HOUSE OF REPRESENTATIVES

RECEIVED
SEVENTEENTH CONGRESS ) DATE: 08 AUG 2016
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HOUSE OF REPRESENTATIVES ey:_‘Jade

Introduced by Representative Maximo RATION UT

House BillNo, 2981

EXPLANATORY NOTE

This bil was originally introduced as House Bill No. 1853 during the
Fourteenth Congress where it was: approved by the House of Representatives and
transmitted to the Senate, It was again re-filed during the 15" Congress as House Bill
No, 586 where it was again approved by the Committee on Local Govemment and
substituted by House Bill No, 4410; approved on 2" reading, approved on 3" reading
and was transmitted to the Senate where it was not acted upon. It was again re-filed
during the 16” Congress.

Consistent with the promotion and enhancement of local financial autonomy,
this bill Seeks to amend Section 290 and 291 of Republic Act 7160, otherwise known
as the Local Govemment Code.

‘As proposed, the share of the local government units is increased to sixty
percent (60%) of the gross collection derived by the national govemment in the
preceding fiscal year from mining taxes, royaties, forestry and fishery charges, and
Such other taxes, fees, or charges, including related surcharges, interests, or fines,
and from its share in any co-production, joint venture or production sharing
agreement in the utilization and development of the national wealth within their
territorial jurisdiction

Under this legislative proposal, the share of the local govemment units from
the use of national wealth, and from any government agency, or ~owned and —
controlled corporation shall be remitted to them within ten (10) days after the end of
every quarter during the current fiscal yeer.

This is just one of the measures that seek to broaden the local fiscal resource
generation. Hence, the approval of this bill is eamestly requested,

li

MAXIMO B. RODRIGUEZ, JR.


SEVENTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES )
First Regular Session )

HOUSE OF REPRESENTATIVES

Introduced by Representative Maximo B. Rodriguez, Jr.

House Bill No. 25981

AN ACT
PROVIDING FOR THE DIRECT REMITTANCE TO THE HOST LOCAL
GOVERNMENT, OF ITS FORTY PERCENT (40%) SHARE OF THE PROCEEDS
DERIVED FROM THE UTILIZATION AND DEVELOPMENT OF NATIONAL
WEALTH, AMENDING FOR THE PURPOSE SECTION 293 OF REPUBLIC ACT
NO. 7160, AS AMENDED, OTHERWISE KNOWN AS THE “LOCAL
GOVERNMENT CODE OF 1991”

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

SECTION 1. Section 293 of Republic Act No. 7160, as amended, otherwise known
as the “Local Government Code of 1991", is hereby amended to read as follows
“SEC, 293, Remittance of the Share of Local
Government Units. ~ The share of local government units
from the utilization and development of national wealth
shall be remitted in accordance with Section 286 of this
Code: Provided, however, That ANY PERSON,
NATURAL OR JURIDICAL, INCLUDING [in the case of
any] govemment agency or government-owned or -
controlled corporation engaged in the utilization and
development of the national wealth, [such share] shall [be]
directly remitfted} to the provincial, city, municipal or
barangay treasurer, OF THE HOST LOCAL
GOVERNMENT UNIT concemed ITS FORTY PERCENT
(40%) SHARE DERIVED FROM NATIONAL WEALTH
TAXES UNDER SECTION 290 OF THIS CODE AND THE
REMAINING SIXTY PERCENT (60%) TO THE
NATIONAL GOVERNMENT [within five (5) days after the
end of each quarter].”

SEC. 2. All laws, decrees, orders, rules and regulations or parts thereof inconsistent
with the provisions of this Act are hereby amended or modified accordingly.

SEC. 3. This Act shall take effect fifteen (15) days afer its publication in any
newspaper of general circulation.

Approved,