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Rcpubhc of the Phhippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila
NINETEENTH CONGRESS
First Regular Session
HOUSE BILL NO.
Introduced by Representative Eduardo Roa Rama Jr.
EXPENATORY NOTE
Barangrys serve as the most basic local gpvemment unit among those established under Repubnc
Act 7160, otherwise known as the Ilocal Government Code of 1991, as they primafny provide
services to the community directly. As such they serve one of the most vital roles in pubhc service
within the apparatus of the state gpvemment, the aforemetitioned code provides that the barangay
isthe"pinaryplanningandimplementingunitofgovemmentpohcies,plans,programs,projects,
and  activities  in  the  community,  as  a  forum  wherein  the  collective  views  of people  may  be
expressed, crystanized, and considered and where disputes may be amicably settled." Undeniably,
the governance of our barangays play a vital role in nation building.
The  barangays  arc  thus  crucial partners in guiding economic gro`wh  and development in  the
country  as  a  whole,  as  they  assist  the  national  government  in  identifying  areas  of concern,
improvemcntandareasofpotentiaLMoreover,thevaluetbatbarangryofficialsbringtowardsthe
conceptualzation and implemcntation of national government initiatives cannot be gainsaid due
totheirinsichtandunderstandingoftheirrespectivejurisdictions.Unfortunately,despitethis,they
have not been propedy granted the appropriate compensation, benefits, and incentives that they
deserve based oa the cureat cost of hiving.
This bin seeks to provide for a regularization and compensatiofl scbeme for the Punong Barangry,
Sangguniang Barangay members, Barangay Treasurer and Barangry Secretary, and a provision of
honoraha and auowances to the members of the Lupoa Tagapanayapa and Barangay Tanods.
Additionally, a barangay gratuity fund win be created which sham be used to fund the govemmcnt's
share in the redrcment gratuity of barangay tanods and members of the Lupon ng Tagapamayapa.
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This  wcu-meaning  and  imperative  leSslativc  measure  was  origivally  ffled  by  then  1"  district,
ValenzuelaCity,RepresentativeRcxlon`Rex"T.Gatchalian,whoi§nowservesastheDepartment
of Social Welfare and Development @SWD) Secretary.
In view of the foregoing, approval of this bill is earnestly soucht.
EDUARDO ROA RAMA ]R.
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Republic of the I'hhippincs
HOUSE OF REPRESENTATIVES
Quezon City. Metro Manila
NINETEENTH CONGRESS
First Regular Session
HOUSE BILL NO.
Introduced by Representative Eduardo Roa Rama Tr.
AN Ac'r STRENGTHENING THE BARANGAy As THE BAslc LocAL
GOVERNMENT UNIT BY INCREASING ITS CAPACITY TO DELIVER
SERVICES, PROVIDING SAIARY GRADES, RETIREMENT BENEFITS, OTHER
ENTITLEMENTS OF CERTAIN BARANGAY OFFICIAI.S, AND OTHER
PURPOSES, AMENDING FOR THIS PURPOSE REPUBLIC ACT NO. 7160,
OTHERWISE ENOWN AS THE LOCAL GOVERNMENT CODE OF 1991, AND
OTHER RELATED IAWS
Be il enacted ky lbe Se"]te and the Hose Of Rapre§enlatives Of lbe Pl)ibppim in Congre§S assembled..
SEcrloN 1. A new Section 389-A shat be inserted in Republic Act No. 7160,
otherwise known as the `I.ocal Government Code of 1991" QA 7160) to read as follows:
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«sEc'rloN 389-A. cOMPENSATloN AND BENEFITs OF THE PUNONG
BARANGAY. -THE PUNONG BARANGAY SIIALL BE CONSIDERED A
REGulAR GOvERNMEr`IT EMLoyEE, ENTITLED TO THE FlxED
RATE OF AT LEAST SAIARY GRADE TWELVE (12-A) UNDER THE
SAIARY STANDARDIZATION IAW, AS AMENDED, AND SIIALL
HENCEFORTH BE ENTITLED TO AIL THE BENEFITS PROVIDED BY
THE GOVERNMENT WIIICH SIIAIL INCLUDE BUT NOT LIMITED TO
sAIARIEs, ALLOwANCErs, BENEFITs AND INCENTlvEs AppLlcABLE
TO ALL GOVERNMENT PERSONNEL."
SEC. 2. A new Section 39l-A shall bc in8crtcd in RA 7160 to read as follows:
#sEc'rloN 39i-A. COMPENSATION AND BENEFITs oF THE MEMBERs
OF THE SANGGUNIANG BARANGAY. -THE MEMBERS OF THE
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SANGGUNIANG BARANGAY SHALL BE CONSIDERED AS REGUIAR
GOVERNMENT EMPLOYEES, ENTITLED TO THE FIXED RATE OF AT
LEAST SAIARY GRAI)E TEN (SG-10) UNDER THE SAIARY
STANDARDIZATION IAW, AS AMENDED, AND SHALL HENCEFORTH
BE ENTITLEI) TO AIL THE BENEFITS PROVIDED BY THE
GOVERNMENT WHICH SIIALL INCLUDE BUT NOT BE LIMITED TO
SAIARIES, ALLOWANCES, BENEFITS AND INCENTIVES APPLICABLE
TO ALL GOVERNMENT PERSONNEL."
SEC. 2. A new Scctori 391-A sham be inserted in RA 7160 to read as follows:
"SECTION 391-A. COMPENSATION AND BENEFITS OF THE MEMBERS
OF THE SANGGUNIANG BARANGAY. -THE MEMBERS OF THE
SANGGUNIANG BARANGAY SIIALL BE CONSIDERED AS REGULAR
GOVERNMENT EMPLOYEES, ENTITLED TO THE FIXED RATE OF AT
LEAST SAIARY GRADE TEN (SG-10) UNDER THE SAIARY
STANDARDIZATION IAW, AS AMENDED, AND SIIALL HENCEFORTH
BE ENTITLEI) TO ALL THE BENEFITS PROVIDEI) BY THE
GOVERNMENT WHICH SIIALL INCLUDE BUT NOT LIMITED TO
SAIARIES, ALIIOWANCES, BENEFITS AND INCENTIVES APPLICABLE
TO ALL GOVERNMENT PERSONNEL. "
SEC. 3. Section 393 of RA 7160 i8 hereby amended to read as follows:
Section 393. ELcfit8 of Parangny Official8] MEMBERS 0F TIIE LUPON
TAGAPAMAYAPA AND BARANGAY TANODS. -
(a)  P&mngay officials, indudinal Barangay tanods and members of the lupong
tagapanayapa, shall receive bonorina, allowances, and such other emoluments as
ray be autho]=ized by law or barangay, municipal city or city ordinance in accordance
with the provisions of this Code, but in flo case shall it be less than [One] TWO
thousand pco8 [P1,000.00)I are,000.000) per month [fof the punong brmngry and
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treaeurcr, and barangny 9ccrctary]: Provided, however, That the annual
appropriations for personal services shall bc subject to the budgctary linitations
prescribed under Title Five, Book 11 of this Code;
(b) rrhc punong barangay, the sangguniang barangay members, the barangay treasurer,
and the barangay secretary] THE  BARANGAY TANODS AND MEMBERS
OF THE LUPON TAGAPAMAYAPA sham also:
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(1)  Be entitled to Chdstmas bonus of fat lcaet One thousmd pcoog 01,coo.00 cacb)
TWO TIIOUSAND PESOS @2,000.00), the funds for which sham be taken
ffom the general fuad of the barangay or from such other funds appropriated by
the natiotial gpvemment for the purpose;
(2) -x
(d)-
a) BE ENTITLED TO A LUMP SUM RETIREMENT GRATUITY PAY
EQUIVAIENT T0 ONE (1) YEAR HONORARIUM TO BE TAREN FROM
THE BARANGAY RETIREMENT GRATUITY FUND, AS MENTIONED IN
sEc'rloN 9 OF THls Ac'r: pRounEo, JIowETZR, THAT A RETIREE Is
AT LEAST slxry (6o) yEARs oF AGE wlTH A MINIMUM OF NINE (9)
YEARS IN SERVICE AT THE TIME OF THE RETIREMENT;
SEC. 4. A new Sec. 394-A shall bc inserted in RA 7160 to read as follows:
"SECTION 394-A COMPENSATION AND TERM OF OFFICE OF THE
BARANGAY SECRETARY. -THE BARANGAY SECRETARY SHALL BE
CONSIDERED AS A REGULAR GOVERNMENT EMPLOYEE AND
ENTITLED To THE FrxEI) RATE oF AT LEAST sAIAR¥ GRADE EIGHT
(SG-8) UNDER THE SAIARY STANDARDIZATION I.AW, AS AMENDED.
THE BARANGAY SECRETARY SIIAIL BE COTERMINUS WITH THE
APPOINTING AUTHORITY UNLESS SOONER REMOVED FOR CAUSE,
FOUND TO IIAVE FAILED FROM THE I)ISCIIARGE OF HIS OR HER
DUTIEs, OR HAs cOMMITrED ABusE OF AUTHORITy As
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STIPUIATED IN EXISTING IAWS PERTAINING TO THE CONDUCT OF
PUBLIC OFFICIAI.S, THROUGH A MAJORITY VOTE OF ALL THE
MEMBErs OF THE SANGGUNIANG BARANGAy IN A REGulAR OR
SPECIAL ASSEMBLY CALLED FOR THE PURPOSE."
SEC. 5. Sectioa 395 of RA 7160 is bcreby amended to read as follows:
Scc. 395. Barangay Treasurer: Appointment, Qualfications, Powers and Duties. -
®  The barangay treasurer shat be appointed by the punong barangry with the
concurrence of the majority of au the sangguniang barangry members. fFhe
Service frond3ion.I
@)  XEL
SEC. 6. A new Scc. 395-A shall be inserted in RA 7160 to read as fouows:
SECTON 395-A COMPENSATION AND TERM OF OFFICE OF
BARANGAY TREASURER. -THE BARANGAY TREASURER SIIALL BE
CONSIDERED AS A REGUIAR COVEENMENT EMPLOYEE AND
ENTITLED TO THE FIXED RATE OF AT IEAST SAIARY GRADE 8
UNDER THE SAIARY STANDARDIZATION IAW.
THE BARANGAY TREASURER SHALL BE COTERMINUS WITH THE
APPOINTING AUTHORITY UNLESS SOONER REMOVED FOR CAUSE
FOUND TO IIAVE FAILED FROM THE DISCIIARGE OF HIS OR HER
DUTIEs, OR HAs cOMMITrED ABusE OF AUTHORITy As
sTlpulATED IN ERISTING IAws PERTAINING To THE CONI)uc'r oF
PUBLIC OFFICIAIS, THROUGH A MAJORITY VOTE OF ALL THE
MEMBERS OF THE SANGGUNIANG BARANGAY IN A REGUIAR OR
SPECIAL ASSEMBLY CALLED FOR THE PURPOSE.
26                   SEC. 7. Creation of Barangay Retirement Gratuity Fund @RGF). -The Barangay
27       Rcdrrment Gratuity Fund is hereby crcatcd which sham be used to fund the govemment's share
28      in the retirement gratuity of barangay tanod§ and members of the Lupon ng Tagapanayapa, a§
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1       mentioned in this Act. This amount equivalent to one percent (10/ti) of the share of the national
2       govcmment under Section 284 of the I.ocal Govcmmcnt Code of 1991, as  amended, shall be
3       earmarked, set-aside and used for this purpose.
4                    The  Department  of the  Interior and  Ijocal  Government  (DILG)  sbau  administer  and
5       ensure the appropriate disbursement of the fund.
6                  i;HG. 8. Capacity Development and Enliancemcnt program fb[ Barangay ofHcials.
7      -The DILG, through the I.ocal Government Academy a,GA) shall develop capacity development
8       and enhancement programs for the punong Barangays, Members of the sangguniang Barangay,
9       Barangay  Secretaries,  Barangry  Treasurers,  Barangay  Tanods,  and  Members  of  the  Lupon
10      Txppamayapa.
11                    The Department of Finance POP, through the Bureau of Ilocal Government Finance
12       @LGF), shall assist in the development of programs for Barangay Treasures, and the Department
13       of justice @0]) shall assist in the development of programs for Barangay Tanods arid Members
14      of the Lupon Tagapanayapa-
15                    The programs shall develop comprehensive training manuals, and based thereon, conduct
16       the trainings necessary and appropriate to ensure the professioflalization of the aforernentioned
17       barangry officials, for the efficient delivery of services at the barangay level.
18                   SEC. 9. Jncomc Cra6Sr.ffc4a`on a/IBaraqgays. -The DOF, through the BLGF, shau
19       formulate an income classification of barangrys based on locally generated average annual income
20       for the last two (2) consecutive years based on 2000 constant prices. The avenge annual income
21       sham include the income accruing to the general fund, exclusive of special funds, transfers and non-
22      fecurigincomc.
23                    Based  ofl  this  income  classification,  the  DILG  and  the  Department  of Budget  and
24       Management @BM) shat issue the necessary rules and regulatiotis on the annual appropriations
25       for the newly created salary gndes, honorari and alowances of the identified officials under this
26       Act.
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1                   SEC.10. Implementing Rules and Regulations aRR) -The DBM, in coordination
2       with the Government service Insurance system (GSIS), the DILG, the DOT, and the DOF sham
3       issue the necessary rules and regulations to implement this Act.
4                    SEC.11. Funding source. -The amount necessary for the inplementation of this Act
5       sham be charged agrinst the respective fuids of both the Barangay and the city of Municipality
6       which it is part of. I.ocal government units which do not have adequate or sufficient funds shall
7       be assisted by the National Government.
8                    SEC.12. Applicabitity clause. -The provisions of this Act shall be apphcable to the
9       barangry elected and appointed officials identified under this Act, after the next barangay elections
10       fonowing the approval of this enactment of this Act.
11                    SEC.  8. Separability Clause -If any provision or part of this Act is held invald or
12       unconstitudonal, the remaining parts  or provisions not affected  shall remain  in  full  force  and
13       effect.
14                    SEC.  14.  Repealing  Clause.  -  All  laws,  executive  orders,  presidential  decrees  or
15       issunnces,  letters  of instmction,  administrative  orders,  rules,  and  regulations  as  weu  as  local
16      ordinances  contrafy  to  or inconsistent  with  the  provisions  of this  Act  are  hereby  repealed,
17      amended, or modified accordindy.
18                    SEC.  15.  Effectivity  Clause.  - This  Act  shall  take  effect  fifteen  ¢5)  days  after  its
19      puurcatiofl in the official Gazette of ill a newspapef of general cifculatioo.
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