CODIFYING, REVISING AND UPDATING ALL FORESTRY LAWS, AND FOR OTHER PURPOSES.[]

WHEREAS, upon my instructions, the Department of Agriculture
and Natural Resources has prepared, drafted and completed the
codification, revision and updating of forestry laws to conform with,
and in pursuance of the provisions of the New Constitution;

WHEREAS, the adoption of the Code as part of the law of the
land will achieve the following results, among others:

1. The gradual phasing out of log exportation and accelerated
   development of the local wood processing industry through a system of
   disincentives and incentives;
2. Additional revenue to support the expanded responsibilities
   of the Bureau of Forest Development in land classification, forest
   protection, reforestation of denuded watersheds, continuing census of
   settlers and kaingin management in public forest, forest
   research and development;
3. The abolition of short-term licenses and the granting of
   long-term license agreements of 10 and 25 years to afford the grantee
   security of tenure, thus, assuring the effective conservation of the
   forest and elimination of petty graft resulting from periodic renewal of
   such timber licenses;
4. Abolition of the requirement of one processing plant for
   each concession and inducing the establishment of economic-sized plants
   located near shipping points, which can adequately compete in foreign
   markets in terms of quality and pricing of output;
5. Acceleration of land classification and immediate
   proclamation of permanent forest reserves;
6. Resettlement or integration of settlers in public forests
   through a system of kaingin management. This involves a
   complete and continuing census of all occupants of public forest,
   including their location, in order to determine valid claims and prepare
   action plans for integrating such occupants into the socio-economic
   mainstream; and
7. Revitalization of the Forestry Agency (Bureau of Forest
   Development). Adopted and made part of this Code is the merger of the
   Bureau of Forestry, Reforestation Administration, and the Parks and
   Wildlife Office, as already embodied in the Integrated Reorganization
   Plan approved under Presidential Decree No. 1; and

WHEREAS, the urgency of giving force and effect to this
measure in the quickest possible manner and time cannot be
overemphasized, the Filipino people having witnessed and suffered from
the last catastrophic floods and droughts throughout the Archipelago;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the
Philippines, by virtue of the powers in me vested by the Constitution
as Commander-in-Chief of the Armed Forces of the Philippines, and
pursuant to Proclamation No. 1081, dated September 21, 1972, and General
Order No. 1, dated September 22, 1972, as amended, in order to
accelerate the classification of our remaining unclassified forest lands
into alienable or disposable public lands and permanent forests and
conserve the latter for the benefit of the present and future
generations of this country, do hereby order and decree the following:

ARTICLE I — TITLE AND POLICY

SECTION 1. Title. — This shall be known as the
“Forestry Reform Code of the Philippines.”

SEC. 2. Declaration of Policy. — It is the policy
of the State:

1. To promote the wise utilization, conservation and
   development of the forest resources of the country, including their
   associated services relating to water supply, recreation and wildlife
   preservation;
2. To safeguard the national interest in the maintenance of a
   wholesome ecological environment;
3. To accelerate the rehabilitation of denuded lands,
   including those under private ownership; and
4. To provide a stable forestry agency and a body of laws and
   regulations adequate to achieve the national policy.

ARTICLE II — ORGANIZATION AND JURISDICTION OF THE
BUREAU OF FOREST DEVELOPMENT

SEC. 3. Merger and Organization of
Forestry Agencies. — For the purpose of carrying out the policies
established under this Code, the Bureau of Forestry, the Reforestation
Administration, the Parks and Wildlife Office and such other government
agency, instrumentality or special project as are performing related
functions, including applicable appropriations, records, equipment,
property and such personnel as may be necessary, are hereby merged into a
single agency to be known as the Bureau of Forest Development,
hereinafter referred to as Bureau. The Bureau shall be directly under
the control and supervision of the Secretary of the Department of
Agriculture and Natural Resources, hereinafter referred to as Department
Head.

The Bureau shall be headed by a Director, who shall be
assisted by one or more Assistant Directors. The Director and Assistant
Directors shall be appointed by the President.

All positions in
the three merged agencies are considered vacated. Present occupants may
be appointed in accordance with a plan of organization prepared by the
Director as approved by the Department Head. Any appointee who fails to
report for duty in accordance with the approved plan within thirty (30)
days upon receipt of notification shall be deemed to have declined the
appointment, in which case the position may be filled by any other
qualified applicant.

SEC. 4. Qualification of the
Director and Assistant Director. — No person shall be appointed
Director or Assistant Director of the Bureau unless he is a natural-born
citizen of the Philippines, at least 30 years of age, a holder of at
least a Bachelor’s Degree in Forestry or its equivalent, and a
registered forester.

SEC. 5. Creation of Functional Divisions and Staffs.
— There is hereby created the following divisions:

1. Planning and Evaluation Division which shall have the
   following functions: (1) undertake economic, organization and
   management research relative to forest land management and forest
   industry development; (2) prepare long-range and annual programs of
   work; (3) guide the preparation of multiple-use plans for the public
   forest; (4) evaluate, through a system of field inspection, the quality
   and quantity of performance as measured against established
   policies, goals and standards; (5) establish standards for land
   classification in the public forest; (6) recommend changes in laws,
   regulations, policies and procedures as needed to achieve agency
   objectives; (7) maintain agency manuals; and (8) perform such other
   functions as may be provided by law.

   This Division shall consist of functional sections, namely: Program
   Planning, Performance Evaluation, Forest Economic and Management
   Analysis.

2. Administrative Division which shall have the
   following functions: (1) advise management on personnel policies and
   administration; (2) develop and administer a personnel program on
   selection and placement, classification and pay, career and employee
   development, training, performance rating, employee relations, health
   and welfare service; (3) inform the public about the policies,
   plans, activities and accomplishments of the Bureau; (4) develop and
   improve budgetary methods, procedures, and justifications, provide fund
   estimates in support of the Bureau’s operations, plans, and programs;
   and provide for the systematic release and control of fund allotments to
   the various units of the Bureau; (5) maintain basic and subsidiary
   accounting records and books of accounts to reflect financial
   transactions; (6) certify to the availability of funds,
   obligate funds, process vouchers or claims, and prepare financial
   reports; (7) file and maintain necessary records and establish a records
   disposition program; (8) provide mail, transportation, messengerial,
   and general utility services for the Bureau; (9) procure, store, and
   distribute supplies and equipment and conduct periodic inventories of
   the same; (10) provide cashiering services; (11) and perform such other
   functions as may be provided by law.

   This Division shall consist of functional sections, namely:
   Personnel, Budget, Accounting, Information and General Services.

3. Legal Staff which shall have the following functions:
   (1) provide legal counsel and assistance to the Director and various
   organizational units of the central office concerning the interpretation
   and application of forestry, reforestation, parks, and wildlife laws;
   (2) assist the regional staffs in resolving complex legal problems
   involving violations of laws, rules and regulations; (3) appear
   in courts and administrative bodies in behalf of the Director and
   other personnel of the Bureau on cases arising from the lawful discharge
   of, or erases related to the functions of their offices; (4) conduct
   investigations regarding cases filed against employees of the Bureau and
   submit recommendations; and (5) perform such other functions as may be
   provided by law. The Legal Staff shall be directly under the Office of
   the Director.

4. Silviculture Division which shall have the following
   functions: (1) maintain a current inventory of timber resources in the
   public forest, including virgin, cut-over and degraded forests; (2)
   design silvicultural systems for commercial and noncommercial
   timberlands; (3) prepare guidelines for working unit plans; (4) provide
   standards for the conduct of post harvest diagnostic surveys and timber
   stand improvement activities in the public forest; (5) prepare the
   program for reforestation and disease and insect control; (6) insure
   that the boundary of the permanent public forest is established in
   accordance with the land classification standards prescribed by the
   Planning and Evaluation Division, and undertake the initial marking of
   the boundary; and (7) perform such other functions as may be provided by
   law.

   This Division shall consist of functional sections, namely:
   Silviculture and Reforestation, Timber Inventory, Working Unit Plans and
   Land Classification.

5. Forest Protection and Utilization Division which shall
   have the following functions: (1) plan and develop, within the public
   forest, the programs for protecting the public forest, reforestation
   projects, national parks and wildlife sanctuaries from fire and
   encroachment; (2) provide guidelines for the effective enforcement of
   fish and game laws and regulations; (3) prescribe standards and
   procedures for the issuance of forestry licenses or permits; (4) issue
   timber licenses and establish guidelines in the processing of
   applications for leases and in the preparation of operating plans for
   the removal of timber and minor forest products in accordance with
   working unit plans; (5) develop a program for the resettlement of
   shifting cultivators occupying the public forest; (6) formulate a
   program for the protection and rehabilitation of watersheds; (7)
   develop, install and provide technical supervision in the maintenance
   of forest transportation and communication systems, buildings, and
   other structural facilities associated with the public forest; and (8)
   perform such other functions as may be provided by law.

   This Division shall consist of functional sections, namely: Timber
   Operations, Land Uses, Watershed Management, Utilization, Kaingin
   Management, and Forest Protection and Engineering.

6. Parks, Range and Wildlife Division which shall have
   the following functions: (1) formulate the outdoor recreation
   programs in public forests, national parks, including marine parks
   and other related recreation units; (2) establish the carrying
   capacity and range-use requirements on suitable grasslands in the public
   forest; (3) set standards for the issuance of grazing permits to ensure
   that the utilization of public range lands is in accordance with
   watershed and wildlife habitat requirements; (4) determine the need for,
   and recommend, the establishment of wildlife sanctuaries; (5) establish
   wildlife habitat requirements for application in the managed forest;
   (6) recommend season, bag and/or creel limits of game and fish within
   the public forest and the marine parks, lakes and other inland waters
   which may be under the jurisdiction of the Bureau; and (7) perform such
   other functions as may be provided by law.

   This Division shall consist of functional sections, namely: Parks
   Management, Recreation Management, Wildlife Management and Range
   Management.

7. Forest Research Division which shall have the
   following functions: (1) conduct problem analysis, design and implement
   program of basic and applied research on the protection and utilization
   of the soil, water, timber, range, wildlife habitat and recreation
   resources of the public forest including silviculture, ecology, forest
   pests and diseases, range, wildlife and forest environment; and (2)
   perform such other functions as may be provided by law.

This Division shall consist of functional sections, namely:
Silviculture, Range and Wildlife, Watershed Management, Pests and
Diseases, and Field Research Services.

The Department Head, upon
recommendation of the Director, may create such additional divisions,
sections or units as may be deemed necessary to meet the demands for
better forest administration. He may likewise create, upon
recommendation of the Director, a central research institute for the
purpose of collaborating with and reinforcing the Forest Research
Division.

SEC. 6. Creation of Regional and District
Offices. — For the efficient and effective implementation of the
program of the Bureau, there shall be created at least eleven (11)
regional offices. In each region, there shall be as many forest
districts as may be necessary, in accordance with the extent of forest
area, established work loads, need for forest protection, fire
prevention and other factors, any law to die contrary notwithstanding.

SEC. 7. Jurisdiction of the Bureau. — The Bureau
shall be responsible for the effective, efficient and economic
classification, protection, development, management, regeneration,
reforestation, occupancy and use of all public forest and forest
reserves; the granting of licenses or permits for the taking or use of
forest products therefor or the occupancy or use of the public forest;
the implementation of multiple-use and sustained yield management in the
public forest, and a comprehensive program of forest research; the
protection, development and preservation of national parks, game refuges
and wildlife; the implementation of a continuing program of kaingin
management within the public forest; the enforcement of forestry,
reforestation, parks, games and wildlife laws. The Bureau shall, in
collaboration with appropriate government agencies, extend assistance
towards the development, utilization and rationalization of the wood
industries; regulate the operation of sawmills, veneer and plywood mills
and other wood processing plants; conduct studies of domestic and world
markets; provide and support industrial operations within the public
forest; and support fiscal policies associated therewith.

SEC. 8. Adoption by Reference. — Except as
specifically provided in the preceding sections, the provisions of the
Integrated Reorganization Plan under Presidential Decree No. 1, dated
September 24, 1972, and Letter of Implementation” No. 9, dated November
1, 1972, with respect to the Bureau, the regional offices, their
organization, staffing, and other matters as are hereby related, are
deemed adopted as part of this Code.

SEC. 9. Regulation of the Bureau. — The Director
shall, with the approval of the Department Head, promulgate such rules
or regulations as are deemed expedient or necessary for the protection,
conservation, development, occupancy and use of the public forest,
including national parks, game refuges and bird sanctuaries in such a
manner and by such means as will insure a continuous and sufficient
supply of water, timber, forage, wildlife, recreational values, and
other forest products and services.

The regulations shall include the mechanism by which the
licenses, leases, or permits specified in this Code may be issued by the
Bureau. Charges, fees and bonds shall be prescribed and imposed only in
the manner provided for in this Code.

SEC. 10. Authority
of Officers .and Employees of the Bureau to Make Arrest and Seizure and
to Administer Oath and Take Testimony. — Officers or employees of
the Bureau may arrest without warrant in a public forest any person who
has committed or is committing an act against the provisions of this
Code. They may also seize and confiscate in favor of the Government
forest products, including tools and equipment used in committing the
act. The disposition of seized products, materials and equipment shall
be done by the Director in accordance with regulations approved by the
Department Head.

The Department Head may deputize any qualified
person to exercise the power or authority provided for in the preceding
paragraph, which shall include the protection of the forest from any
form of illegal occupation or destruction.

Any person arrested by
an officer or employee of the Bureau under the authority herein given
shall, if such be reasonable and practicable, be brought before the
proper authorities within the period prescribed by existing laws and to
be dealt with according to law.

Forest officers are authorized to
administer oath and take acknowledgment in official matters connected
with the functions of their office, and to take testimony in official
investigations conducted under the authority of this Code and the
implementing regulation.

SEC. 11. Manpower Development.
— The Bureau shall establish an in-service training center for the
purpose of upgrading and training its personnel and new employees. The
training center shall consist of a Central Institute to be established
on the campus of the College of Forestry of the University of the
Philippines, and such other training center or centers the Bureau may
establish.

The Bureau shall also set aside adequate funds to
enable personnel to obtain special education and training in local or
foreign colleges or institutions.

SEC. 12. Performance
Evaluation. — The Bureau shall devise a system, to be approved by
the Department Head, to evaluate the performance of its employees as
well as the performance of permittees, lessees, licensees and other
users of the public forest. The system shall measure accomplishment in
quantity and quality of performance as related to the funded program of
work assigned to each organizational unit. There shall be included a
system of periodic inspection of district offices by the regional
offices and of the regional and district offices by the Central Office
in both functional fields and in the overall assessment of how each
administrative unit has implemented the laws, regulations, policies,
programs and practices relevant to such unit. The evaluation system
shall provide the information for: annual progress reports;
determination of employee training, transfer or disciplinary action;
continuation, modification or termination of licenses, leases or
permits; and the modification of laws, regulations, policies and
practices.

A summary of the key findings of the evaluation
activity shall be incorporated into an annual report the Director shall
submit to the Department Head within sixty (60) days following the close
of each fiscal year.

ARTICLE III — GENERAL
PROVISIONS

SEC. 13. Principles Governing the
Administration of Forests. — The public forests of the Philippines
shall be held and administered under the concept of multiple-use and
sustained yield for the protection of the public interest, the utility
and safety of the forests, and the perpetuation thereof in productive
condition by wise use.

SEC. 14. Diffusion of Benefit. — No lease,
license or license agreement issued to a corporation shall be granted,
renewed or allowed to continue under the provision of this Code except
upon the express condition that the grantee shall, within three (3)
years from the date of the grant, renewal or, in the case of those that
are not yet due to expire, within three (3) years from the approval of
this Code, sell or offer for sale, under reasonable terms and conditions
as may be determined by the Director, at least twenty per centum
(20%) of its subscribed capital stock to its employees and/or to the
general public.

The Bureau shall, in its rules, ensure the further diffusion
of the privilege to develop and utilize the forest resources to as many
qualified and deserving applicants as possible, consistent with the
policy of promoting the establishment of economic-size operational
units.

SEC. 15. Private Rights. — The grant of any
license, license agreement, lease or permit under this Code shall be
subject to private rights of persons, if there be any, within the
concession or license areas as evidenced by their occupation and
cultivation existing at the time the license, license agreement, lease
or permit is issued by the Government, or other muniments of title, and
the area over which such private rights exist shall be respected, and
logging operations or occupancy within said area shall be allowed only
upon prior authorization by the Director.

ARTICLE IV — LAND CLASSIFICATION

SEC. 16. Regulation Setting Apart
Forest Reserves: Permanency of Same. — Upon the recommendation of
the Director, duly concurred in by the Department Head, the President of
the Philippines shall, by proclamation, declare all lands of the public
domain eighteen percent (18%) in slope or over as permanent forests or
forest reserves, regardless of the condition of vegetative cover,
occupancy, or use of any kind, and thereafter such forest reserves shall
not be alienated nor disposed of, but shall remain in public ownership
as such for forest uses.

Parcels of land less than eighteen percent (18%) in slope and
less than two hundred fifty (250) hectares, and lands on tops of ridges
or plateaus, regardless of size, which arc found within or are
surrounded, wholly or partly, by a body of public forest and suitable
for permanent forest purposes shall be considered as part thereof. Areas
along streams or rivers may be utilized, in the absence of available
alienable or disposable areas, as kaingin relocation centers,
forest villages, and other purposes compatible with the proper
management of the forest. Appropriately located road rights-of-way shall
be retained as part of the permanent forest land. A strip of land fifty
(50) meters above the normal high waterline on each side of rivers and
streams with channels not less than five (5) meters wide shall be
retained as permanent forest land for stream bank protection. Strips of
land, mangrove and swampland not less than fifty (50) meters from the
apparent shoreline as indicated by vegetative growth along the shoreline
facing oceans, lakes and other bodies of water shall be retained as
permanent forest for shoreline protection. Isolated areas or patches of
forest of at least five (5) hectares with slope eighteen percent (18%)
or over shall likewise be retained as permanent forest land.

All lands eighteen percent (18%) in slope or over which have
been previously classified as alienable or disposable, but not yet
titled as certified by the Director of Lands, shall be reverted to the
category of public forest: Provided, That existing alienable or
disposable lands, even if eighteen percent (18%) in slope or over but
covered by approved public land applications, or have been, and are
actually occupied openly, continuously, adversely, and publicly for a
period of not less than thirty (30) years as of the effectivity of this
Code, shall remain as such alienable or disposable: Provided,
further, That such alienable or disposable lands eighteen percent
(18%) in slope or over are kept in a vegetative condition sufficient to
prevent erosion and adverse effects on the lowlands and streams,
otherwise, steps shall be taken by the Bureau to initiate appropriate
proceedings to revert such lands to the category of public forest.

The President of the Philippines may, by proclamation, and
upon the recommendation of the Director, duly concurred in by the
Department Head, modify the boundaries of any forest reserve without
need of concurrence by any other body, any provision of law to die
contrary notwithstanding.

SEC. 17. Establishment of
Boundaries of Forest Reserves. — All boundaries; of the public
forest shall be clearly marked and maintained on the ground. Boundary
comers shall be established with concrete monuments of intervals of not
more than five hundred (500) meters and in accordance with established
procedures and standards.

SEC. 18. Classification of Public Forest Lands as
Alienable or Disposable. — Except those excluded in Section 16, and
areas presently designated as permanent forest, national park, national
shrine, national historic site, swampland and forest area which have
been declared by the Department Head as essential to research, scenic,
recreation, or fish and wildlife purposes, portions of the public forest
below eighteen percent (18%) in slope, upon the certification of the
Director that said portions are not required by the public interest to
be kept in public ownership and that their alienation or disposition is
compatible with forestry purposes, shall be declared by the Department
Head as such alienable or disposable: Provided, however, That
areas within timber concessions below eighteen percent (18%) in slope
which are timbered and/or having adequate residual, and presently
supporting an existing processing plant shall not be released as
alienable or disposable but shall remain as part of the permanent forest
land: Provided, further, That the Department Head may, from
time to time, release to the Department of Agrarian Reform lands of the
public domain for the purpose of agricultural resettlement and sale.

All applications for registration of land for titling purposes
shall be referred to the Director or his representative who will
certify under oath that such land is alienable or disposable, or part of
the public forest, as the case may be.

ARTICLE V — SPECIAL AREAS AND THEIR FUNCTIONS

SEC. 19. Forest Research. — The Bureau is
responsible for the design and conduct of a comprehensive program of
forest research relative to the establishment, protection, perpetuation
and utilization of the various resources and services available from the
public forest. Such research shall be conducted in a manner which
provides functional information in harmony with the concept of managing
the forest as an ecosystem. The research program shall include such
subjects as forest and grasslands, ecology, silviculture, range and
wildlife habitat management, wildlife biology, forest soils, watershed
management and protection of the forest from insects and diseases.
Except for such research as may be conducted by educational institutions
in furtherance of their academic programs, the Bureau is assigned the
exclusive authority and responsibility for the conduct of such research
in the government sector.

Experimental forests may be established for the purpose of
conducting coordinated research. Should such coordinated research
require harvesting of timber or other forest products, the same shall be
done solely by the Government but in no case shall it be earned on a
commercial scale and any revenue realized therefrom shall accrue to the
Bureau as part of its research and development trust fund.

Field
research shall be reinforced by a Central Research Institute to be
established on the campus of the College of Forestry of the University
of the Philippines in which laboratory phases of forest research shall
be conducted. The organization of this Institute shall be done by the
Department Head upon recommendation of the Director.

The
execution of the provisions of this Section shall coordinate with the
provisions of Presidential Decree No. 48, dated November 10, 1972,
establishing the Philippine Council for Agricultural Research (PCAR).

SEC. 20. National Park System. — Upon recommendation of
the Department Head the President of the Philippines may, by
proclamation, reserve and withdraw from settlement, occupancy, or
disposition any portion of the public domain which, because of its
panoramic, historical, educational, cultural, scientific, or aesthetic
values, should be dedicated and set apart as a national park, in
accordance with the criteria to be prescribed by the Director and
approved by the Department Head, the national marine parks national sea
shore parks, national battlefield parks, and other categories of
national significance All natural resources or physical components which
are naturally stored or found therein ‘shall be used only in accordance
with the purpose for which these areas are established.

All
existing national parks and all other areas that may be established as
such are hereby declared permanent in status, and thereafter such parks
shall not be alienated nor disposed of, but shall remain as such for the
purpose for which they are established; Provided, that the
President may, by proclamation, alter or modify the boundaries of such
parks in order to conform with precise surveys, enhance their park
values and insure their sound management.

Roads in national parks which are existing or to be
constructed shall be opened only to traffic inherent to the use of
national parks.

Areas within the national park system are hereby
declared as game refuges and bird sanctuaries.

The Director
shall, subject to the approval of the Department Head, establish a
schedule of fees and impose conditions and penalties for the use of
areas in the national park system.

SEC. 21. Watershed
Reservation. — All watershed reservations established or to be
established, shall be under the jurisdiction of the Bureau. Watershed
reservations may be established by the President of the President of the
Philippines upon recommendation of the Director, concurred in by the
Department Head, to protect or improve the conditions of water yield or
to reduce sedimentation. The watershed reservation may be opened to
other uses under such terms and condition as the Department Head, may
prescribe; Provided, that the principal objectives of such
reservation shall not be jeopardized.

Upon determination by a recognized water-using agency that a
portion of the pubic forest is essential to a specific water resources
project, the Bureau, upon written request of such agency, shall
collaborate in the preparation of a detailed plan of protection,
development, utilization and management of such watersheds. Upon
approval of the management plan by the Department Head, the Bureau shall
be responsible for its full implementation. When the plan of management
exceeds the financial resources that the Bureau normally allocates to
the watershed areas, and when the water-using agency determines that the
action program must be accelerated or its management intensified, such
agency shall provide the additional funds needed to achieve the
objectives of the plan. In the event that the utilization of forest
products or services is curtailed, the water-using agency, with the
approval of the Department Head, shall be required to pay annually to
the Bureau an amount equivalent to the revenue which otherwise would
have accrued to become part of the Research and Development Trust Fund.

SEC. 22. Establishment of Municipal or City Forests and
Pastures. — The municipal or city council of any municipal/municipal
district or city/city district, may acquire private or public
(alienable or disposable) land for the purpose of establishing a
municipal or city forest, tree park, watershed or pasture. The national
government shall assist in, and provide the technical supervision over
the establishment and maintenance of such municipal or city forest or
pastures.

ARTICLE VI — FOREST RESOURCES MANAGEMENT

SEC. 23. Watershed Management. — In addition to the
responsibilities relative to watershed reservations, the Bureau is
responsible for the design and, application of measures to minimize soil
erosion, regulate or modify water yield, minimize pollution of water by
users of forest and water resources and rehabilitate and improve
deteriorating watersheds. Among other activities, the Bureau shall
prescribe watershed protection and restoration measures to be
incorporated in license agreements, leases, permits, work orders, and
contracts which involve serious disturbance of the soil and water
resources, with particular attention to road construction, mining,
shifting cultivation, and burning; and it shall establish a monitoring
system to see to it that the activities authorized by the Bureau are
accomplished in line with prescribed water quality standards. It shall
also adopt standards and criteria by which it will be able to determine
whether or not logging and other land use practices shall be allowed or
suspended in a watershed or portion thereof.

SEC. 24. Timber Resources Management. — No timber
resources shall be allowed for commercial utilization unless the grant
advances the economic and social welfare of the Filipino people, while
at the same time assuring the continuity of the forest in productive
condition.

Subject to the provisions of the preceding paragraph, the Director
or his duly authorized representative may select or designate timber
for sale, disposal or use and may sell, dispose or authorize the use of
the same by means of license or sales contract, at prices fixed in this
Code or as otherwise determined in accordance with the regulations
promulgated thereunder.

The Director shall prescribe and
implement in every logging concession a silvicultural system or
combination of systems which will produce the optimum sustained yield of
raw materials for the dependent industries in coordination with other
related uses.

The construction of logging roads and hauling of
logs which are the primary responsibility of the licensee or
concessionaire may be subcontracted to third parties under conditions
and standards prescribed by the Director: Provided, That any
violation committed by the subcontractor shall be considered as
violation committed by the licensee or concessionaire himself and shall
subject the license to suspension or cancellation.

SEC. 25. Allocation of Commercial Timber Resources.
— The commercial timber resources of the productive forest shall be
allocated in such a manner as to encourage the maintenance and further
development of an integrated wood industry.

To this end, the
major portion of the commercial timber resources shall be allocated
under long-term license agreements. Timber allocated under such
agreements shall be limited in area and/or volume of timber required to
support, on a sustained-yield basis, the processing plant installed or
to be installed.

The estimated volume and value of timber
available for commercial sale shall be determined through an appraisal
system by the Bureau.

SEC. 26. Timber Appraisal,
Scaling and Tree Measurement. — The Director shall institute a
system of timber appraisal for all public forest areas or forested
alienable or disposable lands, whether vacant or covered by existing
timber concessions.

In the case of timber license agreements,
existing as of the effectivity date of this Code, the first appraisal
shall take place after two (2) years following such effectivity; and of
those that may be issued thereafter, said appraisal shall be made every
five (5) years reckoned from the original issuance thereof.

Tree
measurement shall be the basis for assessing government charges on
timber cut and removed from the public forest or alienable or disposable
lands: Provided, That until such time as the mechanics of tree
measurement has been developed, the present scaling method provided for
in the National Internal Revenue Code shall be used.

The Director, with the approval of the Department Head, shall
promulgate the implementing rules and regulations to carry into effect
the purposes of this Section.

SEC. 27. Authority of
Department Head to Impose Fees or Require Special Deposits. — In
addition to the taxes, fees and charges imposed under existing laws and
regulations, the Department Head is hereby authorized to impose, upon
recommendation of the Director and in consultation with representatives
of the industries affected, such fees, or require special deposits, for
the privilege to occupy or use a portion of the public forest, or
harvest and utilize forest products.

SEC. 28. Collection and Disbursement. — The
collection of the fees and special deposits subject of the next
preceding section shall be the responsibility of the Director or his
authorized representatives. The Director shall remit his monthly
collection to the Treasurer of the Philippines within the first ten (10)
days of the succeeding month. The Budget Commissioner and the National
Treasurer shall effect the quarterly releases out of this collection
upon request of the Director on the basis of a consolidated annual
budget of a work program approved by the Department Head upon approval
by the President.

SEC. 29. Mandatory Wood Processing Requirements. —
Upon effectivity of this Code, unless otherwise decreed by the
President upon recommendation of the National Economic and Development
Authority, the amount of timber production of each timber licensee or
concessionaire required to be locally processed shall not be less than
the following percentages based on the average actual cut during the
preceding two (2) years:

	(a)	Calendar Year 1973	—	40 per centum
	(b)	Calendar Year 1974	—	60 per centum
	(c)	Calendar Year 1975	—	80 per centum
	(d)	Calendar Year 1976 and thereafter	—	100 per centum

A wood-processing plant shall purchase logs only from legitimate
sources. A licensee who has no processing plant may enter into a
contract with a wood processor for purposes of complying with the
requirements of this Section, subject to approval by the Director.

Timber license holders shall be encouraged and assisted to utilize
and convert logging wood wastes and wood trees in their concessions and
the wood residues of their wood-processing plants into the manufacture
of wood by-products and derivatives. For this purpose, the Bureau shall,
in collaboration with other wood agencies, the Board of Investments and
industry associations concerned, evolve and recommend a program of
incentives for submission to the NEDA, thru the Department Head.

SEC.
30. Forest Range Resources Management, — The forage and
range resources of the public forest shall be developed and managed to
insure a continuous productivity of forage to support the livestock
industry of the country. The Bureau shall collaborate with the Bureau of
Animal Industry, Bureau of Plant Industry and other appropriate
government agencies to achieve this objective.

Suitable range or
grazing lands shall be determined by the Bureau using fifty percent
(50%) slope as the maximum gradient for suitable range, and such other
criteria as it may establish. All existing leases on unsuitable range
land will be offered the privilege of transferring to suitable range
lands in lieu of lease termination.

The Department Head, upon the
recommendation of the Director, shall promulgate such rules and
regulations as are necessary to effectively carry out the provisions of
this Section.

SEC. 31. Wildlife Resources Management.
— There shall be maintained an adequate population of wildlife in the
public forests and surrounding areas to provide an ideal biological
balance of flora and fauna. Il shall be unlawful to hunt, wound or kill,
take, have in possession or offer for sale any bird, fish or mammal
without license. Wild mammals and birds may, upon prior permission by
the Director or his representative, be caught or destroyed by property
owners at any time that such animals cause destruction to their
property. The Director may specify the seasons during which curtain
birds, game and fish may be taken with permit, and may also establish
the daily and/or seasonal bag or creel limits as may be required to
maintain the desired level of stocking.

Permits for the taking of
birds and game animals shall not be issued within national parks,
botanical gardens, established game sanctuaries and other areas
designated by the Department Head, except that the latter may authorize
the Director to issue a special permit for the taking of surplus game or
destructive predatory, noxious or dangerous animals which endanger the
habitat. The Director is authorized to establish, equip, operate and
maintain game farms and other game projects in such portions of the
lands under his jurisdiction as may be deemed appropriate and
beneficial, and to terminate such activities when the purpose has been
served.

A reasonable fee may be collected for the issuance of
hunting and fishing permits: Provided, however, That permits
shall be issued tree of charge to those who by tradition are dependent
upon the flesh of wild birds and mammals for their subsistence, subject
to the mode of hunting, species bag limits, and other conditions as may
be prescribed.

SEC. 32. Recreation Resource Management. — The
Bureau shall, in the preparation of multiple-use management plans,
identify and provide for the protection of scenic areas which are
potentially valuable for recreation and tourism. In planning for the
operation of such areas for utilization of other resources, the design
shall provide for the protection and development of the recreation
resource.

Likewise, the road system to be constructed for
harvesting timber, mining and other purposes shall, to the extent
feasible, be designed and constructed to facilitate the access to
recreation areas.

The Bureau shall plan for development of
recreation areas to induce and meet increasing demands. The construction
and operation of necessary facilities to accommodate outdoor recreation
will be done by the Bureau with the use of its own funds which may be
derived from rentals and fees for the operation and use of recreational
facilities by private persons or operators.

The Director shall
promulgate rules and regulations and establish a schedule of fees for
the recreational use of such areas.

In the areas constituting the
national park system, such rules shall be formulated and adopted to
insure the continuity of their unique values.

SEC. 33. Management
of Swamplands and Mangrove Forests. — The Bureau, in consultation
with other appropriate agencies, shall jointly develop a management plan
to increase the public benefits derived from swamplands and mangrove
forests, but in no case shall the development obstruct or impede
waterflow of streams and rivers.

Strips of mangrove forests
bordering numerous islands protect the shoreline, the shoreline roads,
and even coastal barrios from the destructive force of the sea during
high winds and typhoons and, therefore, must be kept free from
artificial obstruction so that flood-water will flow unimpeded to the
sea to avoid flooding or inundation of cultivated areas in the
upstreams.

All mangrove swamps set aside for coastal protection
and forest purposes shall be established as permanent forest, and shall
be managed under the principle of sustained yield.

SEC. 34.
Kaingin Management. — The Bureau shall, in the preparation of
its multiple-use plans, design and provide for implementation of kaingin
management and relocation plan. The plan shall include a complete and
continuing census of all forest occupants, survey of the sizes of
occupancy and the identification of those to whom kaingin
management benefits shall be given.

The Bureau shall control and regulate the location and area,
and prescribe rules and regulations for the prevention of further
encroachment into the public forests and shall also provide an
agro-forestry development program and assistance to increase crop
productivity and employment opportunities to forest occupants.

The Bureau, in collaboration with other appropriate agencies, shall
identify and stabilize the land claims of primitive tribes residing
within the public forest. Provision shall be made for permanent
settlement on designated areas reserved for the purpose, such as
unoccupied alienable or disposable lands, relocation centers within the
public forest and elsewhere as may be required to achieve the
objectives: Provided, That a member of the primitive tribes
who, since July 4, 1955, has continuously and publicly occupied and
cultivated, either by himself or through his predecessors-in-interest, a
tract or tracts of land declared as alienable or disposable, shall be
entitled to the rights granted in this Code: Provided, further,
That at the time he files his free patent application, he is not the
owner of any real property secured or disposable under the provisions of
the Public Land Act: And provided, finally, That he has not
previously availed himself of the provisions of the laws relative to
free grant of land.

For those remaining in the public forest, a continuing program
of assistance, when needed, shall be provided by the Bureau.

Any
person making kaingin without permit after the completion of
the initial forest occupancy census and survey as provided for under
this Section shall be criminally prosecuted in accordance with existing
laws. Any person who violates the terms and conditions of his kaingin
permit shall forfeit all privileges granted him under the kaingin
management plan. In both cases, the violator shall be ejected from the
public forest illegally occupied and ail improvements introduced thereon
including tools, equipment and work animals shall be confiscated in
favor of the Government.

SEC. 35. Industrial Plantation Management. — The
Bureau shall encourage the rehabilitation of denuded or deteriorated
lands embracing both those under public and private ownership. It shall
implement a system of incentives to prospective investors to plant
suitable areas to forest trees of commercial value. Such incentives may
exceed the limits set for other uses of forest lands under this Code,
and shall be contained in a set of rules to be promulgated by the
Department Head with the approval of the President.

In the case
of lands within the public forest, the Bureau may grant industrial
plantation license and/or lease for a period of 25 years, renewable for
another 25 years at the option of the lessee, and charge an annual
nominal rental and use fee only from the time of harvest.

In the
case of private lands, the Bureau shall assist in the preparation of
management plans, give technical advice in the development and
maintenance of the plantation, and implement a system of incentives to
landowners who undertake approved conservation and silvicultural
practices.

Small scattered areas may be leased to individuals: Provided,
That they organize themselves into a cooperative to insure the orderly
management and development of their plantations and marketing of their
products. Big, compact areas may be leased to individuals, corporations,
partnerships or associations.

SEC. 36. Mineral Resources Management Within the
Public Forest. — Mining operations in forest areas shall be
conducted with due regard to protection, development and utilization of
other surface resources in the areas affected by such mining operations.

No prospecting, exploration or exploitation of mineral resources shall
be allowed within the public forests including forest reservations,
national parks, reforestation projects, grazing areas, and those under
special uses and such areas reserved by law or by the President of the
Philippines for special purposes unless approved by the President upon
recommendation of the Director of Mines and Director of Forestry.

The utilization of timber and other forest products within mineral
reservations and other mineral lands shall be allowed in accordance with
existing forestry laws and regulations and such rules as may
hereinafter be promulgated.

ARTICLE VII — LICENSES, LEASES AND PERMITS

SEC. 37. Types and Specification of
Licenses, Leases and Permits. — A license, lease or permit may be
issued or granted only after an application has been filed and an award
has been made. No licenses, leases and permits, however, shall be
granted in provinces and cities which, according to the latest official
population census, are inhabited by members of the national cultural
communities, without a prior inspection jointly conducted by the
representatives of the Bureau and of the Commission on National
Integration and a certification by said representatives that no members
of the cultural communities actually occupy or possess, or has a claim
to all or portions of the area applied for; and in cases where only
portions of the area applied for are in the occupation or possession of,
or claimed by, members of the said national cultural communities, the
same shall be excluded, or deemed excluded,

The types of licenses, leases or permits issued or granted by
the Director or the Department Head as the case may be are as follows:

1. Timber License Agreement — a long-term license
   executed by and between the Department Head, on behalf of the
   Government, and the grantee for the harvesting and removal from the
   public forest of timber and, in appropriate cases, also of other forest
   products. It is drawn up by the Director and recommended to the
   Department Head for his final approval. It is subject to review at least
   once every five (5) years to ascertain compliance with the terms
   thereof and adjust such terms to major policy changes.
2. Pulpwood License Agreement — similar to timber
   license agreement except that it is primarily for the planting and
   cutting of pulpwood species.
3. Provisional Timber License — a short-term license
   issued by the Department Head over areas previously under ordinary
   timber licenses where field evaluation is prevented by unstable peace
   and order conditions or fortuitous events, or where government
   restrictions or changes in government policy have prevented the
   licensee from actual logging operations, or for one reason or another
   which the Department Head or Director considers satisfactory, and the
   licensee failed to commence such actual operation although substantial
   capital improvements have been introduced and that the licensee has
   shown evidence of sufficient financial capability for continuous logging
   operations such that cancellation of the license or conversion into a
   longer term license cannot be done in the interim; or where the area is
   covered by a mining claim and claimant does not need the timber for
   mining purposes and commercializes it or waives his right to another who
   is qualified to acquire a timber license.
4. A & D Timber License — a license issued by the
   Director for the clear-cutting and commercial utilization of timber over
   forested lands that have been declared as alienable or disposable but
   not yet covered by a title of ownership.
5. Private Land Timber License — a license issued by
   the Director for the cutting and commercial utilization of timber in a
   private land the title to which is not registered with the Bureau.
6. Registered Private Woodland License — a license
   issued by the Director for the cutting and commercial utilization of
   timber in a private land the title to which is registered with the
   Bureau.
7. Soft Wood Timber License — a license issued by the
   Director inside a public forest for the cutting of timber species
   suitable and used solely for bakya, match-sticks, carving and similar
   purposes.
8. Hard Wood Timber License — a license issued by the
   Director inside a public forest for the cutting of timber classified as
   furniture timber, to be used exclusively in the manufacture of
   furniture, fixtures, house components, sash, handicraft, and other such
   woodcraft.
9. Gratuitous Timber License — a license issued by the
   Director or his representative for the cutting of timber strictly for
   personal use, for public purposes or for mining operations.
10. Mangrove Timber License — a license issued by the
    Director for the cutting and utilization of mangrove timber species.
11. Civil Reservation Timber License — any of the
    foregoing licenses issued by the Department Head or by the Director
    inside a civil reservation for the cutting and utilization of timber
    species.
12. Land Grant Timber License — any of the foregoing types
    of licenses except paragraph (k) issued by the Department Head or by
    the Director inside land grants for the cutting and utilization of
    timber species.
13. Minor Forest Products License — a license issued by
    the Director within a public forest or forested land for the cutting and
    utilization of any forest product other than timber.
14. Pasture Lease — a lease for the occupancy and use of a
    portion of the public forest for pasture purposes executed by and
    between the Department Head on behalf of the Republic, and the grantee,
    as recommended by the Director,
15. Industrial Plantation License Agreement — is a
    long-term agreement executed by the Department Head, as party of the
    first part, upon recommendation of the Director, by which the party of
    the second part is granted the privilege to occupy a portion of the
    public forest which is partly forested and partly open or bare area, for
    the purpose of cutting available .standing timber for pulpwood or
    similar uses, and for planting the open portion with timber species of
    commercial value,
16. Industrial Plantation Lease. — a lease for the
    occupancy and use of a portion of the public forest for the purpose of
    growing commercial timber on denuded or deteriorated forest lands,
    executed by and between the Department Head, on behalf of the Republic,
    and the grantee, as recommended by the Director.
17. Special Use Lease — a lease executed by the
    Department Head upon recommendation of the Director for a long-term
    occupancy and use of a portion of the public forest for purposes other
    than those stated in the foregoing leases.
18. Special Use Permit — a short-term permit
    granted by the Director for the occupancy or use of a portion of the
    public forest for purposes other than those stated in the foregoing
    leases.
19. Such other leases and/or permits — the Department Mead
    or the Director may grant for purposes associated with the disposition
    of forest products or use and occupancy of the public forest and other
    areas associated therewith. Every license, lease or permit for the
    occupancy or use of the forest or for the taking, gathering or removing
    of the products therefrom shall specify, in detail, the privileges the
    holder is entitled to, and the obligations imposed on him; and all such
    licenses, leases or permits shall, when practicable, define the area for
    occupancy or use, or where such products arc to be taken, gathered or
    removed: Provided, That such license, lease or permit shall
    not, except as specified by the Director or the Department Head, exclude
    other lawful uses and occupancy of other persons: Provided, further,
    That where the area applied for is inside an existing timber license or
    concession, a Hard Wood or Soft Wood Timber License may be issued only
    over said portions not covered by the operations or management plan of
    the existing licensee or concessionaire for cutting within the next five
    (5) years, or even if such applied area is within the current
    operations or logging plan, upon a written waiver or consent by the
    existing licensee or concessionaire.

SEC. 38. Tenure of Licenses, Leases or Permits: Extent
of Area. — No license or lease granted by the Director or Department
Head shall continue in force for more than twenty-five (25) years,
renewable for another twenty-five (25) years, upon faithful compliance
with the terms and conditions of the license or lease. Permits may be
granted on a yearly basis renewable for the same period at the option of
the granting authority.

Except as otherwise provided, the tenure
and extent of area for a license, lease or permit shall be as specified
hereunder:

	Type	Duiration		Area
	Timber License Agreement	10 to 25 years		Not more than 100,000 hectares, except upon approval of the National Assembly upon the recommendation of NEDA.
	Pulpwood License Agreement	10 to 25 years		Not more than 100,000 hectares, except upon approval of the National Assembly upon the recommendation of NEDA.
	Provisional Timber License	At the discretion of the Director but not to exceed 4 years.		At the discretion of the Department Head.
	A & D Timber License	At the discretion of the Director but not to exceed 4 years.		Limited to the extent of area containing commercial timber.
	Private Land Timber License	At the discretion of the Director depending of extent of forested area and merchantable stand.		Limited to the extent of area containing commercial timber.
	Registered Private Woodland License	Same as private timber License.		Limited to the extent of area containing commercial timber.
	Soft Wood Timber License	At the discretion of the Director but not to exceed 5 years.		At the discretion of the Department Head.
	Hard Wood Timber License	Same as Soft Wood Timber License.		At the discretion of the Department Head.
	Gratuitous Timber License	Not more than one year for personal purposes and not more than 5 years for mining and public purpose.		At the discretion of the Department Head.
	Mangrove Timber License	Not more than 4 years.		At the discretion of the Department Head.
	Civil Reservation Timber License	At the discretion of the Director.		At the discretion of the Department Head.
	Land Grant Timber License	At the discretion of the Director.		At the discretion of the Department Head.
	Minor Forest Products License	At the discretion of the Director but not to exceed 5 years.		At the discretion of the Department Head.
	Pasture Lease	10 to 25 years.		Not to exceed 2,000 hectares.
	Industrial Plantation License	Not to exceed 25 years.		At the discretion of the Department Head.
	Industrial Plantation Lease	Not to exceed 25 years.		At the discretion of the Department Head.

Other special use permits and leases for the use or occupancy of
the forest provided for in this Code shall be of such duration and
extent as the Director may fix.

SEC. 39. Charges, Fees and Bonds. — Except as
specified in this Code, the Department Head, upon recommendation of the
Director, shall fix the amount of charges, fees or rentals for the
privilege to harvest and remove for commercial purposes forest products,
and to occupy or use the public forest.

He may in like manner
determine the amount of bond necessary to secure the faithful compliance
with the terms and conditions of the license, lease or permit.

SEC.
40. Conditions Imposed on License, Lease or Permit. – Upon
granting any license, lease or permit, the Bureau may prescribe such
terms, conditions and limitations, not inconsistent with law, as may be
deemed by him to be in the public interest.

SEC. 41. Prohibition on Transfer of Permit, Lease,
License, License Agreement. — (a) Except as herein below provided,
the transfer, exchange, sale or conveyance of any permit, lease,
license, license agreement or any transaction under any guise which will
allow or permit another person to enjoy the privilege granted therein
is hereby prohibited.

(b) In the case of a lease or license agreement, after a period
of three years from the issuance of the original lease or license
agreement, the lessee or licensee may, with the approval of the
Department Head as recommended by the Director, be allowed to transfer,
or convey his lease or license agreement to another provided the lessee
or licensee has complied with all the requirements of the law and the
rules and regulations thereunder promulgated: Provided, further,
That the proposed transferee possesses the qualifications and none of
the disqualifications to hold a lease or license agreement under the law
and this Code: And provided, finally, That there is no
evidence that such transfer or conveyance is being made for purposes of
speculation and that the transferee shall assume all unpaid forestry
accounts of the transferor.

(c) Where the lessee or license holder of a lease or license
agreement is a partnership or corporation, the transfer of the lease or
license agreement to another partnership or corporation may be allowed
even before the lapse of the three-year period provided the original
partners or stockholders of the transferor shall control at least
sixty-six and two-thirds percent (66 2/3%) of the paid-up capital of the
transferor.

(d) In any event any lessee or license agreement holder who
transfers or conveys his or its lease or license agreement shall forever
be barred from acquiring another lease or license agreement.

(e) The National Assembly may, in the national
interest, allow forest products licensees, lessees or permittees
to enter into service contracts for financial, technical, management, or
other forms of assistance with any foreign person or entity for the
exploration, development, exploitation or utilization of the natural
resources covered by their licenses, leases or permits. Existing valid
and binding service contracts for financial, technical, management or
other forms of assistance arc hereby recognized as such.

SEC. 42. Registration and Regulation of Forested Private
Lands. — Every owner of private land containing timber shall
register his title to said land with the Director. Once duly registered,
timber taken and removed from such land for commercial purposes shall
be exempt from the payment of the minimum single forest charge. The
harvesting of timber shall be in accordance with a plan of management,
if such be required of the owner, duly approved by the Director or his
designated representative. The plan of management shall include measures
for keeping the land in productive condition and for preventing
watershed damage.

SEC. 43. Cancellation or Suspension of Privileges
Granted in License, Lease or Permit. — The Department Head may, upon
recommendation of the Director, terminate, cancel, suspend or refuse to
extend a license, lease or license agreement granted by him under this
Code for serious violation of the provisions thereof or its implementing
regulations.

The Director may, for the same reason, terminate, cancel,
suspend or refuse to extend any other license, lease or permit not
covered by the preceding paragraph.

ARTICLE VIII —
INFRASTRUCTURE DEVELOPMENT

SEC. 44. Infrastructure Development.
— The Bureau shall coordinate its program and standards of road
construction with those of the Bureau of Public Highways in such a
manner as to facilitate and economically reduce the cost of development
of infrastructure and in a manner that will best serve the public
interest, and shall work with the Bureau of Public Works in establishing
wharves, piers and other port facilities in locations designated for
processing centers to provide incentives for wood-based industries in
the manufacture and export of finished products at competitive levels.

The President, upon the recommendation of the NEDA and the
Department Head, is authorized to establish one (1) wood industry
import-export center each in Davao, Zamboanga and Quezon provinces.

Imported log supplies used in such centers shall be exempt from all
import duties as well as taxes on the resulting finished products
exported to foreign markets. Finished products may be sold in domestic
markets subject, however, to prevailing tariffs and taxes and to other
requirements governing the sale of forest products by local processors.
The Director shall, in collaboration with the proper government
agencies, take all necessary precautions to prevent the introduction of
insects, pests and/or diseases detrimental to Philippine forests.

SEC. 45. Transportation System. — The Bureau shall
prescribe the design and standard, and supervise the construction of all
roads, bridges, communications and other installations inside the
public forest, in coordination with the Department of Public Works,
Transportation and Communications. Main roads, subject to such rules and
regulations as may be promulgated, upon the joint recommendation of the
Director and the Commissioner of the Bureau of Public Highways, subject
to the approval of the Department Head, shall link up with the national
and provincial highway networks and shall become public roads after
five (5) years following the completion of their construction. Secondary
roads shall become part of the permanent forest protection and
management transportation system.

Where roads are utilized by
more than one commercial forest user, the Bureau shall prescribe the
condition of joint use including the equitable sharing of construction
and/or maintenance. The Director shall promulgate such rules, approved
by the Department Head, to implement this provision including the use of
these roads by other parties and such fees as are deemed necessary.

The Bureau shall initiate a meeting at least annually with the Bureau
of Public Highways at regional levels to coordinate the overall
transportation system programs of the two (2) agencies.

ARTICLE IX — SPECIAL PROVISIONS ON PROMULGATION OF ORDERS

OR DECISIONS OF THE REGIONAL DIRECTOR, THE DIRECTOR
AND THE SECRETARY, APPEAL THEREFROM

SEC. 46. Claims and Conflicts. —
Conflicts and disputes arising out of claims or interests in licenses,
leases or permits relating to occupancy, use and/or utilization of
public forests, including forest reserves, shall be presented and
decided in the manner hereinafter provided for.

SEC. 47. When Order or Decision Shall be Rendered.
— The award of forest area; rejection or disapproval of application for
license, lease or permit, or the extension or renewal thereof; the
suspension of a license, lease or permit; imposition of fines and
penalties upon the holder thereof for violation of the terms and
conditions of the license, lease or permit; or of any provision of this
Code, or the internal revenue, labor or any existing laws or regulations
affecting the forest resources; the exoneration of the grantee
therefrom; and the disposition of bonds shall be decided by the Director
or his duly delegated representative. The regional director shall have
original jurisdiction to decide adverse claims and conflicts.

SEC. 48. When Order or Decision Becomes Final. —
Except as otherwise expressly provided hereunder, an order or decision
of the Director under this Code shall become final after thirty (30)
days following the receipt by die party concerned of such order or
decision, unless in the meantime an appeal therefrom is taken or a
motion for reconsideration is filed by the aggrieved party to suspend
the running of the period, and in a manner prescribed herein.

An order or decision of the Director in the following cases
shall be executory immediately upon promulgation:

1. Award of license, lease or permit, or the renewal thereof;
2. Suspension of logging operations for reasons specified
   under this Code and/or other related rules and regulations; and
3. Exoneration of a licensee, lessee or permittee from
   reported violation of the provisions of this Code or related laws and
   regulations.

SEC. 49. Motion for Reconsideration, Grounds, Period
for Filing, etc. — Within thirty (30) days from the receipt of an
order or decision, an aggrieved party may file a motion for
reconsideration of said order or decision for one or more of the
following causes materially affecting the substantial rights of said
party:

1. The order or decision is not in conformity with the
   applicable law, or regulations, or with the evidence presented;
2. Fraud, accident, mistake or excusable negligence which
   ordinary prudence could not have guarded against and by reason of which
   the movant has been impaired in his rights; and
3. Newly discovered evidence which he could not, with
   reasonable diligence, have discovered and produced in the investigation
   or when the order or decision was still under advisement and which, if
   produced, would probably alter the result thereof.

Any motion for reconsideration filed after the above-prescribed
period, or which is not based on any of the above-stated grounds, shall
not be entertained. Only one motion for reconsideration of an order or
decision shall be allowed.

SEC. 50. Appeal from the
Order or Decision of the Regional Director. — An appeal shall lie
from an order or decision of the Regional Director to the Director
within the same period prescribed in Section 50 hereof, unless a motion
for reconsideration is filed within a like period, in which case an
appeal shall be made within thirty (30) days from the receipt by the
aggrieved party of the order disposing of the motion for
reconsideration.

The notice of appeal may be delivered or sent to
the Regional Director or the Director. In case the notice is sent
directly to the Director, a copy of the same shall be furnished the
Regional Director, who shall forthwith transmit all the records of the
case to the Director.

SEC. 51. Appeal from the Order or
Decision of the Director. — An appeal from an order or decision of
the Director to the Department Head shall be made within the same period
and manner as provided for in Section 51 hereof.

SEC. 52. When Appeal Deemed Perfected. — An
appeal is perfected upon the due filing of the notice of appeal together
with the corresponding appeal fee. The appeal fee of fifty pesos (P50)
shall be paid to the office with which the appeal is filed, which amount
shall accrue to the General Fund.

SEC. 53. Effect of Appeal; Motion for
Reconsideration. — A perfected appeal, or a motion for
reconsideration when filed in due time and on the grounds enumerated in
Section 50, shall stay the order or decision of the Director but shall
not slay that which is included in the enumeration in the second
paragraph of Section 49 hereof.

SEC. 54. Execution upon Final Orders or Decision.
Except as expressly provided in Section 49, second paragraph, and
Section 56, no execution shall issue upon an order or decision of the
Director until after the period for perfecting an appeal or for filing a
motion for reconsideration has expired.

SEC. 55. Execution Pending Appeal. — The
Director may, before an appeal is perfected and upon motion of the
prevailing party with notice to the adverse party, by special order,
direct the execution of his order or decision even before the expiration
of the time to appeal upon good and meritorious reasons to be stated in
the special order.

SEC. 56. Stay of Execution. — An order of
execution issued before the lapse of the period to appeal may be stayed
upon motion seasonably filed and upon the filing of a bond reasonably
sufficient to secure the performance of the order or decision in case it
be affirmed wholly or in part to answer for any damage that may be
caused by the suspension of the effect of such order or decision.

SEC. 57. Adverse Claim. — Any person who
believes himself to be the rightful owner, grantee or possessor of the
land subject of an application for a license, lease or permit under this
Code, or who claims to have priority over the same shall, before the
lapse of one (1) year after the issuance of the license, lease or
permit, file in writing and under oath his opposition in the Office of
the Regional Director, stating therein the basis of his priority or the
grounds therefor, and submitting in support thereof a sworn declaration
of two credible witnesses, and such other documents which he may care to
present: Provided, That in case the Regional Director is
officially notified of such claim, the adverse claimant is given a
period of not more than thirty (30) days from notice by the Regional
Director within which to file his protest in due form, copy or copies of
which shall be furnished by the claimant to other interested parties at
the same time.

SEC. 58. Conflict. — Any licensee, lessee or
permittee who believes that another licensee, lessee or permittee has
encroached upon the area covered by that of the former shall report the
matter to the Regional Director or any local forestry office within
thirty (30) days after the aggrieved party learned of the encroachment
commenced, otherwise the complaint shall not be entertained.

SEC. 59. Investigation of Claims and Conflicts.
— Adverse claims when properly asserted and reports of conflicts
received within the time specified in the next preceding section shall
be caused to be investigated, if this has not yet been done, by the
Regional Director. The investigation shall be made whenever necessary in
the very ground and after both parties have been advised of the time,
date, and place where it will be held, and of the nature of the case.
The notice of investigation shall be served upon them at least one (1)
week before the date set therefor.

SEC. 60. Report of Investigation. —The report
of investigation shall state, among other things, the following: (a) who
is in actual possession of the disputed area; (b) since when and how
the possession was made; (c) whether the occupant, if a licensee, lessee
or permittee, is utilizing the land under the terms and conditions of
his license, lease or permit; (d) since when and to what extent the
occupant has utilized the forest resources of the area occupied by him;
(e) what improvements are found on the land; (f) what they consist of
and when they were introduced; and (g) muniments of title of occupant.

The report shall likewise be accomplished with copies of the
notice to the parties with evidence of their receipt thereof, as well
as the declaration of the parties and their witnesses who testified in
the investigation, and other documentary evidence pertinent to the just
resolution of the controversy.

SEC. 61. Mode of Filing
Appeal, Memorandum or Brief. — Within a prescribed period, the
appellant shall file a brief or memorandum containing a concise
statement of the facts of the case, the assignment of errors, and the
arguments supporting the appeal. Copy of the appeal, brief or memorandum
shall be furnished the appellee. The records of the case shall be
forwarded to the Office with which the appeal was filed.

SEC. 62. Answer. — If the petition is
sufficient in form and substance, the Regional Director, Director or the
Department Head, as the case may be, shall issue an order requiring
those against whom the petition is filed or answer the same within
fifteen (15) days from the receipt thereof.

SEC. 63. Action after Answer is Filed. — Once
the answer is filed, or the time for its filing has expired, the
Regional Director, Director or the Department Head, as the case may be,
shall investigate the case. If after investigation it is found that the
allegation in the petition is not true, the petition shall be dismissed,
otherwise, the petition shall be granted, or the order or decision
complained of set aside upon such terms and conditions as may be just.

SEC. 64. Finality of Decision Promulgated by the
Department Head. — The decision of the Department Head on the
appealed case and suspension or cancellation of licenses, leases or
permits, as well as other cases covered by this Code shall become final
after thirty (30) days from the date of the receipt of a copy thereof by
the interested parties, unless otherwise specifically stated therein,
or a timely motion for reconsideration is filed. In the latter case, the
provision of Section 49 hereof shall apply.

SEC. 65. Execution and Stay of Execution of
Department Head’s Decision. — The provisions of Sections 56 and 57
hereof shall apply with respect to decisions of the Department Head
subject of the preceding section.

SEC. 66. Appeal from the Order/Decision of the
Department Head. — The party not satisfied with the order or
decision of the Department Head may take the matter to the Supreme Court
or the Court of Appeals, as the case may be, in a proper proceeding,
within thirty (30) days from receipt of such order or decision. Only
questions of law may be brought before the Supreme Court.

Findings of facts of the Director, when affirmed by the
Department Head, shall be final and conclusive.

SEC. 67.
Suppletory Application of Rules of Court; Other Laws. — The Rules
of Court and other related laws shall apply in a suppletory character
whenever practicable and convenient.

ARTICLE X —
PROHIBITIONS AND PENALTIES

SEC. 69. Cutting, Gathering, and/or Collection of
Timber or Other Products. — The penalty of prision correccional in
its medium period and a fine of five (5) times the minimum single forest
charge on such timber and other forest products in addition to the
confiscation of the same products, machineries, equipments, implements
and tools used in the commission of such offense; and the forfeiture of
improvements introduced therein, in favor of the Government, shall be
imposed upon any individual, corporation, partnership, or association
who shall, without permit from the Director, occupy or use or cut,
gather, collect, or remove timber or other forest products from any
public forest, proclaimed timberland, municipal or city forest, grazing
land, reforestation project, forest reserve of whatever character;
alienable or disposable land: Provided, That if the offender is a
corporation, partnership or association, the officers thereof shall be
liable.

The same penalty above shall also be imposed on any licensee or
concessionaire who cuts timber from the license or concession of another
without prejudice to the cancellation of his license or concession, as
well as his perpetual disqualification from acquiring another such
license or concession.

SEC. 70. Pasturing Livestock.
— The penalty of prision correccional in its minimum period and a fine
of ten (10) times the regular rentals due in addition to the
confiscation of such livestock and all improvements introduced therein,
in favor of the Government, shall be imposed upon any individual,
corporation, partnership or association who shall, without permit or
lease from the Director, graze or cause to graze livestock in the public
forest, proclaimed timberland, municipal or city forest reserve of
whatever character, declared alienable or disposable land which have not
as yet been disposed of in accordance with the Public Land Act: Provided,
That in case the offender is a corporation, partnership or association,
the officers thereof shall be liable.

SEC. 71. Survey by Unauthorized Person. — The
penalty of prision correccional in its medium period in addition to the
confiscation of the implements used in violation of this section
including the cancellation of the license, if any, shall be imposed upon
any person who shall, without permit to survey from the Director, enter
the public forest, proclaimed timberland, municipal or city forest and
pasture, reforestation project, national park and forest reserve to
conduct or undertake survey for whatever purpose.

SEC. 72. Misclassification and Survey by Government
Official or Employee. — Any public officer or employee who
knowingly surveys, classifies, or recommends the release of public
forest lands as alienable or disposable contrary to the criteria and
standards established in this Code, or the regulations promulgated
thereunder, shall, in addition to the nullification of such survey,
classification or release, be dismissed from the service with prejudice
to re-employment and shall suffer an imprisonment of not less than one
(1) year and a fine of not less than one thousand pesos (P1,000).

SEC. 73. Tax Declaration on Real Property. —
The penalty of prision correccional in its medium period and perpetual
disqualification from holding an elective or appointive office shall be
imposed upon any public officer or employee who shall issue a tax
declaration on real property without a certification from the Director
and the Director of Lands or their duly designated representative that
the area declared for taxation is alienable or disposable land, except
when such lands are titled or have been occupied and possessed by
members of the national cultural communities prior to July 4, 1955.

SEC. 74. Coercion and Influence. — Any person
who coerces, influences, abets or persuades the public officer or
employee referred to in the next preceding Section to commit any of the
acts therein mentioned shall suffer an imprisonment of not less than one
(1) year and a fine of five hundred pesos (P500) for every hectare or a
fraction thereof so improperly surveyed, classified or released.

SEC. 75. Unlawful Occupation of Public Forest or
Destruction of Forest Reserve. — It shall be unlawful for any person
who, having no prior written permission from the Director or his duly
authorized representative, willfully enter and occupy or possess for his
own private use or for others any public forest, reforestation project,
forest reserve of whatever character or municipal/city pasture or
forest, or in any manner destroy such forest or part thereof, or to
cause any damage to the timber stand and other forest products and
forest growths found therein, or to assist, aid or abet any other person
to do so. It shall be unlawful for any person to set or to negligently
permit a fire which has been set upon his own premises or lands under
his jurisdiction or occupied by him, to be communicated to any public
forest hereinabove described. It shall further be unlawful for any
person or association to occupy or use any part of the public forest
without permit or lease as herein required, or cause damage to the
forest or the resources found therein.

Any person or association of persons found to have committed
any of the aforesaid acts shall be fined not less than five hundred
pesos (P500) and imprisoned for not less than six (6) months for each
such offense; and shall likewise be liable to the payment of ten (10)
times the rental and other charges now or hereafter provided for by
regulations corresponding to the nature of use and the period that such
area is illegally occupied; except that in cases falling under Sections
32 and 82 hereof, the penalty provided therein shall be imposed and no
other, regardless of whether the entry, occupation and utilization of
the area was made before the completion of the initial forest occupancy.
In all cases falling under this Section the Court shall, upon
conviction, order the eviction of the offender from the land and the
forfeiture to the Government of all improvements made and all vehicles,
domestic animals, and equipment of any kind used in the commission of
the offense. If not suitable for use by the Bureau, said vehicles,
domestic animals, equipments and improvements shall be sold at public
auction, the proceeds of which shall accrue to the Research and
Development Fund of the Bureau.

SEC. 76. Unlawful
Possession of Implements and Devices used by Forest Officers. — The
penalty of prision correccional in its medium period and a fine of not
less than one thousand (P1,000) pesos in addition to the confiscation of
such implements and devices, and the automatic cancellation of the
forestry permit, lease or license, if the offender is a holder thereof,
shall be imposed upon any individual, corporation, partnership or
association who shall, without authority from the Director or his
authorized representative, cut, make, manufacture, or have in his
possession any government marking hatchet or other marking implements,
or any mark, poster, or other device officially used by officers of the
Bureau for the marking or identification of timber or other products, or
any duplicate, counterfeit, or imitation thereof, or make or apply a
government mark on timber or any other forest products by means of any
authentic or counterfeit government marking hatchet, implement, mark,
poster or other device, or alter, deface, or remove government marks or
signs from trees, logs, stumps, firewood or other forest products, or
destroy, deface, remove, or disfigure any such mark, sign, poster or
warning notices set by the Bureau to designate the boundaries of cutting
areas, municipal or city forest or pasture, classified timberland,
forest reserve, national park, to make any false mark or imitation of
any mark or sign herein indicated: Provided, however, That if
the offender is a corporation, partnership or association, the officers
thereof shall be liable.

SEC. 77. Fraud in the Kind, Quality and Measurement
of Logs, Lumber and Other Processed Wood Products Offered for Sale.
— It shall be unlawful to sell or offer for sale any log, lumber,
plywood or other manufactured wood product in the international or
domestic market except in accordance with grading rules established or
to be established by the Government.

Failure to adhere to the established grading rules and
standards or any act of falsification of the volume of logs, lumber, or
other forest products shall be a sufficient cause for the suspension of
the export, sawmill, or other license or permit authorizing the
manufacture or sale of such products for a period of not less than two
(2) years.

It is further provided that every dealer in lumber and
other building materials covered by this Code is under obligation to
issue an invoice for each transaction of sale of such material and stale
on each invoice that the kind, standard and size of material sold to
each purchaser is exactly the same as described in the invoice. Any
violation of this Section shall be sufficient ground for the suspension
of the dealer’s license for a period of not less than two (2) years and,
in addition thereto, shall be punished for each such offense by a fine
of not less than two hundred pesos (P200) or the total value of the
invoice, whichever is greater.

Duly accredited representative of
the Bureau shall certify as to the compliance with grading rules by the
licensees.

In case the offense of fraud is willfully committed by
a government official or employee, he shall, in addition to the above
penalties, be dismissed from office and permanently disqualified from
holding any elective or appointive position.

SEC. 78. Payment,
Collection and Remittance of Forest Charges. — Any individual,
corporation, partnership or association who shall fail to pay the amount
already due and payable under the provisions of this Code or rules and
regulations promulgated thereunder, shall be liable for the payment of a
surcharge of twenty-five per centum (25%) of the amount due and
payable. Failure to pay the amount due, including surcharges thereof,
within sixty (60) days after the same has become due and payable, shall
be a sufficient cause for the suspension or cancellation of the license,
lease, permit or timber sales contract and forfeiture of the
corresponding bond deposit of the licensee, lessee, permittee or sales
contractor.

Any person who fails or refuses to remit to the
proper authorities said forest charges collectible pursuant to the
provisions of this Code, or who delays, obstructs or prevents the same,
or who orders, causes or effects the transfer or diversion of the funds
for purposes other than those specified in this Code, for each such
offense shall, upon conviction, be punished by a fine of not exceeding
one hundred thousand pesos (P100,000) and/or imprisonment for a period
of not exceeding six (6) years in the discretion of the Court. If the
offender is a government official or employee, he shall, in addition, be
dismissed from the service with prejudice to reinstatement and with
disqualification from holding any elective or appointive office.

If the offender is a corporation, partnership or association, the
officers thereof shall be liable.

SEC. 79. National
Park System. — Any person who knowingly or deliberately violates any
provision of Section 19 of this Code, or regulations promulgated
thereunder or shall, without permit, where the same is required, occupy
for any length of time any portion of the areas in the national park
system or shall, in any manner, cut, destroy, damage or remove timber of
any species of vegetation or forest cover and other natural resources
found therein, or shall mutilate, deface or destroy objects of natural
beauty or of scenic value within areas in the national park system,
shall be liable to a fine of not less than two hundred pesos (P200.00)
or more than five hundred pesos (P500.00) exclusive of the value of the
thing damaged: Provided, That if the area requires
rehabilitation or restoration as determined by the Director, the
violator shall also be required to restore or compensate for restoration
of the damage: Provided, further, That any person who, without
proper permit, shall hunt, capture, or kill any kind of bird, fish or
wild animal life within any area in the national park system, shall be
subject to the same penalty as heretofore mentioned. In case of a
company or corporation, the president or manager shall be directly
responsible and liable for the act of his employees or laborers; and
that the Court shall, upon conviction, order the eviction of the
offender from the land and that all timber or any species of vegetation
and other natural resources collected or removed or any construction or
improvement made thereon by the offender shall be forfeited in favor of
the Government.

In the event an official of a city or municipal government
is primarily responsible for detecting and convicting the violator of
the provisions of this Section, fifty per centum (50%) of the fines
collected shall accrue to such municipality or city for the development
of local parks.

SEC. 80. Wildlife Resources. — Any
person violating the provisions of Section 32 of this Code, or the
regulations promulgated thereunder, shall be fined not less than one
hundred pesos (P100.00) for each such violation and in addition shall be
denied a permit for a period of three (3) years from the date of the
violation.

SEC. 81. Kaingin. — Any person or association
of persons who violates the provisions of Section 35 of this Code, or
the regulations promulgated thereunder, or encourages, abets or
knowingly permits, through negligence, inaction or positive action,
encroachment or unauthorized occupancy of the public forests shall, upon
conviction, be imprisoned for a period of not less than one (1) year,
without prejudice to the payment of the full cost of restoration of the
occupied area as determined by the Bureau. The offender shall thereafter
be evicted from the premises and all improvements thereon shall be
confiscated and forfeited in favor of the Government.

In case the offender is a government official or employee,
he shall, in addition to the above penalties, be deemed automatically
dismissed from office and permanently disqualified from holding any
elective or appointive position.

ARTICLE XI. —
GENERAL PROVISIONS

SEC. 82. Words and Phrases Defined.
— As used in this Code:

1. “Timber or Forest Land” refers to that portion of the public
   domain, characterized by a predominant growth of trees or wood species,
   including nipa, mangrove and other swamps, which has been delimited,
   classified and declared as such; the phrase includes all lands of the
   public domain not otherwise classified as agricultural or alienable,
   industrial or commercial, residential, resettlement, mineral or grazing
   land.
2. “Public Forest” is synonymous to “timber or forest land.”
3. “Permanent Forest” or “Forest Reserve” refers to forest
   or timberland so delimited, classified and proclaimed for forest
   uses, the boundaries of which cannot be modified nor altered except to
   conform with subsequent precise surveys but not to exclude any portion
   thereof, and upon approval of the President.
4. “National Park” refers to any portion of the public domain,
   essentially of primitive or wilderness character which, by Presidential
   proclamation, has been withdrawn from settlement or occupancy and set
   aside as such exclusively to preserve the scenery, the natural and
   historic objects and the wild animals or plants therein, and to provide
   enjoyment of these features in such a manner as will leave them
   unimpaired for future generations.
5. “Game Refuge and Bird Sanctuary” refers to an area designated
   for the protection of game animals, birds and fish which is closed to
   hunting and fishing in order that the excess population may flow out
   and restock surrounding areas and all disturbances are limited
   particularly to those of man-made origin.
6. “Reforestation Project” refers to any portion of the public
   domain which is essentially open and needing reforestation or
   afforestation and declared as such by the Department Head.
7. “Marine Park” refers to any offshore area inhabited by rare and
   unique species of marine flora and fauna.
8. “Grazing Land” refers to that portion of the public domain
   characterized by a predominant growth of grass species suitable for
   domestic and wild-animal feeds.
9. “Range Land” is synonymous to “grazing land.”
10. “Alienable or Disposable Land” is that portion of the public
    domain certified by the Director as not needed for forestry purposes and
    not required by public interest to be retained under forest cover and
    declared as such by the Department Head.
11. “Working Unit” refers to the primary unit of forest management,
    with well-defined boundaries usually based on topography, sufficient to
    support the predetermined wood requirement of dependent industries or
    communities on a sustained-yield basis.
12. “Forest Product” means timber, pulpwood, firewood, bark,
    treetop, resin, gum, wood oil, beeswax, nipa, rattan, or other forest
    growth such as grass, shrub, and flowering plant, the associated water,
    fish, game, scenic, historical, recreational and geologic resources in
    public forest, national park, game refuge and bird sanctuary and other
    such areas.
13. “Multiple-Use” means the protection, development and management
    of all the resource values of the public forest in the combination that
    best contributes to the long term socio-economic development. Use of
    some of the land and its resources for such single or limited uses as
    national parks, forest recreation areas or protected watersheds is an
    accepted part of multiple-use but only when such uses or services cannot
    be provided in combination with other uses.
14. “Sustained Yield” implies continuous or periodic production of
    its product with the aim of achieving at the earliest practicable time
    an approximate balance between growth and harvest or use. This is
    generally applied to the commercial timber resources and is equally
    applicable to the water, grass, wildlife, and other renewable resources
    of the forest.
15. “Timber”, when used for purposes of collecting forest charges
    or fees, refers to any piece of wood having an average diameter of at
    least 15 centimeters and at least 1.5 meters long.
16. “License, Lease or Permit” refers to a written authority granted
    by the Director or Department Head to any qualified person or entity
    for the cutting, removal and utilization of forest products or for the
    occupancy and use of a particular portion of the public forest. The term
    “license” or “lease” is synonymous to “license agreement” or “lease
    agreement.”
17. “Management Plan” refers to the written guideline for the proper
    and systematic conservation, utilization, management and development of
    timber and other forest resources of a specific forest area.
18. “Ecosystem” means the ecological community considered together
    with nonliving factors and its environment as a unit.
19. “Forest Officer” means any official or employee of the Bureau
    who, by the nature of his appointment or the functions of the position
    to which he is appointed, is delegated by law or by competent authority
    to execute, implement or enforce the provisions of this Code, other
    related laws as well as their implementing regulations.
20. “Processing Plant” as used in this Code is any mechanical
    setup, machine or combination of machines used for the processing of
    logs and other forest raw materials into lumber, veneer, plywood,
    wallboard, blockboard, paperboard, paper or similar finished products.
    The term “processing plant” includes circular sawmill, band sawmill,
    pulp and paper mill, veneer plant, plywood plant, wallboard plant and
    blockboard plant.
21. “Private Right” as used in this Code, shall mean or refer to
    rights of ownership under existing laws and in the case of primitive
    tribes, to rights of possession existing at the time a license is
    granted under this Code, which possession may include places of abode
    and worship, burial grounds, and old clearings, but excludes production
    forest inclusive of logged-over areas, commercial forests and
    established plantations of forest trees and trees of economic value.
22. “Primitive Tribe” is a group of endemic tribes living
    primitively as a distinct portion of a people from a common ancestor.
23. “Main road” means that principal haul road between the nearest
    national or provincial road and/or the log pond or manufacturing plant
    of the licensee and the most distant point or points of the license area
    or a point of connection with the main road of an adjacent licensee as
    may be prescribed by the Director.

SEC. 83. Separability Clause. — Should any provision
herein be subsequently declared unconstitutional, the same shall not
affect the validity or the legality of the other provisions.

SEC. 84. Implementing Clause. — The Department
Head is hereby authorized to create such number of positions and appoint
the corresponding personnel, as well as fix their compensation, as may
be necessary to install the reorganized agency under this Code. There is
hereby appropriated out of the General Fund of the National Treasury
not otherwise appropriated such amount corresponding to the salaries of
the personnel to be appointed under this provision. Such appropriation
shall include the necessary amount to cover the cost of suitable
uniforms to be required of forest officers, and to be given as annual
uniform allowance.

He shall promulgate such rules and regulations for the
effective implementation of the provisions of this Code.

SEC.
85. Repealing Clause. — All laws, orders, rules and
regulations or any part thereof which are inconsistent herewith are
hereby repealed accordingly.

SEC. 86. Date of Effectivity. — This Code shall
take effect immediately upon promulgation hereof.

Done in the City of Manila, this 5th day of February, in the
year of Our Lord, nineteen hundred and seventy-four.