Masterplan for Infrastructure and National Development (Mind) Act

Senate e/s Difice of the Berretary TWENTIETH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES 26 JAN -8 A11 :21 First Regular Session ] RECEIVED BY: SENATE S.B. No. 1652 Introduced by SEN. WIN GATCHALIAN AN ACT MANDATING THE FORMULATION AND INSTITUTIONALIZATION OF A COMPREHENSIVE INFRASTRUCTURE DEVELOPMENT MASTERPLAN, ESTABLISHING THE MASTERPLAN FOR INFRASTRUCTURE AND NATIONAL DEVELOPMENT (MIND) COUNCIL, AND APPROPRIATING FUNDS THEREFOR EXPLANATORY NOTE This proposed legislation seeks to establish and institutionalize long-term thinking in infrastructure planning and development through the formulation of a Comprehensive Infrastructure Development Masterplan, which will be streamlined into all the phases of the planning-programming-budgeting process. This activity, led by the Masterplan for Infrastructure and National Development (MIND) Council, aims to support the achievement of the overall long-term development vision of the country as a prosperous middle-class society, streamline private and public infrastructure investments, ensure policy continuity, and further define and clarify the role of various government agencies and instrumentalities in the development of critical infrastructure projects. This all-inclusive plan will include strategies for the development of the following infrastructure sub-sectors: land, air, and sea transportation and logistics; energy; water; information and communications technology; social infrastructure, such as housing, health, and education; agri-

fisheries modernization and food logistics infrastructure program; and asset preservation and maintenance strategies. The MIND Council will be led by the President of the Philippines, with the Secretary of Economy, Planning, and Development as Vice-Chair. The Council will be composed further of secretaries from key infrastructure-related agencies. This will allow the government to improve its coordination in the formulation and monitoring of infrastructure-related policies and project implementation. This proposed measure comes at a time when the budget allocation for national infrastructure has consistently grown. Between 2022 to 2025, the budgetary allocation for national infrastructure development projects grew by 7.9% annually on average.! As infrastructure spending grows, proper long-term planning is required to ensure the maximum return on investment and to prevent the insertion of redundant or low- impact projects into the budget. Indeed, with infrastructure beginning to take a bigger piece of the budgetary pie, we need to be sure that taxpayers' money is being spent on meaningful, high-impact projects that maximize the utility gained by ordinary citizens in their use. It is our hope that this proposed legislation will finally empower the Philippines to overcome the hurdles caused by insufficient infrastructure development and reach greater economic heights. In light of the foregoing, support for the passage of this bill is earnestly sought. 1 Department of Budget Management, OSSTG estimates.

Senate is Office of the Secretary TWENTIETH CONGRESS OF THE REPUBLIC OF THE PHILIPPINES 26 JAN -8 A11 :21 First Regular Session ] RECEIVED BY: SENATE S. B. No. - 1652 Introduced by SEN. WIN GATCHALIAN AN ACT MANDATING THE FORMULATION AND INSTITUTIONALIZATION OF A COMPREHENSIVE INFRASTRUCTURE DEVELOPMENT MASTERPLAN, ESTABLISHING THE MASTERPLAN FOR INFRASTRUCTURE AND NATIONAL DEVELOPMENT (MIND) COUNCIL, AND APPROPRIATING FUNDS THEREFOR Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:

SECTION 1. Short Title. - This Act shall be known as the "Masterplan

for Infrastructure and National Development (MIND) Act".

SEC. 2. Declaration of Policy. - The State recognizes the vital role of

an efficient and integrated infrastructure system in promoting job creation to 5 drive inclusive economic growth and sustainable development. The State hereby adopts a policy to develop reforms in infrastructure planning to achieve higher economic growth trajectory and improve the quality of life of Filipinos.

SEC. 3. Purposes and Objectives. - The purposes and objectives of

this Act are: a) Support the achievement of the overall long-term development vision of the country as a prosperous, predominantly middle-class society, where no one is poor, and where Filipinos shall live long and healthy lives, be smart and innovative, and live in a high-trust society;

b) Provide an overall guide for the preferred locations, magnitude, interrelationships, and timing of public and private infrastructure investments to maximize their impact to the economy and society; c) Institutionalize long-term development plan in infrastructure investment planning and implementation to ensure policy continuity and consistency; and d) Define the roles of implementing agencies in the development of essential transportation, energy, water resources, information and communications technology, social infrastructure systems, and other basic overhead facilities in the country.

SEC. 4. Definition of Terms. - As used in this Act:

a) Agri-Fisheries Modernization and Food Logistics infrastructure refers to facilities which include farm access roads, trading posts, agricultural tramlines and other market infrastructure, fish ports, irrigation and soil and water conservation structures, post-harvest facilities such as warehouses and cold storage, meat establishment infrastructure such as slaughterhouses, and production infrastructure such as greenhouses, hydroponics, aquaponics, and food irradiation facilities. This includes the health and safety infrastructure required to meet regulatory standards; b) Energy infrastructure refers to projects for power generation, transmission and distribution, and electrification, as well as for exploration, development, production, storage and distribution of energy resources including those based on or using water resources, fossil fuel, geothermal, solar, wind, wave, and other emerging technologies including nuclear; c) Information and Communications Technology (ICT) infrastructure refers to facilities that provide access to information through telecommunications, including the internet, wireless networks, telephone systems, and other communication media; d) Social infrastructure refers to schools, buildings, hospitals and health facilities, public housing, solid waste management, penitentiary,

evacuation centers, and other public and community facilities, including waste management and circular economy infrastructure that covers solid waste collection, distribution and disposal, waste aggregation and transfer stations, waste markets, material recycling, sustainable production, material recovery, and waste-to-energy facilities; e) Transport and Logistics infrastructure refers to (1) roads, bridges, tunnels, grade separation, and related structures; (2) rail, bus rapid transit and other mass transportation systems, including subways, fixed facilities, and rolling stock; (3) seaports, including terminals and navigation facilities; (4) airports, including terminals and navigation facilities; (5) intermodal transportation facilities, including terminals; and (6) supply chain infrastructure including warehouses and distribution centers. Transport infrastructure includes support systems for the operation of transport services and facilities, such as intelligent transport systems; and f) Water Resources infrastructure refers to (1) water supply, sewerage and sanitation for domestic, commercial and industrial uses; (2) irrigation for agriculture; and (3) flood control and drainage facilities, including dams, reservoirs and coastal zone protection.

SEC. 5. Formulation of the Comprehensive Infrastructure

Development Master Plan (CIDMP). - There shall be formulated a 30-year Comprehensive Infrastructure Development Master Plan (CIDMP) which shall set forth the country's long-term vision, goals, and strategy for infrastructure development. The CIDMP shall be the framework for forward planning, prioritization, and development of infrastructure investment and programs, taking into consideration the country's long-term national development plans, including the medium-term Philippine Development Plan. It shall serve as the integrated framework of infrastructure programs and projects of the government enterprise architecture. The CIDMP shall be reviewed and updated every 10 years or earlier as

the needs arises, in anticipation of disruptions, emergencies, crises, and new 2 and emerging technologies and trends: Provided, That such early review and update be consistent with long-term national development vision and goals. In order to effectively implement this Act, a whole-of-government 5 approach shall be adopted for the formulation and adopted of the CIDMP. This 6 approach shall facilitate engagement with government agencies, instrumentalities, government-owned and -controlled corporations (GOCCS), local government units (LGUs), regional development councils (RDCS), ICT 9 councils, technical and standards organization and other relevant stakeholders towards ensuring the full and effect implementation of this Act.

SEC. 6. Infrastructure Policies and Strategies. - The CIDMP shall

pursue the following national development policies and strategies of the Government: a) Establishment of a whole-of-government strategy to coordinate infrastructure investment planning and implementation that promote effective collaboration among key actors, with the Department of Economy, Planning, and Development (DEPDev) as the lead coordinator; b) Prioritization of projects of national significance which are consistent with the approved national and physical framework plans, as well as with national, regional, local, and sectoral development plans, roadmaps, and master plans; c) Observance of the following principles in the determination of priorities: (1) effectiveness in meeting national development objectives; (2) economic feasibility and impact; (3) poverty alleviation and social inclusion; (4) environmental sustainability and climate resilience; (5) safety; (6) security; (7) affordability; (8) public access; (9) technical readiness for implementation; and (10) financial viability and value for money; d) Harmonization and coordination of national, regional, and local infrastructure development goals;

e) Promotion of public consultation and feedback mechanisms on infrastructure investment priorities and projects at the national and local levels; f) Maximization of private sector participation in the planning, development, financing, design, construction, and operation and maintenance of infrastructure; g) Utilization of any of the following modes in infrastructure implementation: (a) by the concerned national government agencies and GOCCs as provided under their respective charters; (b) under Public-Private Partnerships (PPP) arrangements; or (c) in partnership with LGUs to complement public finance as well as promote technology and knowledge transfers; h) Implementation of adequate infrastructure asset preservation and maintenance strategies; i) Development of an efficient, safe, economical, accessible, affordable, reliable, integrated, seamless, convenient, user-oriented, disaster- resilient, and environmentally sustainable national infrastructure system consistent with the latest industry standards; j) Establishment of a robust national geospatial infrastructure that will provide location-specific data to support evidence-based planning and implementation of infrastructure projects; k) Establishment of a strategic national transport network consisting of complementary roads, railways, ports, and airports that serve medium and long-distance high-density traffic between key cities and municipalities, economic hubs, international gateways, and major corridors in urban centers; 1) Establishment of food security infrastructure that will ensure the smooth flow of cargo across the archipelago shall be emphasized; m) Prioritization of the development of mass public transportation to reduce dependence on private vehicles; n) Adoption of inclusive mobility designs through the provision of a network of protected bicycle lanes, sidewalks, at-grade and elevated

walkways, and green and open spaces; o) Incorporation of appropriate infrastructure risk management measures, including risk identification, allocation, and mitigation, in project development and management; P) Adoption of green and sustainable design, climate change adaptation and disaster resilience measures, as well as updated strength, safety, health and environmental standards in the design and construction of infrastructure projects; q) Preferential use of quality construction materials that have a high domestic content, especially those that use sustainable materials and appropriate technology; r) Prioritization of multi-sectoral, multi-modal and area-wide development projects to take advantage of their synergistic effects, and where feasible, provide common underground ducts for utilities, and synchronize timelines for their installation and maintenance; and s) Strict monitoring and evaluation of project completion of all functional features.

SEC. 7. Contents of the CIDMP. - The CIDMP shall contain the

following: a) A report on the long-term vision for infrastructure, which shall support and be consistent with long-term socio-economic goals; b) An analysis of projected economic growth and demographic trends; c) Reports on the integrated and holistic strategies for the development of the following infrastructure sub-sectors: 1. Land, Air, and Sea transportation and Logistics 2. Energy 3. Water 4. Information and Communications Technology (ICT) 5. Social Infrastructure, such as housing, health, and education 6. Agri-Fisheries Modernization and Food Logistics Infrastructure Program 7. Asset Preservation and Maintenance Strategies

d) Indicative projects, timelines for expected phases of implementation, estimated funding requirements, and financing modalities for each of the infrastructure sub-sectors.

SEC. 8. Masterplan for Infrastructure and

National Development (MIND) Council. - The MIND Council is hereby established to lead the preparation and revision of the CIDMP. The Economy and Development 7 Council (ED Council) of the DEPDev shall ensure that the CIDMP shall be mainstreamed into all phases of the Planning-Programming-Budgeting process and operationalized in all of the major documents involved, including but not limited to the: a) Philippine Development Plan (PDP) and the Regional Development Plans (RDPs); b) Public Infrastructure Plan (PIP); c) Three-Year Rolling Infrastructure Plan (TRIP); and d) National Expenditure Program (NEP), Budget of Expenditure and Sources of Financing (BESF), Annual General Appropriations Act (GAA), and their supporting documents.

SEC. 9. Composition of the MIND Council. - The MIND Council shall

be composed of the following: a) President of the Philippines, as Chairperson; b) Secretary of the DEPDev as Vice Chairperson; c) Secretary of the Department of Public Works and Highways (DPWH), as Member; d) Secretary of the Department of Finance (DOF), as Member; e) Secretary of the Department of Budget and Management (DBM), as Member; f) Secretary of the Department of Transportation (DOTr), as Member; 9) Secretary of the Department of Energy (DOE), as Member; h) Secretary of the Department of Information and Communications Technology (DICT), as Member; i) Secretary of the Department of Agriculture (DA), as Member;

j) Secretary of the Department of Human Settlements and Urban Development (DSHUD), as Member; k) Secretary of the Department of Tourism (DOT), as Member; 1) Secretary of the Department of the Interior and Local Government (DILG), as Member; m) Secretary of the Department of Trade and Industry (DTI), as Member; n) Secretary of the Department of Environment and Natural Resources (DENR), as Member; o) Presidents of the Local Government Unit (LGU) Leagues, as Members; and P) Five (5) Industry Stakeholders, as Members. The representatives of the industry stakeholders shall be appointed to represent the infrastructure sub-sectors enumerated under Section 7 of this Act and shall be selected from among their respective ranks based on the criteria and mechanisms to be set for this purpose by the Council. The Secretary of DEPDev may preside as Chairman in cases where the President is unable to attend a meeting and in the absence of any presidential preference. The President, however, shall continue to have the power to designate from among the members of the Council the Chairman, who can appropriately represent the President, to preside over specific meetings. The department secretaries may not designate alternate representatives other than their respective undersecretaries to the meetings of the Council. The Council shall meet at least once a quarter or as often as necessary. The Council shall engage other government agencies and instrumentalities, as may be necessary.

SEC. 10. Powers and Functions of the MIND Council. - The MIND

Council shall have the following powers and functions: a) Formulate the CIDMP that will serve as a blueprint for national and regional investment planning; b) Coordinate infrastructure investments, planning, and implementation

that promotes collaboration among key actors; c) Establish mechanisms to monitor the progress and implementation of infrastructure projects under the CIDMP, ensuring accountability and timely completion; d) Review and streamline all existing policies among government agencies in the formulation of plans, programs, and projects for the development of the infrastructure sub-sectors under Section 7 of this Act; e) Consult with major stakeholders from the private sector, including but not limited to the business groups, LGUs, civil society organizations, and non-government organizations; f) Submit to Congress the CIDMP and such other reports as may be necessary; g) Recommend to Congress proposed legislation to fully implement the CIDMP; and h) Perform such other functions as may be necessary for the effective discharge of its mandate. In addition to the foregoing powers and functions, the Council may form a consultative and advisory committee. This committee shall comprise individuals with proven expertise in but not limited to urban planning, engineering, environmental sustainability, infrastructure and economic development, social and community development, housing, technology, public health, education and culture, and disaster and emergency management.

SEC. 11. Secretariat to the MIND Council. - The DEP Dev shall serve

as the Secretariat and shall provide administrative, operational, and technical support to the Council. Pursuant to the policies, strategies, and other provisions of this Act, the DEPDev shall, in coordination with concerned agencies and stakeholders, be responsible in the formulation of the detailed CIDMP and integrated framework, including its medium-term strategic plans and programs. The DEPDev, in coordination with the concerned agencies and stakeholders, shall be responsible for the update of the CIDMP as well as its

regular monitoring and evaluation, including the physical and financial performance of implementing agencies, and the socio-economic impact of program accomplishments.

SEC. 12. Role of Implementing Agencies. - Implementing agencies

involved in the development of the transport and logistics, energy, water resources, ICT, social, asset preservation and maintenance strategies, and agri- fisheries modernization and food logistics shall perform the following responsibilities: a) Prioritize and fast-track the implementation of infrastructure projects in accordance with the CIDMP; b) Develop a national transport system with the following characteristics: efficient in facilitating mobility, safe, secure, economical, accessible, affordable, environmentally sustainable, user-oriented, reliable, convenient, integrated, and seamless; c) Plan and implement transport projects within the context of the entire supply chain and logistics system that is facilitating of both traditional and electronic commerce, through a seamless and demand- responsive intermodal transport network that shall link production areas with processing, warehousing, transport and transshipment hubs, and markets, and ensure unimpeded flow of people, goods, services, disaster response equipment, relief goods, and basic commodities in times of emergencies; d) Optimize the use of funds through efficient transport infrastructure maintenance and asset management, including applicable demand management; e) Improve road-based people-oriented transport to address traffic congestion through engineering, enforcement and education; f) Improve operational efficiency of airports and address constraints to their optimal capacity utilization; g) Improve port facilities to ensure that inter-island shipping, including a stronger roll-on roll-off (RORO) network, as a viable option for

transporting people and cargo; h) Support investments and fast track implementation of infrastructure projects to improve power generation, transmission, and distribution; i) Encourage competition to drive down electricity costs; j) Promote and develop alternative sources of power, including renewable energy and other clean energy technologies; k) Ensure efficient transmission of electricity to various load centers and interconnect the entire grid; 1) Prioritize the provision of off-grid, stand-alone, renewable technology to the remaining unelectrified off-grid, island, remote, and last-mile communities; m) Implement energy infrastructure projects in accordance with the policies and programs of R.A. No. 11285 or the Energy Efficiency and Conservation Act of 2019; n) Promote the deployment of clean, efficient, and smart energy technologies and establishment of the necessary infrastructure and regulatory support for these technologies; o) Pursue reforms that will address the fragmented structure of water resources management; P) Optimize the development and use of water resource potentials for irrigation, hydroelectric power, water supply, and flood control; q) Pursue institutional reforms such as streamlining processes to facilitate investments in water supply, sewerage system, and sanitation services; r) Intensify flood control in major river basins, principal rivers, and urban centers, combining structural or engineering intervention works as non-structural measures on an area or river system-wide basis, with priority on areas with high risks of flooding; s) Pursue reforms in digital infrastructure, including but not limited to streamlining process for permits, to complement the national broadband plan geared towards increasing internet access in unserved and underserved areas;

t) Expand the deployment of ICT infrastructure and address gaps in digital connectivity and promote digital trade; u) Enhance the e-government system as a vital tool for good governance, including the improvement and integration of various database and software management systems within and across different sectors and government bodies; V) Ensure and improve cybersecurity by investing in robust systems and key management resources; w) Prioritize implementation of climate-smart and resilient infrastructure in all sub-sectors of agri-fisheries modernization and food logistics, energy, water resources, social, transport, and ICT infrastructure investments; and x) Perform other functions as may be necessary towards the effective implementation of this Act.

SEC. 13. Consideration of Approved National Infrastructure

Projects. - The infrastructure projects improved by the DEPDev ED Council before the effectivity of this Act shall be given due consideration in the formulation and implementation of the CIDMP.

SEC. 14. Joint Congressional Oversight Committee (JCOC). - A

Joint Congressional Oversight Committee is hereby created to monitor and oversee the implementation of this Act. The Committee shall be composed of six (6) members from the Senate and six (6) members from the House of Representatives. The JCOC shall be headed by the chairpersons of the Senate Committee on Economic Affairs and Committee on Public Works, and the chairperson of the House Committee on Economic Affairs and Committee on Public Works and Highways. The other members of the Committee shall be 27 designated by the Senate President and the Speaker of the House, respectively. The minority of each chamber shall have at least two (2) representatives each.

SEC. 15. Appropriations. - The amount needed for the initial

implementation of this Act shall be charged against the current year's appropriations of the departments/ agencies concerned. Thereafter, such sums

as may be necessary for the continued implementation of this Act shall be 2 included in the annual General Appropriations Act.

SEC. 16. Implementing Rules and Regulations. - Within ninety

4 (90) days from the approval of this Act, the MIND Council, in consultation with 5 stakeholders from the public and private sector, including local government 6 units, business groups, community organizations, and non-government organizations, shall formulate the implementing rules and regulations necessary in effectively implementing this Act.

SEC. 17. Severability Clause. - If any provision of this Act is declared

unconstitutional, the remainder thereof shall remain in full force and effect.

SEC. 18. Repealing Clause. - All laws, presidential decrees, executive

orders, letters of instruction, proclamations, or administrative regulations that are inconsistent with the provisions of this Act are hereby repealed, amended, or modified accordingly.

SEC. 19 Effectivity. - This Act shall take effect fifteen (15) days after

its complete publication in the Official Gazette, or in a newspaper of general circulation. Approved,