PHILRACOM and FDCP and MTRCB and OMB

FY 2027 requests, NEP scopes and later additions across four agencies: FY 2027 NEP allocations were PHP 49.99 million for MTRCB, PHP 53.462 million for OMB, PHP 311.74 million for FDCP in the opening comparison (about PHP 314 million in its later presentation), and PHP 202.85 million for PHILRACOM. MTRCB separately proposed a PHP 197.898 million operating plan combining national-government personnel funding with expected collections; OMB requested the same amount as its NEP allocation. FDCP's original proposal was PHP 425 million, followed by a distinct PHP 311 million hearing-stage wish list. PHILRACOM's chair sought about PHP 237 million and described his requested increase as PHP 37 million. The committee forwarded the agency budgets for plenary consideration, subject to documents and discussion; it did not approve the requested increases.

MTRCB FY 2026 GAA comparison: Senator Erwin Tulfo compared MTRCB with its 75.29 million peso FY 2026 GAA appropriation.

MTRCB FY 2027 appropriation and operating plan: In MTRCB’s broader operating plan, PHP 53.39 million was national-government personnel funding, including the agency appropriation and separate retirement premiums, while PHP 144.51 million for operations and capital outlay was to come from collections. The presentation put capital outlay at 35.78 million, chiefly for ICT software and equipment and a redeveloped transaction and collection system. MTRCB also reported a sinking-fund book balance of 641,412,719.08.

Obligation and disbursement performance: MTRCB said its obligation rate rose from 70.23% in 2020 to a 97.72% peak in 2023, then stood at 95.31% in 2024 and 86.92% in 2025; it reported 93.16% disbursement efficiency in 2025. For FY 2025, it reported a 176.06 million allotment, 153.05 million obligated (86.93%) and 143.59 million disbursed (93.17%). The 22.419 million unobligated balance was carried forward, while 10.459 million in unpaid obligations was recorded as accounts payable and said by the presenter to have been paid in the first quarter of FY 2025. As of June 30, 2026, MTRCB reported a 267.67 million allotment, 110.175 million obligated (41.16%) and 98.68 million disbursed (89.57%); 157.495 million unobligated was scheduled for the third and fourth quarters, with obligations expected to accelerate in the second half.

Collections exceeded the 2025 target, then softened in early 2026: Against a 96 million FY 2025 revenue target, MTRCB reported collections of 125.224 million by December 31, 2025 (130.46% of target). Review fees supplied 77.26% of revenue, registration fees 13.06%, and miscellaneous income 9.41%. Collections in January–June 2025 were 67.97 million, or 70.80% of the 96 million target. For January–June 2026, the target was higher at 98 million, but collections fell by 5.36 million and the reported efficiency rate dropped by 6.92 percentage points.

Sinking-fund access and revenue targets: Asked about the sinking fund's balance and use, MTRCB Chairperson Diorella Maria "Lala" Sotto-Antonio said it had reached 641 million from MTRCB's own revenue and was held as a special fund in the General Fund at the National Treasury; access or use required Department of Budget and Management approval. Tulfo also asked when the agency had exceeded its revenue target and who set the targets. Sotto-Antonio answered that MTRCB exceeded them every year and that DBM set the targets.

Board compensation, office space and future technology needs: Sotto-Antonio asked the committee to prioritize higher board compensation, saying board members reviewed hundreds or thousands of materials daily and that she had repeatedly documented requests during her four years as chair. She said DBM's response was that a legal or statutory basis was needed; Tulfo said the committee would see about it, without committing to an increase. On office space, she confirmed a need to expand and said staff were already working at makeshift desks in the hallway of the agency's small three-floor Timog, Quezon City building. She also said expansion would require improved technology or AI equipment, which MTRCB would study after research.

FY2027 budget submitted for plenary consideration: With no further questions, Senator Tulfo submitted the MTRCB FY2027 proposed budget for plenary consideration, subject to submission of requested documents.

OMB FY 2026 GAA comparison: Senator Erwin Tulfo compared OMB with its 47.03 million FY 2026 GAA budget.

Allotments, obligations, and disbursements: OMB reported prior-period an allotment of 73,302,000, obligations of 56,280,000, and disbursements of 53,749,000; he gave obligation and disbursement percentages of 76.78% and 95.50%. As of June 2026, the presenter reported P53,681,000 received in allotments, P24,277,000 in obligations, and P23,830,000 disbursed, with stated percentages of 45.28% and 98.16%.

Revenue and registration figures: OMB reported PHP 52,060,911 in revenue through December 2025, described as its highest, and PHP 29,911,099 through June 2026.

FY2027 request and allocation: The FY 2027 OMB proposal included PHP 31,905,000 for personnel services.

FY 2027 Tier 1 funding despite the planned OMB wind-down: Tulfo asked why OMB submitted a FY 2027 budget proposal when it had been told the prior-year appropriation was for winding down and its personnel were expected to move to FDCP or the Intellectual Property Office. OIC Chairperson Dennis Lorenzo B. Pinlac said OMB had informed DBM and submitted a position paper on August 7. When Tulfo put the same question to DBM, DBM OIC Director III May L. Piñga said DBM knew of the wind-down provision and that the 2026 special provision also made OMB subject to the Government Optimization Plan. While awaiting its result, DBM provided Tier 1 funding in case the transition was not resolved within the year, especially to cover personnel services. Tulfo then asked why the 2027 NEP level was about 6 million above the 47 million GAA amount. Piñga said the increase was at NEP level and was in personal services; the increase was attributed to personnel services.

OMB said its law and enforcement work continued while its transition remained unresolved: Administrative Chief Janine Joyce G. Sison asked the committee to put OMB's operational and administrative uncertainty on the record. She said the FY 2026 appropriation earmarked 47 million for wind-down operations, but Republic Act No. 9239 remained unrepealed and Senate Bills 991 and 1654, which would abolish OMB, were still pending. She said piracy and illicit hardware imports continued; in 2026 OMB had conducted more than 1,850 inspections and collected nearly 30 million in revenue. After May and June consultations with DBM and CSE, she said personnel placement and asset turnover were on hold pending clear executive guidance. OMB asked for operational flexibility and budget headroom until an executive order or legislative resolution clarified the transition, and for a dignified personnel transition that protected staff welfare and career security. She linked the uncertainty to employee morale and said staff continued processing licenses and meeting performance targets.

OMB budget sent forward subject to requested documents: After saying there were no further questions, Tulfo announced that OMB's FY 2027 proposed budget was being submitted for plenary consideration, subject to discussion and submission of requested documents. He said he would defend it before the other senators and then allowed the OMB delegation to leave. The next transition introduced the FDCP presentation.

FDCP FY 2026 GAA and FY 2027 NEP comparison: Tulfo compared FDCP's PHP 367.35 million FY 2026 GAA budget with the FY 2027 NEP level stated above.

2025 and 2026 budget execution: For 2025, FDCP reported about 516 million in authorized appropriation, 389 million in adjusted allotment and 371 million in obligations, with a 95.56% obligation utilization rate, according to Executive Director Rachelle Villaluna; about 127 million was described as unreleased appropriation related to congressional changes or adjustment. For the 2024 continuing fund, FDCP obligated 18 million of 22 million, an 81.53% rate. As of August 31, 2026, she reported 64.14% utilization of a 370 million authorized appropriation; 58.8 million was described as unreleased, and 20 million of that had been requested from DBM for assistance to Sinemalaya finalists.

FY2027 NEP budget and staffing: Executive Director Rachelle Villaluna said FDCP's FY 2027 NEP was about 15% or 55 million below the 2026 GAA figure, with no capital outlay for 2027 compared with 4.7 million for ICT equipment the prior year. She described 61 million for general administration and support and 250 million for programs and projects, with 20.1 million in personal services and 230.4 million in MOE within the latter allocation. She reported 146 personnel, including 97 on contract-of-service or job-order status. She also identified 2.6 million for the RLEAP or automatic appropriations.

Film preservation and archive investment: For film heritage, the executive director described an 8.4 million budget, including 6.2 million for vault maintenance and presentation equipment, but no restoration funding; she said restoring a film costs 2 to 5 million depending on its condition. The wish list included preservation supplies and digitization equipment, plus 50 million to restore 59 historically important titles in 2027, some described as deteriorating and time-sensitive. The stated request for the Film Heritage Preservation Program was 51 million. FDCP also requested PHP 451,000 for preservation supplies and PHP 551,000 for digitization equipment.

Program allocations and claimed economic returns: The executive director highlighted 21.2 million for education, 12.2 million for exhibition operations including four Cinematheques and OneFlix, 58.3 million for the Film Philippines Office's location incentives, and 51.6 million for the Production Support Unit. She presented claimed economic-return ratios of 1:13 for foreign productions, 1:16 for Filipino co-productions, and 1:6 for local production grants, describing these as pesos returning to the economy for each peso in grant support.

Film incentives and international outreach requests: Within the later wish list, FDCP requested 109.8 million for incentive backlogs, described as second and third grant tranches, and an additional 120 million for five Film Location Incentive Program projects that FDCP expected could bring around half a billion pesos in local filming activity. She also requested 1.1 million to support Philippine embassies and overseas posts holding Filipino film festivals and related cultural events. Other requests covered PHP 11 million for feature and documentary programs, PHP 1.7 million for festivals and town halls, PHP 2 million for OneFlix marketing, and PHP 1 million for the OneFlix anniversary and Films for Peace.

Cinematheque facilities and regional access: FDCP Chairman Jose Javier Reyes described Cinematheques as small cinemas in provincial locations that also serve as cultural hubs for regional filmmakers, and said FDCP hoped to build more before 2028. The wish list included equipment and projectors for Cinematheques, programming and the Pelikula ng Bayan caravan showcasing restored films, and Cine 50 screenings with 50-peso tickets. It also included facility requests such as a distributed antenna system because the Philippine Film Heritage Building lacked signal, humidifiers to address mold, and other management and certification needs. The specific requests were PHP 1.1 million each for accessories and projectors, PHP 895,000 for Cinematheque and heritage programming, and PHP 1.5 million for Cine 50. Facility and management items included PHP 2 million for building signal equipment, PHP 2 million for ISO certification, PHP 3.2 million for Behind the Reel/CISO, and PHP 1.5 million for humidifiers, a stated PHP 8.7 million subtotal.

Tulfo asked FDCP to identify three priority requests for plenary advocacy: Tulfo asked FDCP to submit its top three budget priorities, saying the 311 million wish list was too large to advocate in full at plenary. No three-item shortlist was given in this exchange.

Later FDCP requests and incentive applications: Tulfo asked how the original proposal, NEP allocation and later requests related to a stated PHP 625 million total requirement. Executive Director Rachelle Villaluna said the wish list included a 50 million restoration proposal submitted after the restorers had identified additional film titles, plus possible incentive awards for foreign and local productions that applied in Cycle 2. She said the applicants planned substantial spending in the country and FDCP wanted room to approve more projects rather than see them move to another country. Reyes added that the restorable-title list was completed after the initial budget call and that demand for productions using local film workers had become a budget pressure.

DBM traced the unreleased 2025 FDCP balance to requests and supporting documents: Tulfo cited about P127.671 million from the 2025 GAA as unreleased to FDCP as of June 30, 2026, and asked why. DBM OIC Division Chief Evita D. Fontanilla said release depended on FDCP submitting special budget requests. DBM had received requests totaling P109.25 million: P15 million was for approval and release; P7.9 million required further review and supporting documents to resolve inconsistencies; and a P86 million request received on September 3 was still under evaluation. She said P18 million had no request yet. Reyes said FDCP needed the remaining amount and would request it the next day.

FDCP budget submitted for plenary: Senator Erwin Tulfo submitted the FDCP FY 2027 proposed budget for plenary consideration, subject to discussion and requested documents.

PHILRACOM FY 2026 GAA comparison: Senator Erwin Tulfo compared PHILRACOM with its 199.76 million peso FY 2026 GAA budget.

Government revenue contribution and budget comparison: PHILRACOM contributed an average of 700 million to 800 million pesos per year to government over the preceding five years, according to Chairman Aurelio P. de Leon. He said the agency's budget was only one-fifth of the total revenue it provided, illustrating that if government gave the commission 200 million pesos, it returned 800 million. These are the chairman's figures and comparison as stated in the presentation.

Overseas sales comparison and Philippine target: As an overseas comparison, de Leon cited annual peso sales of 1.3 trillion in Japan and 700 billion in Korea. He said the Philippines had about the same number of horses as Korea but was targeting 10 billion pesos in sales, and described the gap as large.

PHILRACOM racing sales and projection: Chairman Aurelio P. de Leon reported PHP 5.7 billion in racing sales in the preceding year and projected PHP 6.8 billion for the current year.

Sales, tax proposal and PHILRACOM funding request: PHILRACOM's government revenue contribution was P837 million in the previous year and projected at P950 million to P1 billion for the current year against a P199 million budget, according to Chairman Aurelio P. de Leon. He said contributions had risen each year from 2020 through 2025, including P344 million during a six-month pandemic racing stoppage. He cited a 93% prior-year budget-utilization rate, explaining that 7% was paid in the first or second week of January after races ended December 31, and said current-year utilization was 65%. He said 62% of the total budget went to winning-horse incentives benefiting owners, jockeys, trainers, crew and exercise riders. For next year he targeted a P1.2 billion government contribution, which he characterized as four times P300 million. He also argued that a 5% reduction in winner tax would attract legal betting and reduce bookies, comparing Korea's claimed P700 billion in sales with a hypothetical Philippine P300 billion that he said could yield P25 billion to P30 billion for government.

COA breakage-fund finding and STAD farm: Tulfo asked what the breakage fund was and whether PHILRACOM had addressed COA's finding of underutilization. De Leon said he understood the fund to be allocated for the STAD farm, which he said was then under the Department of Agriculture after moving to Lipa; he argued the funds should go to whoever operates the farm rather than PHILRACOM. He said PHILRACOM was asking to take over STAD farm operations along with OTB authority, and that two horses bought for about P8 million in 2015 or 2016 under Senator Villar's initiative appeared neglected and were not producing maximum government earnings when PHILRACOM visited.

PHILRACOM budget submitted for plenary: Senator Erwin Tulfo submitted the PHILRACOM FY 2027 proposed budget for plenary consideration, subject to discussion and requested documents.

Classification compliance, case resolution and outreach targets: For 2025, MTRCB reported 99.90% compliance among entities under its jurisdiction and 171,972 television programs, trailers and related materials reviewed and classified within the stated 10-day period. It resolved 83.33% of cases within 90 days, below its 96% target; it attributed the shortfall mainly to complaints filed in the last quarter, which left insufficient time for resolution within the year. In the first half of 2026, it reported 99.85% compliance, 66,120 materials processed (described as 100% of the target) within 10 days, and 100% of cases resolved within 90 days. It also said it had conducted 52 information-dissemination activities in the first semester, reaching 86.67% of its annual target.

Reviewed materials and a shift away from cable registrations: Comparing January–June 2025 with January–June 2026, MTRCB said television plugs fell sharply while television movie trailers grew by more than 130%; PG-rated programs remained the largest category. Total television-program submissions declined from 65,769 to 59,981, while SPG-rated content grew. Registered entities fell from 2,495 to 2,341, including a 161-entity decline in cable registrations (from 1,056 to 895). MTRCB linked this pattern to the industry shift from cable to internet-based services and said some operators voluntarily surrendered their NTC certificates and provisional authorities as they exited cable operations.

Responsible-viewing programs and institutional performance: MTRCB described itself as both a regulator and a developmental agency, with media literacy, responsible viewing and industry growth as complementary aims. Its Responsabling Panonood campaign targets parents and young audiences through seminars, film programs, community and school activities, compliance sessions and public-information materials; the presentation connected this work to concerns about school violence. It reported 57 developmental activities by June 2026 and then said 52 more had been completed, while its later category counts (46 local-government/community activities, 32 mobile-app and deputy webinars, 21 compliance seminars, seven school seminars and three MOA partnerships) do not reconcile cleanly with that total; these figures are retained as separately stated counts, not summed. The agency also cited a seventh consecutive unmodified COA opinion, a DBM performance review, an 85.7% energy-audit rating and accounting/governance awards as institutional achievements.

OMB mandate and digital intellectual property: The presenter described Republic Act 9239 as mandating OMB to protect copyright by regulating the mastering, manufacture, import, export, distribution, and sale of optical and magnetic media; he used computer hard drives as an example of magnetic media. He stated OMB's vision as an economy free of optical-media piracy with a level playing field for legitimate businesses, and its mission as promoting and protecting intellectual property in digital form.

Legal caseload and actions: In a passage on last year inspection cases, the transcript appears to say that 343 cases described as armed were dismissed; the case type is unclear. The presenter also cited 547 legal opinions, an unexplained NSE, and 77 blacklist removals. For the current year, he reported 1,844 administrative cases and 317 dismissals.

Inspections and physical piracy coverage: The presenter said inspections did not begin in January because his authority as OIC was in question; after receiving clarification, OMB inspected from February through December and completed 3,724 inspections, exceeding expectations. He reported 1,855 inspections as of June 2026. His chart showed 14.56% expired licenses, 14.93% licensed establishments, and 70.3% still unlicensed for physical piracy.

Implementation status and constraints: On an agenda item introduced unclearly as COVID-19..., the presenter reported eight fully resolved items, five partly implemented and in progress, and three delayed. He said disposal had not been implemented because OMB lacked an executive director and government powers were limited.

Reported abolition proposals, legal limits, and workforce transition: The presenter recounted proposals to abolish OMB and transfer its powers or functions, including a 2021 bill proposing transfer to FTCP and a January 2026 proposal to transfer functions to the Intellectual Property Office. He described a special session on January 5, 2026, a change-management and placement team established February 23, meetings with FTCP, the Civil Service, and DBM in May, and a June 2 DBM meeting concerning winding down. He said the agency February-June review proposed abolishing the office, citing limits under current law on curbing digital piracy. He reported 45 filled positions out of 93 and around 10 job orders, and said OMB was awaiting DBM recommendations; his account cuts off mid-sentence.

Mandate and presentation priorities: FDCP Chairman Jose Javier Reyes described the mandate as developing Philippine cinema through education, professionalization, and globalization. He said the presentation would cover the agency's prior-year achievements, budget highlights, and a wish list.

FDCP Year in Review video: The prerecorded FDCP Year in Review narrator said a film associated with director Antoinette Hadaones won the Crystal Bear for Best Film at the Berlinale; the film title is not given in this passage. The video also described Magellan as a defining cinematic achievement of 2025, though its premiere phrase is unclear. It highlighted Spotlight Philippines, a Philippines-France co-production, film literacy in classrooms, recognition of women filmmakers, digitization and restoration of films, and new filmmaker programs offering mentorship, financial support, and networking.

Film heritage and continuity between generations: After the video, Reyes said FDCP honors and preserves the past while empowering the present and preparing for the future. He noted the Philippine Film Industry Month and its 50th-anniversary observance of the second golden age of Philippine cinema, and described restorations including Lino Brocka's Tinimbang Ka Ngunit Kulang, Mike de Leon's Sister Stella L, and Magnifico as a way to show current filmmakers their cinematic tradition and possible directions.

Preservation urgency and incentives for local production: Reyes warned that film materials deteriorate and said some restored Philippine works had been recovered abroad; he gave his personal estimate that about 80% of more than 100 films he had directed were already what he called dead films. On location incentives, he said FDCP could not match the larger incentives offered by wealthier countries, and pointed instead to Filipino talent and English use as advantages for attracting foreign productions. He said foreign shoots bring technology exchange and benefits to ancillary businesses, wished for greater incentives, and acknowledged government limits in deciding where public funds go.

Commission mandate, employment, and overseas work: PHILRACOM Chairman Aurelio P. de Leon said the commission was created 52 years ago under Presidential Decree No. 420 and is mandated to provide employment and generate government taxes. He claimed the horse-racing industry provides more than 5,000 direct and indirect jobs. He also said it had produced overseas Filipino workers in Japan, Australia, and elsewhere, citing more than 2,000 in Japan alone.

Horse-racing oversight and sports-tourism potential: The chairman said PHILRACOM supervises horse racing and the breeding industry. He described Philippine horse racing as 159 years old, said it was accepted in more than 140 countries, and argued that it is one of the few Philippine sports that could become a sports-tourism industry. He said the sector had been neglected by prior administrations and its potential had not been recognized.

MTRCB budget and changing media: With audiences moving from television and cinema to streaming and digital channels, and children gaining broad content access, Senator Erwin Tulfo asked whether its regulatory framework is keeping pace.

Optical Media Board in a digital economy: As copying, downloading, streaming, and reproduction move online, Tulfo questioned whether OMB's mandate and systems fit the digital economy and called for efficient spending that responds to actual intellectual property threats and legitimate businesses.

Film development and opportunities for Filipino creators: Tulfo described film as part of Filipino cultural identity and a potential source of jobs, tourism, investment, and international recognition, and urged scrutiny of whether support reaches independent and regional filmmakers, young artists, and emerging talent.

Horse racing regulation, livelihoods, and revenues: Tulfo emphasized the livelihoods connected to racing and asked whether the proposed budget can strengthen regulation and monitoring, protect racing integrity, modernize systems, and improve transparency and accounting of racing revenues.

Public benefit and accountability across the four budgets: Tulfo framed the agencies' shared challenge as systems lagging behind technological change: racing is becoming more technology-driven, piracy more digital, and film and television consumption more online as the creative economy globalizes. He said every allocation should yield public benefit, measurable outcomes, efficient resource use, and programs serving workers, consumers, artists, and entrepreneurs, then invited each agency to explain its plans, achievements, challenges, and use of public funds.

Online streaming oversight would require a new mandate and platform cooperation: Tulfo asked whether MTRCB could regulate subscription streaming, social media and online games if Congress expanded its authority, citing children's exposure to material on household screens. Chairperson Sotto-Antonio said the Board could take on streaming regulation if legislators placed those services within its jurisdiction, but characterized its role as regulation rather than prohibition and said the films would not undergo prior restraint. She said effective complaint feedback, platform accountability and coordination would be needed; MTRCB was already working with Netflix, HBO and Disney, which she described as cooperative.

Online game and social-media violence remained outside MTRCB's current authority: Tulfo linked school violence to children's access to violent games and online content, asked what the agency could do before any mandate expansion, and asked whether the Optical Media Board could help. Sotto-Antonio said online and video games were outside MTRCB's current purview and had a different structure, though the agency had explored the issue and continued discussions; she yielded to Executive Director Roberto Diciembre. Diciembre likewise said online content was outside the Board's current remit. He outlined possible policies if legislation gave the country authority over platforms: limiting algorithmic amplification and recommendations of violent material, autoplay and monetization, stronger age and privacy protections for minors, added live-stream safeguards, and emergency escalation with government. He presented these as study-based policy possibilities, not powers already exercised or a committed MTRCB program. Tulfo acknowledged the agency could not act without an expanded mandate.

Cinema and community inspections identify unregistered cable operators and permit fraud: Tulfo asked how MTRCB addressed exhibitions by unregistered entities and what its inspections found. Sotto-Antonio said the Board had a monitoring and inspection unit, deputies and board members who checked cinemas, and that it also inspected communities nationwide to identify unregistered cable companies. She named unregistered cable companies and fake or tampered permits to exhibit as common violations.

Live-broadcast compliance measures and the proposed "Tape Us Live" delay: Tulfo asked what concrete safeguards MTRCB was using after the It's Showtime "Memory Mar" segment, rather than relying only on penalties after broadcast. Sotto-Antonio referred the question to Adjudication Committee chair Antonio Ricardo "Jojo" Salomon Jr., who said MTRCB had called the production to an adjudicatory hearing, required a compliance officer to monitor the program as it aired and answer to MTRCB for live violations, and required a compliance seminar. Tulfo then asked about an earlier "Tape Us Live" proposal to review a program segment before airing. Sotto-Antonio said she had not encountered it during her term; while such a setup had been suggested to live shows, MTRCB could not require producers to choose taped, live or "Tape Us Live" formats. That format choice remained with the producers.

Mockery of guests and protection of viewers, including children: Tulfo questioned on-air teasing of guests for disability or appearance, noting that a guest's participation did not address the harm to viewers or families with similar experiences. Sotto-Antonio said MTRCB disapproved, reminded shows and hosts through compliance seminars and continuing workshops, and called attention to incidents; she also said production companies handled their own programs. Tulfo distinguished general-audience live shows watched by children from rated stand-up comedy and urged hosts to remember child viewers.

Tulfo pledged to protect OMB staff while Congress reconciled competing transfer plans: Asked for OMB's headcount, Pinlac reported 45 regular employees out of a plantilla of 92. Tulfo said the goal was not to dismiss the staff: the Senate measure contemplated placing them in FDCP, while the House measure contemplated the Intellectual Property Office, and the two proposals still had to be reconciled. He said he would work to move the legislation forward and assured the employees that they would be transferred rather than displaced, with the receiving agency's budget increased as needed. These were Tulfo's assurances about the intended transition; the destination and legal transfer remained unsettled while the bills were pending. He closed by reassuring employees that they would have a place in another agency.

Foreign production incentives and the Philippines' business reputation: Tulfo asked whether foreign productions might be deterred by peace-and-order concerns and political turmoil in addition to the cost of incentives. FDCP Chairman Jose Javier Reyes said the country's image in international news was a factor for both film production and business more broadly, while adding that productions continued to come to the Philippines despite that perception.

Film restoration screening and audience demand: Tulfo asked how FDCP checked that restoration was technically feasible and cost-effective, questioning whether young viewers would watch damaged older films. Reyes said technical staff assess the condition of the negative or print and whether it remains restorable; FDCP will not pursue a film when the damage would make restoration prohibitively expensive. Asked whether an audience for classics was limited to film students, Reyes said a recent public screening drew a cross-section of viewers and that people had asked for commercial screenings. He said the particular film could only be shown non-commercially under its rights arrangement with a French company, limiting FDCP to Cinematheque screenings or festivals.

Cinematheques serve as cultural hubs; the Metropolitan Theatre is an NCCA partner venue: Tulfo questioned whether Cinematheques were used often enough to justify construction or whether FDCP could rent cinemas instead. Reyes said the Iloilo Cinematheque was heavily used for screenings, meetings and cultural events; he described the Manila venue as busy enough that it sometimes had to cut screenings, including a film program and Q&A that drew viewers despite suspended classes and poor weather. He also said students and other audiences used the venues to encounter film history. When Tulfo asked about a restored cinema near the Metropolitan Theater, Villaluna clarified that it was under the National Commission for Culture and the Arts (NCCA), not FDCP. FDCP said it partnered with NCCA on monthly programming at the Met and Hiyas ng Sining, including classic films, while NCCA also used the venue for other cultural events. The agency representatives said attendance was substantial.

OMB personnel absorption required a government optimization plan and further placement decisions: Tulfo asked whether FDCP could absorb OMB employees if OMB were abolished. Villaluna said the agencies had compared manpower resources and FDCP could accommodate some plantilla positions, but investigators and intelligence officers would not fit FDCP's work. She said DBM and the Civil Service Commission had advised that absorbing all OMB plantilla positions would require an executive order and alignment or absorption of some mandates, and that planning under the Government Optimization Plan was ongoing. Asked whether funds were available and where investigators could be placed, DBM OIC Division Chief Evita D. Fontanilla said the special provision allowed certain personnel to be absorbed by FDCP subject to the Government Optimization Act, and DBM was waiting for optimization plans from both agencies. She said DBM would coordinate with its staffing and productivity offices about whether employees belonged at FDCP or the Intellectual Property Office. She promised to coordinate possible placement of investigators with DBM staffing offices.

FDCP sought more affordable film access but had limited control over private ticket prices: Tulfo asked whether FDCP could respond to rising cinema prices, relaying a household's concern that tickets were too expensive. Reyes said foreign-film tickets could be around P400 and IMAX tickets cost four digits; after discussions with exhibitors through the Cinema Exhibitors Association of the Philippines, Filipino-film tickets had come down to roughly P200 to P270, which he still considered expensive for minimum-wage earners. FDCP had asked DTI to help but said its authority to intervene in private pricing was limited; Reyes described exhibitors as cooperative. He cited Philippine Cinema Day the next day, when tickets for both local and foreign films would be P100, as an exception, and pointed to the Pilikula ng Bayan program's free screenings in open or LGU-endorsed spaces. The lower price day was a one-day event, not a permanent price commitment.

MTRCB handles cinema activity inspections; city engineers handle structural safety: Tulfo asked whether FDCP or MTRCB inspected cinemas for safe exits in case of fire. Reyes said MTRCB and its deputies handled cinema activity and inspections, while the City Engineer's Office was responsible for structural matters such as fire exits.

OMB transfers remained subject to optimization review: Returning to OMB staffing, Tulfo said the 2026 special provision should be followed. Villaluna replied that FDCP was also bound by the Government Optimization Act and DBM/CSC had advised that FDCP submit an optimization plan, followed by a hearing to decide whether it needed to absorb OMB employees. The legal and personnel process therefore remained pending.

Off-track betting facilities, oversight and proposed transfer: Tulfo argued that cramped, hot betting rooms and slow, inconvenient payouts deter bettors and push wagering toward bookies; he urged better facilities and asked why off-track betting (OTB) oversight sits with the Games and Amusements Board (GAB), and what would transfer it to PHILRACOM. Chairman Aurelio P. de Leon agreed that OTBs need upgrading, said GAB currently approves OTB applications and regulates OTB operations, while PHILRACOM seeks that authority, and described some improved locations of about 100 square meters that can hold 60 to 80 people, with large televisions, air-conditioning and supervision. He said PHILRACOM had sought the authority for five years and pointed to House Bill 9386, which he described as proposing a Philippine Racing Commission/Corporation and transferring OTB operations to PHILRACOM.

Racecourse access, attendance and industry growth: Tulfo said the Cavite and Batangas racecourses are distant for ordinary commuters and that attendance appears lower than when racing was held at Santa Ana and San Lazaro. De Leon said special or stake races could still draw 5,000 to 10,000 spectators, while regular race attendance was low. He attributed the relocations to land values and horse conditions: he said former Manila property sold for billions, the Batangas climate was suitable for horses and cited 28 degrees Celsius as a temperature needed for their health; he also said Carmona property was reportedly sold to Ayala for P7 billion. He agreed OTB operations should improve and recommended that their operations move to PHILRACOM, while leaving police matters and action against bookies to GAB.

Illegal bookies, minors and enforcement responsibilities: Tulfo said illegal bookies offer convenient home or office betting and alleged they divert OTB sales; he also said minors could bet through bookies despite age checks at legal venues. De Leon proposed coordinating with DILG and barangays, alleging bookies sometimes paid about P500 to a barangay captain or kagawad to operate. He said PHILRACOM had CCTV at racecourses and most OTBs, but lacked police powers; his proposed division was for GAB, with DILG assistance, to handle enforcement against illegal betting while PHILRACOM regulated racing and upgraded OTBs if authority transferred.

Race reviews, suspensions and jockey compensation: Tulfo asked whether PHILRACOM addresses bettor suspicions of collusion or horses being held back. De Leon said an eight-person Race Review Committee examines the preceding four days of racing each Monday, investigates incidents not adequately called by club stewards and has banned jockeys, trainers and handicappers and imposed suspensions ranging from six months to one year. On compensation, he said jockeys previously depended on owners for riding fees but PHILRACOM now pays P800 per ride, win or lose; a P1 million stake race pays P1,000 per ride, and the 15 million-peso Presidential Gold Cup pays P15,000 per ride, also win or lose. He said jockeys collect through their own ATM cards on Fridays and gave average monthly income of P300,000 to P350,000 for the top three and P150,000 to P200,000 for jockeys ranked seventh through tenth. He connected training to the PHILRACOM Academy and said jockey eligibility includes height and weight standards: about 5 feet 2 to 4 inches and 52 kilograms or less when starting.

Jockey safety, insurance and association support: Tulfo asked who pays for hospitalization when a jockey falls or is injured. De Leon said jockeys have insurance providing P300,000 to P350,000, and that the Jockeys Associations of the Philippines also accumulate funds from racing prize shares: he estimated P12 million to P14 million annually, or P25 million to P28 million if unspent for two years. He added that PHILRACOM budget support and horse owners may provide additional funds.

Game-fixing deterrence and race transparency: Tulfo asked whether game-fixing doubts had diminished and whether officials can detect jockeys holding back horses. De Leon said suspensions and possible referral to the NBI for a civil case deter misconduct, adding that he believed the Senate had approved a game-fixing law about two years earlier. He said PHILRACOM introduced overhead drone camera shots three years earlier to show jockey and horse movements, with suspicious riding referred for investigation, and said race reports and investigation decisions were posted on social media and shared with bettors. He asserted that fixing was far lower than in earlier generations.

Payout calculation and minimum field sizes: Tulfo asked how payouts for combinations such as double-double, trifecta, pentafecta and winner-take-all are calculated and who determines the prize. De Leon said PHILRACOM uses United Tote, an international totalisator, and that wagers and payout amounts are automatically recorded and programmed. Asked why some races have only a few entrants, he said four horses are allowed for two-year-old races because the population is small; for horses aged three or four and above he stated a minimum of six. He said two-year-old races run from September through December and that a late scratch can leave three, which he considered tolerable under PHILRACOM's mandate.

Jockey work abroad: Tulfo asked whether leading Filipino jockeys were being recruited to Saudi Arabia and what PHILRACOM did to keep them in the country. De Leon said most Filipinos working abroad were exercise riders rather than jockeys, naming only a few who had ridden abroad in the previous five or ten years. He said riding premiums in the Philippines had risen over five years and that some returned because they could earn more locally after taxes and remain near family.

Lost Sabungeros review and the sub judice rule: Tulfo asked whether MTRCB could refuse to review Lost Sabungeros because its subject was allegedly sub judice, arguing that review and classification should preserve a producer's appeal route. Sotto-Antonio said the Board was reviewing and reassessing its processes, but maintained that it carefully reviews every submitted material and may request additional requirements consistent with its sub judice rule as a prudent regulatory measure.