Republic of the Philippines
HOUSE OF REPRESENTATIVES,
Quezon City, Metro Manila

SIXTEENTH CONGRESS
Second Regular Session

HOUSE BILL No.__5241

Introduced REP. SALVIO B, FORTUNO.

EXPLANATORY NOTE

The recent controversy generated by the disqualification of Governor J.R, Ejercito
of the Province of Laguna, who was ousted by the Commission on Elections
(COMELEC) on ground of election overspending has brought to the fore the issue; Is the
authorized campaign expenditures for candidates and political parties still realistic in the
light of economic developments that had eroded the purchasing power of the Philippine
Peso?

No matter what the reason is, or whatever the circumstances are, a law is a law.
As the legal maxim states, DURA LEX SED LEX. Hard is the law but it is a law

‘The Supreme Court upheld the decision of the Comelec in disqualifying former
Governor Ejercito on the basis of the existing applicable law, Republic Act No. 7166,
that a candidate is authorized to spend only Three pesos (P3.00) for every voter currently
registered in the constituency where he filed his certificate of candidacy. There are still
thousands of candidates in the 2010 and 2013 elections, who received notice to explain
overspending from the COMELEC and still awaiting its ruling.

Republic Act No, 7166 explicitly amended Sections 100 and 101 of Batas
Pambansa Blg. 881 otherwise known as the Omnibus Election Code of the Philippines on
the limitations upon the expenses of candidates and of political parties respectively
effectively increasing the authorized campaign expenditure of candidates for every voter
from P1.50 to P3.00 and of political parties for every voter from P1.50 to P5.00

It is worthy to emphasize that the purchasing power of the Philippine peso has
continuously diminished from the time Republic Act No, 7166 took effect in 1991 up to
the present time due to numerous economic factors,

Dr. Romulo Emmanuel M. Miral, Jr, Acting Director General of the
Congressional Policy and Budget Research Department of the House of Representatives
revealed that the value of one (1) Philippine peso in 1991 was equivalent to P3.41 in
2013 or our one (1) Philippine peso in 2013 was equivalent to PO.29 in 1991 based on
Consumer Price Index


On the basis of the foregoing computation, the authorized campaign expenditure
for candidates for the position of President and Vice-President should be from P10.00 to
P34_10, for other candidates from P3,00 to P10.23 and for political parties from P5.00 to
P 17.05. Considering the time and economic factors, there is a need to increase this actual
computation to meet the demands of the time when this proposed legislative measure is
enacted into law. Therefore the adjustment should be as follows: For the position of
President and Vice-President from P10.00 to P40.00, for other candidates from P3,00 to
P15,00 and for political parties from PS.00 to P20,00

‘The paramount objective of this measure is to make the authorized campaign
expenditures for all the candidates and political parties more realistic so that no candidate
would ever be penalized on the basis of an antiquated law

The foregoing reasons warrant the immediate approval ofthis Wl

| Laweor
REP. SALWIO B. FORTUNO

Fifth Distyict, Camarines Sur
/



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

SIXTEENTH CONGRESS,
Second Regular Session

5241

HOUSE BILL No,

. SALVIO B. FORTUNO

AN ACT
INCREASING THE AUTHORIZED EXPENSES OF CANDIDATES AND POLITICAL,
PARTIES, AMENDING FOR THE PURPOSE SECTION 13 OF REPUBLIC ACT NO,
7166, ENTITLED, “AN ACT PROVIDING FOR SYCHRONIZED NATIONAL AND
LOCAL ELECTIONS AND FOR ELECTORAL REFORMS, AUTHORIZING
APPROPRIATIONS THEREFOR, AND FOR OTHER PURPOS

Be it enacted by the Senate and the House of Representatives
of the Philippines in Congress assembled:

SECTION L, Section 14 of Republic Act No. 7166 is hereby amended to read as follows

“See. 14. Authorized Expenses of Candidates and Political Parties, -
The aggregate amount that a candidate or registered political party may spend for
election campaign shall be as follows:

For candidates. - [Ten] FORTY Pesos [(P10.00)] (P40,00) for President
ind Vice-President; and for other candidates, [Three] FIFTEEN Pesos {(P3.00)]
(P15.00) for every voter currently registered in the constituency where he filed
his candidacy; Provided, That a candidate without any political party and without
support from any political party may be allowed to spend [Five] TWENTY
Pesos [(P5.00)] (P20.00) for every such voter: and

For political parties. ~ [Five] TWENTY Pesos [(P5.00)| (P20.00) for
every voter currently registered in the constituency or constituencies where it has
official candidates

Any provision of law to the contrary notwithstanding any contributios
cash or in kind to any candidate or political party or coalition of parties for
campaign purposes, duly reported to the Commission shall not be subject to the
payment of any gift tax.”

SEC. 2. The Commission on Elections (COMELEC) shall issue the necessary rules and.
regulations to implement this Act

SEC. 3, All laws. presidential decrees, executive orders, rules and regulations found
inconsistent with this Act are hereby amended. repealed or modified accordingly

SEC. 4. This Act shall take effect fifteen (15) days after its publication in any newspaper
of general circulation.

Approved.