After more than a year of absence, we are back with a blog on new laws passed by Congress. With the impeachment proceedings of the old Chief Justice over and done with, it is time for Congress to focus on making new laws. But, before we write on new laws passed by Congress, it may be worthwhile looking back at one important legislation last year– Republic Act No. 10149 or the “GOCC Governance Act of 2011” enacted by Congress on June 6, 2011
In recent years, there have been various reports about high-ranking officers of government owned and controlled corporations (GOCCs) being charged with graft for misappropriation of government resources, dispensation of bloated salaries, unauthorized purchase of assets, and abuse of power.
In a move to try to address these ills, the GOCC Governance Act of 2011 was passed to provide greater transparency, periodic disclosure and evaluation of operations and finances, creation of appropriate remuneration schemes, and clear separation between the regulatory and proprietary activities of GOCCs.
The Act actually also applies to Government Instrumentalities with Corporate Powers/Government Corporate Entities, which are instrumentalities or agencies of the government that are neither corporations nor agencies integrated within the departmental framework but are vested by law with special functions or jurisdiction, and government financial institutions and their subsidiaries. The Act however does not cover the Bangko Sentral ng Pilipinas, state universities and colleges, cooperatives, local water districts, economic zone authorities and research institutions (Sec. 4).