EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
^ svf OlUic ot tijc  ^ r r r r t n r p
T9 AUG 27 P4«4
S E N A T E
B. No. 963
Introduced by Senator SONNY ANGARA
AN ACT
STRENGTHENING 
THE 
OFFICE 
OF 
THE 
GOVERNMENT 
CORPORATE 
COUNSEL BY RATIONALIZING AND FURTHER PROFESSIONALIZING ITS 
ORGANIZATION, UPGRADING POSITIONS AND APPROPRIATING FUNDS 
THEREFOR
EXPLANATORY NOTE
The Office of the Government Corporate Counsel (OGCC) acts as the statutory 
counsel of about 714 government-owned or controlled corporations, government 
instrumentalities exercising corporate powers, government Financial institutions and 
government corporate entities, their subsidiaries and corporate offsprings as well as 
economic zones, state universities and water districts (which shall all hereinafter be 
referred collectively as "GOCCs" for brevity) all over the country. Its responsibilities 
cover all the legal affairs of all the GOCCs and it handles special tasks for them 
including the exercise of control and supervision over all their legal departments. Its 
mandate has been further reinforced in subsequent executive issuances to 
effectively provide legal counsel to the GOCCs in their operations.
The strengthening of the OGCC is long overdue. The existing organizational 
structure and personnel complement of OGCC was formulated way back in 1978 and 
has not been amended and improved since then despite the increasing work 
performed by the OGCC in discharging its mandate. To ensure that OGCC shall be 
able to adapt to the changing conditions, the increase in the number of its personnel 
and corresponding adjustment in their compensation and benefits is inevitable.
For decades, the legal guidance and assistance provided by the OGCC by way 
of legal 
representations, 
legal opinions, 
drafting 
and 
review of contracts, 
performance of special tasks the exercise of control and supervision over its legal


departments, enabled the GOCCs to more efficiently perform their respective 
mandates within the bounds of the law.
With OGCC as statutory counsel, GOCCs do not need to engage private 
lawyers to address their legal requirements. The GOCCs are able to generate savings 
and utilize its much needed funds for its core purposes, which would otherwise be 
allocated for legal fees of private lawyers if OGCC has not existed.
With the growth in the number of GOCCs coupled with the complexities of 
their requirements brought by the modern business situations and conditions, the 
increase in the request for the legal services of OGCC, not only in terms of volume, 
but also the nature of the services required, call for specialization and expertise in 
specific fields of law.
The Officials and employees of OGCC who are entrusted with the legal 
concerns of the GOCCs need to be properly equipped and be adequately 
compensated to effectively fulfill their duties and responsibilities.
In line with the principle of National Government's thrust to standardize and 
rationalize the current compensation framework in the bureaucracy, the positions, 
salaries and benefits of the lawyers and administrative staff of the OGCC should be 
at par with the salary grades, positions, salaries and benefits of its counterparts in 
the Department of Justice performing similar functions and providing similar legal 
services. 
It is for this reason that the OGCC needs a new Charter upgrading the 
positions, salaries and benefits of its employees and increasing the number of its 
legal personnel and administrative staff.
In view of the foregoing reasons, the expeditious approval of this proposed 
bill is earnestly sought.
y
SONNY ANGARA


EIGHTEENTH CONGRESS OF THE 
)
REPUBLIC OF THE PHILIPPINES 
)
First Regular Session 
)
S E N A T E
S. B. No. 963
of Ihk lai'irrlai j’
'19 AUG 27 P4 -05
RFChV. ::ui.
Introduced by Senator SONNY ANGARA
AN ACT
STRENGTHENING 
THE 
OFFICE 
OF 
THE 
GOVERNMENT 
CORPORATE 
COUNSEL BY RATIONALIZING AND FURTHER PROFESSIONALIZING ITS 
ORGANIZATION, UPGRADING POSITIONS AND APPROPRIATING FUNDS 
THEREFOR
Be It enacted by the Senate and the House o f Representatives o f the Philippines _  
Congress assembled:
1 
Section 1. Short Title. -  This act shall be known as the "OGCC Charter".
2 
Sec. 2. Declaration o f Policy. -  It shall be the policy of the State to protect
3 
and promote the welfare, rights and interests of government-owned or controlled
4 
corporations 
(GOCCs), 
government 
financial 
institutions 
(GFls), 
government
5 
instrumentalities with corporate powers (GCIPs), government corporate entities
6 
(GCEs) as defined in Republic Act 10149 as well as their subsidiaries and corporate
7 
offsprings including economic zones, state universities and water districts, all
8 
collectively referred to in this Act as government corporations (GOCCs).
9 
Toward this end, the State shall require the improvement of legal services to
10 
efficiently address the expanding needs of these government corporations in
11 
accordance with its initiative towards an improved fiscal management and good
12 
corporate governance. It shall be the mandate of the OGCC to safeguard the legal
13 
interest of the government corporations.
14 
Sec. 3. Power, Jurisdiction and Mandate. -  Any law to the contrary
15 
notwithstanding, the Office of the Government Corporate Counsel ("OGCC") shall be


1 
the statutory counsel and principal law office of all government corporations. 
All
2 
government corporations shall refer to the OGCC the following:
3 
a) 
All important legal questions for opinion and advice;
4 
b) 
All contracts for review: Provided, That the GCC may, from time to time,
5 
determine which contract shall no longer be submitted to OGCC; and
6 
c) 
All cases for representation before regular courts, quasi-judicial bodies,
7 
administrative agencies and arbitral tribunals: Provided, That the Government
8 
Corporate 
Counsel 
(GCC) 
may 
thereafter 
authorize 
the 
government
9 
corporation's legal department or retained counsel as collaborating counsel to
10 
handle cases, as the urgency or expediency of circumstances may warrant.
11 
The OGCC shall:
12 
a) 
Exercise control and supervision over the legal departments of all government
13 
corporations and conduct periodic performance audit of the in-house lawyers
14 
or legal departments of government corporations and to recommend
15 
appropriate actions to them;
16 
b) 
Conciliate, mediate, act as hearing officers or adjudicate all disputes on
17 
controversies exclusively between government corporations;
18 
c) 
Investigate and, in appropriate cases, hear administrative disciplinary cases
19 
involving all lawyers, officials and employees of government corporations
20 
upon the latter's request and recommend appropriate administrative or
21 
disciplinary sanctions;
22 
d) 
Conduct fact-finding and preliminary investigation in appropriately referred
23 
cases;
24 
e) 
Act as Corporate Secretary or any other officer of government corporations
25 
upon their request;
26 
f) 
Be assigned as members of technical working groups, bids and awards
27 
committee, task force and other committees in 
relation to government
28 
corporations' projects;
29 
g) 
Be detailed or assigned to government corporations upon their request:
30 
Provided, That GCC approves the assignment or designation, including
31 
attendance in meetings requested by government corporations;


1 
h) 
Represent the OGCC in the Governing Board and management committees of
2 
government corporations;
3 
i) 
Approve the engagement of private lawyers by the government corporations;
4 
and
5 
j) 
Perform such other functions necessary in the interest of the service.
6 
Sec. 4. Expansion and Upgrading o f Positions. -
7 
A. The Government Corporate Counsel ("GCC") shall have the rank, salary,
8 
allowances, retirement and 
pension 
benefits, 
emoluments, 
prerogatives and
9 
privileges as the Presiding Justice of the Court of Appeals. He/she shall be assisted
10 
by a Deputy Government Corporate Counsel ("DGCC") and twelve (12) Assistant
11 
Government Corporate 
Counsels ("AGCC") who shall have 
the rank, salary,
12 
allowances, retirement and 
pension 
benefits, 
emoluments, 
prerogatives and
13 
privileges of an Associate Justice of the Court of Appeals.
14 
No person shall be appointed GCC, DGCC or AGCC unless he/she is a natural-
15 
born citizen of the Philippines and, for at least fifteen (15) years, has been engaged
16 
in the practice of law in the Philippines.
17 
B. The number, rank, salary, allowances, retirement and pension benefits,
18 
emoluments, prerogatives and privileges of the other members of the legal staff
19 
shall be as follows:
20 
1) The present ten (10) Government Corporate Attorney IV ("GCA IV")
21 
shall be increased to sixteen (16) and they shall have the rank, salary,
22 
allowances, retirement and pension benefits, emoluments, prerogatives
23 
and privileges of a Regional Trial Court Judge. No person shall be
24 
appointed as GCA IV unless he/she is a natural-born citizen in the
25 
Philippines and, for at least ten (10) years, has been engaged in the
26 
practice of law in the Philippines;
27 
2) The present fourteen (14) Government Corporate Attorney III ("GCA
28 
III") shall be increased to nineteen (19) and they shall have the rank,
29 
salary, allowances, retirement and pension benefits, emoluments,
30 
prerogatives and privileges of a Metropolitan Trial Court Judge. 
No
31 
person shall be appointed GCA III unless he/she is a natural-born


1 
citizen of the Philippines and, for at least five (5) years, has been
2 
engaged in the practice of law in the Philippines.
3 
3) The present seventeen (17) Government Corporate Attorney II ("GCA
4 
11") shall be increased to twenty (20) who shall be natural-born citizens
5 
of the Philippines and have been engaged in the practice of law in the
6 
Philippines for at least three (3) years;
7 
4) The present four (4) Government Corporate Attorney I ("GCA I") shall
8 
be increased to twelve (12) who shall be natural-born citizens of the
9 
Philippines and have been engaged in the practice of law in 
the
10 
Philippines for at least one (1) year.
11 
The GCC, DGCC and AGCCs shall be appointed by the President of the
12 
Philippines. The other members of the legal and administrative personnel shall be
13 
appointed by the GCC. 
Except for the GCC, the appointments of the DGCC and
14 
AGCCs shall be permanent upon compliance with the prescribed qualification
15 
standards under this law.
16 
The GCC may appoint in coterminous capacity two (2) lawyers with the same
17 
rank, salary, allowances and other benefits of an AGCC and two (2) lawyers with the
18 
same rank, salary, allowances and other benefits of a GCA IV, who shall form part of
19 
his confidential staff.
20 
Sec. 5. Organizational Structure. -  The OGCC shall be headed by the GCC,
21 
who is the principal law officer and legal defender of all the government
22 
corporations. He shall have the authority and responsibility for the exercise of the
23 
OGCC's mandate and for the discharge of its duties and functions, and shall have
24 
supervision and control over the OGCC and its constituent units. The GCC shall
25 
promulgate necessary rules & regulations for the implementation of the provisions of
26 
this law.
27 
The GCC shall be assisted by the DGCC, AGCCs and such number of GCAs as
28 
may be necessary to operate the OGCC.
29 
Unless otherwise determined by the GCC, the legal staff shall be divided into
30 
teams, each to be headed by an AGCC.
31 
The administrative structure of the OGCC shall be composed of the Secretarial
32 
and Legal Support Services, Finance and Accounting Services, Human Resource and


1 
Management 
Services, 
Case 
and 
Records 
Management 
Services, 
Library
2 
Management and Information Technology Services, Corporate Planning Services and
3 
Property and Supply Services.
4 
The legal and non-legal personnel of the OGCC occupying the positions
5 
affected by the changes embodied in this Act at the time of its approval shall
6 
thereafter occupy and discharge the duties and functions of the upgraded positions
7 
and receive the corresponding salary, benefits and privileges without necessity of
8 
new appointments.
9 
Sec. 
6. 
Compensation. 
-  The salary grades for the basic 
monthly 
10 
compensation of the OGCC legal personnel shall be as follows:
Position
Salary Grade
Government Corporate Counsel
31
Deputy Government Corporate 
Counsel
30
Assistant Government Corporate 
Counsel
30
Government Corporate Attorney IV
29
Government Corporate Attorney III
28
Government Corporate Attorney II
27
Government Corporate Attorney I
26
11 
The 150 non-legal personnel shall be composed of the following: two (2)
12 
Chief Administrative Officers; one (1) Budget Officer V; one (1) Executive Assistant
13 
(EA) V; two (2) EA IV; one (1) EA III; one (1) Accountant IV; four (4) Supervising
14 
Administrative Officers; one (1) Planning Officer IV; eleven (11) Administrative
15 
Officers (AO) V; one (1) Librarian IV; one (1) Information Technology Officer; one
16 
(1) Computer Main Technician; one (1) Librarian III; four (4) AOs III; three (3) AOs
17 
II; twelve (12) Senior Administrative Assistant III; one (1) Planning Analyst II;
18 
twenty (20) Administrative Assistant (ADAS) VI; one (1) Computer Operator III;
19 
twelve (12) ADAS V; 
twelve (12) ADAS III; one (1) Bookkeeper III; three (3)
20 
Records Officer I; fourteen (14) ADAS II; five (5) ADAS I; one (1) Chauffeur IV; one


1
2
3
4
5
6
7
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10
11
12
13
14
15
16
17
18
19
20 
21 
22
23
24
25
26
27
28
29
30
31
32
(1) Security Guard III; ten (10) ADA VI; one (1) Driver IV; one (1) Buyer II; 
fourteen (14) ADA IV; and six (6) ADA III.
The non-legal personnel shall have the same salaries and benefits as that of 
their counterparts in the Office of the Solicitor General.
The salaries, benefits and privileges of the personnel of the OGCC granted 
under this Act shall automatically be increased to keep in step with any 
corresponding increase in salaries and privileges subsequently granted to their 
respective counterparts in the judiciary, the Office of the Solicitor General and the 
Court of Appeals.
Sec. 7. Personnel Benefits and Privileges. -  Provisions of other laws to the 
contrary notwithstanding, and subject to availability of funds, the OGCC may provide 
its employees the following benefits:
i. 
Health care services through a health maintenance organization (HMO).
ii. 
Accident insurance for all employees for approved travels while in the 
performance of official duties;
iii. 
Provided the efficiency of the service is not prejudiced, scholarships for the 
deserving employees on official time to upgrade their knowledge and skills. 
Provided further, That scholars under this provision shall be selected on the 
basis of merit as determined by competitive examination; and 
A Provident Fund which shall consist of, but not be limited to contributions 
made by the OGCC and by its employees;
Reimbursement of registration fees and expenses for trainings and seminars. 
Mandatory Continuing Legal Education fees and professional license fees.
Sec. 
8. 
Other Benefits. -  Provisions of other laws to the contrary 
notwithstanding, the legal personnel of the OGCC are authorized and shall continue 
to receive allowances and honoraria from government corporations which shall not 
exceed One Hundred Percent (100%) of their annual basic salary. 
The employees 
of the OGCC may likewise be extended such benefits and privileges as are given to 
the employees of government corporations.
Sec. 9. Retirement Benefits. -  Any law to the contrary notwithstanding, and 
consistent with Section 4 of this Act granting them the same retirement benefits and 
privileges of their counterparts in the judiciary, the retirement benefits of the GCC,
IV.
V.


1 
DGCC, AGCC, GCA IV and GCA 111 shall be automatically increased whenever there is
2 
an increase in the salaries and allowances of the same positions from which he or
3 
she retired.
4 
Sec. 10. Attorney's Fees and Special Assessment. -  The OGCC is authorized to
5 
receive 
twenty 
percent 
(20%) 
of 
the 
money claims 
collected 
by, 
or
6 
awarded/adjudged to government corporations, in addition to the attorney's fees
7 
awarded by a court, tribunal, or panel, including awards/judgments, stipulated under
8 
court-approved compromise agreements. 
The OGCC is hereby authorized to use
9 
such awards and attorney's fees to meet contingencies, obligations and undertakings
10 
and/ or for employee benefits and incentives, necessary or proper to promote
11 
efficiency in the service as determined by the GCC.
12 
The GCC is likewise authorized 
to make special 
assessments 
upon
13 
government corporations and to disburse and use the same for such contingencies,
14 
obligations and undertakings, and to provide for employees' benefits and incentives
15 
allowed under the law.
16 
Attorney's fees and special assessments shall be deposited in an authorized
17 
government depository and shall be made available for expenditure without the
18 
need for a cash disbursement ceiling for purposes of meeting obligations and
19 
contingencies, upgrading facilities and equipment, granting of employees' benefits
20 
and incentives and defraying such other expenses not provided for in the General
21 
Appropriations Act subject to accounting and auditing procedures.
22 
Sec. 11. Franking Privilege. -  All official matters and telegrams of the OGCC
23 
addressed for delivery within the Philippines shall be received, transmitted and
24 
delivered free of charge.
25 
Sec. 12. Appropriations. -  The amount needed for employees' salaries,
26 
mandatory allowances and benefits under other laws, maintenance and other
27 
operating expenses and capital outlay shall be appropriated in the budget of the
28 
OGCC under the annual General Appropriations Act.
29 
Sec. 13. Separability Clause. -  If any portion or provision of this Act is
30 
subsequently declared invalid or unconstitutional, other provisions hereof which are
31 
not affected thereby shall remain in full force and effect.
32 
Sec. 14. Repealing Clause. -  All other laws, acts, presidential decrees.


1 
executive orders, presidential proclamations, issuances, rules and regulations, or
2 
parts thereof which are contrary to or inconsistent with any of the provisions of this
3 
Act are hereby repealed, amended, or modified accordingly.
4 
Sec. 15. Effectivity. -  This Act shall take effect fifteen (15) days after its
5 
publication in the Official Gazette or in a newspaper of general circulation.
Approved,
8