SIXTEENTH CONGRESS OF THE REPUBLIC 
OF THE PHILIPPINES 
First Regular Session 
SENATE 
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Senate Bill No. 16 8 4 
INTRODUCED BY SEN. JINGGOY EJERCITO ESTRADA 
EXPLANATORY NOTE 
Since the enactment of the Local Government Code of 1991, the value of 
the peso vis-a-vis the dollar, has fallen by staggering proportions, particularly in 
the aftermath of the 1997 Asian financial crisis. This has resulted in the gross 
weakening of the purchasing power of the peso, which is reason enough to 
reassess the reckoning given to barangay officials. 
The basis of amounts stipulated in Section 393 of the Local Government 
Code needs to be amended so that the benefits intended for barangay officials can 
be adjusted to present level, and reflect the original intention of the law. 
In view of the foregoing, the passage of this bill is earnestly sought. 
• 
OY EJERCITO ESTRADA 
Senator 


SIXTEENTH CONGRESS OF THE REPUBLIC 
OF THE PHILIPPINES 
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First Regular Session 
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SEP 16 P 3 :30 
SENATE 
Senate Bill No. 168 4 
INTRODUCED BY SEN. JINGGOY EJERCITO ESTRADA 
, 
AN ACT 
INCREASING THE BENEFITS OF BARAN GAY OFFICIALS, AMENDING FOR 
THE PURPOSE SECTION 393 OF REPUBLIC ACT NO. 7160, OTHERWISE 
KNOWN AS THE LOCAL GOVERNMENT CODE OF 1991, CREATING A 
NATIONAL BARAN GAY BENEFITS AUGMENTATION FUND, AND FOR 
OTHER PURPOSES 
Be it enacted by the Senate and House of Representatives of the Philippines in 
Congress assembled: 
• 
SECTION 1. Section 393 of Republic Act No. 7160. is hereby amended to 
read as follows: 
"SEC. 393. Benefits of .Barangay Officials. - (a) Barangay 
Officials, including barangay tanods and members of the lupong 
tagapamayapa, shall received honoraria, allowances and such 
other emoluments as may be authorized by law or barangay, 
municipal or city ordinance in accordance with the provisions of this 
Code, but in no case shall it be less than [One thousand pesos 
(P1,000.00)] TWO THOUSAND PESOS (P2,000.00) per month for 
the punong barangay and [Six hundred pesos (P600.00)] ONE 
THOUSAND EIGHT HUNDRED PESOS (Pi ,800.00) per month for 
the sangguniang barangay members, barangay treasurer and 
barangay 
secretary: 
Provided, 
however, 
That 
the 
annual 
appropriations for personal services shall be subject to the 
budgetary limitations prescribed under Title Five, Book 11 of this 
Code. 
"(b) The punong barangay, the sangfluniang barangay members, 
the barangay treasurer, and the barangay secretary, shall, also: 
(1) Be entitled to Christmas bonus of at least [One Thousand 
pesos (P1,000.00] TWO THOUSAND PESOS (P2,OOO.00) 
each, the funds for which shall'be taken from the general 
fund of the barangay or from such other funds appropriated 
by the national government for the purpose; 
(2) Be entitled, during their incumbency to insurance coverage 
which shall include, but shall not limit to temporary and 
permanent disability, double indemnity, acc.ident insurance, 
death and burial benefits, in accordance with Republic Act 
Numbered sixty-nine hundred forty-two (Republic Act No. 


, . 
, 
6942), entitled "An Act Increasing the Insurance Benefits of 
Local Government Officials and Providing Funds Therefor"; 
(3) Be entitled to free medical care including subsistence, 
medicines, and medical attendance in any government 
hospital or institution: Provided, That such hospital care shall 
include surgery or surgical expenses, medicines, x-rays, 
laboratory fees and other hospital expenses. 
"In case of extreme urgency where there is no available 
government hospital or institution, the barangay official 
concerned may submit himself for immediate medical 
attendance to the nearest private clinic, hospital or institution 
and the expense not exceeding [Five thousand pesos 
(P5,000.00)] TEN THOUSAND PESOS (P10,OOO.OO) that 
may be incurred therein shall be chargeable against the 
funds of the barangay concerned; 
(4) Be exempted during their incumbenpy from paying tuition 
and matriculation fees for their legitimate dependent children 
attending state colleges or universities. He may likewise 
avail of such educational benefits in a state college or 
University located within the province/city to which the 
barangay belongs; and 
(5) Be entitled to appropriate civil service eligibility on the basis 
of the number of years of service to the barangay, pursuant 
to the rules and regulations issued by the Civil Service 
Commission. 
"(c)Elective 
barangay 
officials 
shall 
have 
preference 
in 
appointments to any government position or in any government-
owned or controlled corporations, including their subsidiaries, after 
their tenure of office, subject to the requisite qualifications and the 
provisions of the immediately preceding paragraph; and 
"(d) All duly appointed members of the barangay tanod brigades, or 
their equivalent, which shall number not more than twenty (20) in 
each barangay, shall be granted A MONTHLY ALLOWANCE OF 
NOT LESS THAN SIX HUNDRED PESOS (P600.00) and 
insurance or other benefits during their incumbency, chargeable to 
the barangay or the city or municipal government to which the 
barangay belongs." 
~EC. 2. National Barangay Benefits Augmentation Fund. - There is 
hereby created a National Barangay Benefits Augmentation Fund (NBBAF) which 
shall be used to augment existing allocation of allowance and honoraria of 
barangay officials and workers provided for this Act. 
The Oversight Committee on Devolution shall administer and ensure the 
appropriate disbursement of the fund. The National Barangay Operations Office of 
the Department of Interior and Local Government shall Act as the Secretariat of 
the Oversight Committee on Devolution and assist the Committee in the proper 
administration of the fund. The fund shall be released to the concerned barangays 
by the Department of Budget and management, upon adoption of a resolution by 
the Committee directing the department to i~plement the same. 


SEC. 3. Funding. - All barangays shall contribute two percent (2%) of their 
income to the National Barangays Benefits Augmentation Fund. 
SEC. 4. Rules and Regulations. The Oversight Committee on Devolution 
shall, within six (6) months of effectivity of this Act, shall formulate and issue the 
appropriate rules and regulations necessary for the efficient and effective 
implementation of this Act. 
SEC. 5. Repealing Clause. - All laws, orders, issuances, rules and 
regulations or parts thereof inconsistent with this Act are hereby repealed or 
modified accordingly. 
SEC. 6. Effectivity. - This Act shall take effect fifteen (15) days after its 
complete publication in at least two (2) newspapers of general circulation. 
Approved,