16 ii. To have each municipality an icon product and become the provider of
17 that product to the whole country.
18 iii. To have all municipalities be competitive with their products to achieve
19 economic growth to the national economy.
20 b) Factories:
21 i. To have the products straight from the factories be used as relief goods for
22 emergencies to such calamity areas damaged by the natural disasters.
23 ii. To supply government institutions or establishments etc. with needed
24 products which the factories could produce (e.g. provide schools with
25 school supplies or hospitals with hospital paraphernalia)
26 iii. To promote the preservation of the environment due to that the factories
27 are using renewable energy sources and has less pollution-emitting
28 machinery as the products should be made manually.
29 iv. To initiate programs under BPP of its every respective municipality as the
30 factories are growing businesses which can accommodate to help develop
31 its locality.
32 c) Workers:
33 i. To offer millions of jobs to reduce unemployment rates in the country.
34 ii. To reduce Filipinos working abroad and encourage them to work their
35 specialties unto these factories. This is to have the Filipino’s
36 professionalism be used to their own country and at the same time can still
37 be with their families.
38 iii. To relocate informal settlers from NCR back to their provinces with the
39 offered jobs of BPP to reduce the overpopulation in the capital region.
40 iv. To train and develop the specialties of the Filipino workers under the
41 training program of BPP with the goal of increasing Filipino professionals.
42 d) Products:

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 1 i. To provide Filipino consumers with quality products due to the
2 standardization program of BPP for Filipinos to have only products that
3 are designed best for them.
4 ii. To have the products of the factories be designed to be eco-friendly, re-
5 usable and recyclable to preserve the environment of the Philippines.
6 iii. To have provocation towards Filipino consumers to patronize Filipino
7 products.
8 e) Markets:
9 i. To have fewer imports from other countries as the BPP aims to provide
10 and develop products which we depend on imports.
11 ii. To set affordable standard factory prices for all the products of BPP.
12 iii. To have a systematized program as a nationwide medium of retailing and
13 handling of all the products of BPP.
14 SEC 13. Implementing Rules and Regulations. – The Bayanihang Pabrika Program, in
15 consultation with the Department of Trade and Industry (DTI), the National Economic and
16 Development Authority (NEDA), the Department of Social Welfare and Development (DSWD),
17 the National Anti-Poverty Commission (NAPC), the Department of Budget and Management
18 (DBM), and concerned non-government organizations, shall issue the rules and regulations
19 necessary to implement the provisions of this act ninety (90) days from the date of appointed of
20 the executive director.
21 SEC 14. Appropriations. – The amount necessary to implement the provisions of this Act shall
22 be included under the annual General Appropriations Act.
23 SEC 15. Repealing Clause. – Any law, presidential decree, issuance, executive order, letter of
24 instruction, administrative order, rule and regulation contrary to or inconsistent with the
25 provisions of this Act is hereby repealed, modified or amended accordingly.
26 SEC 16. Separability Clause. – If any provision of this act shall be declared invalid or
27 unconstitutional, such declaration shall not affect the validity of the remaining provisions of this
28 Act.
29 SEC 17. Effectivity Clause. – This act shall take effect fifteen (15) days after its complete
30 publication in any two (2) newspapers of general circulation.
31 Approved,

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