Law Summary
Operation and Interference Minimization
- CBCP's stations must be operated to minimize interference with existing or future stations.
- Ensures CBCP can use its assigned frequencies without diminishing the quality of service.
National Telecommunications Commission (NTC) Approval
- CBCP must secure permits and licenses from the NTC before constructing or operating stations.
- Use of frequencies requires NTC authorization.
- NTC must not unreasonably withhold or delay approval.
Public Service Obligation
- CBCP must allocate up to 10% of airtime free of charge for government public service announcements, emergency warnings, and important public issues.
- Programming must be sound, balanced, ethical, promote public participation, education, and audience empowerment (including closed captioning).
- Prohibits broadcasting obscene, indecent content or deliberately false information aimed at harming public interest or inciting subversion.
- NTC can increase public service time in emergencies and will issue rules for implementation.
Government Rights and Temporary Takeover
- Radio spectrum is a national patrimony; its use granted as a privilege subject to withdrawal after due process.
- The President has special rights during war, rebellion, calamities, or emergencies to:
- Temporarily take over and operate stations.
- Suspend operations for public safety.
- Authorize government use with due compensation.
Term and Revocation
- Franchise valid for 25 years from effectivity unless revoked or canceled earlier.
- Franchise is automatically revoked if CBCP fails to operate continuously for two years.
Content Regulation and Self-Discipline
- No prior censorship of broadcasts except the grantee must cut off content inciting treason, rebellion, sedition, or containing indecent or immoral language or themes.
- Failure to do so may lead to franchise cancellation.
Liability Warranty
- CBCP holds the national and local governments free from claims related to accidents causing injury or damage during stations’ construction or operation.
Employment and Training Commitments
- CBCP must create employment opportunities and allow on-the-job training.
- Priority employment given to residents near its offices.
- Must comply with labor standards and benefits.
- Employment data to be submitted annually to the Securities and Exchange Commission.
Transfer or Assignment Restrictions
- CBCP may not sell, lease, transfer, assign, grant usufruct, or merge the franchise or controlling interest without prior Congress approval.
- Congress must be informed within 60 days post-transaction.
- Failure to report results in automatic revocation.
- Successors are bound by the same franchise conditions.
Reporting Requirements
- CBCP must submit annual compliance and operations reports to Congress by April 30 each year.
- Presentation of a compliance certificate from Congress required before NTC permits or certificates are granted.
Penalties for Non-Compliance
- Failure to submit annual reports results in a fine of PHP 500 per working day collected by the NTC.
- Fine remitted to the National Treasury, separate from NTC's own penalties.
Equality Clause
- Any advantages or privileges granted under other broadcast franchises, except taxes and customs duties, shall also apply to CBCP, subject to Congress review.
- Does not affect territorial coverage, franchise term, or service type.
Amendment and Exclusivity
- Franchise subject to amendment, alteration, or repeal by Congress in public interest.
- Grant is not exclusive; other entities may also hold franchises.
Separability and Repealing Clauses
- Invalidity of any provision does not affect remaining provisions.
- Existing inconsistent laws, rules, or orders are repealed, amended, or modified accordingly.
Effectivity
- Act takes effect 15 days after publication in the Official Gazette or a newspaper of general circulation.