FOURTEENTH CONGRESS OF THE 
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First Regular Session 
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REPUBLIC OF THE PHILIPPINES 
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I%Y 14 F’l .‘T 
S.NO. 
2281 
Introduced by Senator Antonio “Sonny” F. Trillanes IV 
EXPLANATORY NOTE 
The &earages payable to the Filipino veterans continue to escalate perennially. From 1994 to 
1998, the government owed the veterans a total amount of P10.9 billion in arrears. By the end of 
2006, the Philippine Veterans Affairs Office (PVAO) has reported that the total estimated 
arrearages has already accumulated to P21 billion. This amount does not include the arrears in 
old-age pensions, death pensions and educational benefits amounting to P5.4 billion which the 
national government has been paying since 2006 until 2008. 
In 1994, Republic Act No. 7696 entitled, ‘‘An Act Amending Certain Sect/ons of Republic Act 
No. 6948 Otherwise Known As iZn Act Standardizing and Upgrading The BeneJits For Military 
Veterans And Their Dependents ’, ” was enacted to provide comprehensive benefits to war 
veterans, military retirees and their surviving spouses and dependents. Through the years, 
however, the national govemment was not able to fulfill its commitment to pay such benefits due 
to inadequate budgetary appropriations. Therefore, a plan must be put in place on how to settle 
these obligations. 
This bill seeks to utilize the proceeds from the development, lease, or other use of government 
properties for the payment of these arrearages. In the process, the national government will 
accomplish its constitutional mandate of providing assistance to said beneficiaries without 
affecting the national budget. 
In light of the foregoing, an urgent passage of this bill is earnestly requested. 
A ~ T O ~ I O  
“somy” F. TFULLANES IV 
Senator 
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MAY 14 ;’ 1 1- 
(’5 
FOURTEENTH CONGRESS OF THE 
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REPUBLIC OF THE PHILIPPINES 
1 
First Regular Session 
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SENATE 
S. NO. 
Introduced by Senator Antonio “Sonny” F. Trillanes IV 
AN ACT 
PROVIDING FOR THE PAYMENT OF ARREARS IN THE VETERANS’ PENSIONS 
AND BENEFITS MANDATED PURSUANT TO REPUBLIC ACT NO. 7696, AS 
AMENDED, OTHERWISE KNOWN AS AN 
ACT 
STANDARDIZING AND 
UPGRADING THE BENEFITS FOR MILTTARY VETERANS AND THEIR 
DEPENDENTS AND APPROPRIATING FUNDS THEREFOR 
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled: 
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SECTION 1. Declaration of Policy. It is hereby declared the policy of the State to 
2 . provide immediate and adequate care and benefits to war veterans by allotting the necessary 
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funds to pay for the arrears in the payment of pensions and other benefits of the veterans and 
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military retirees or their dependents. 
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Ermita, Manila; 
SEC. 2. Coverage This Act shall apply to the sale, lease, development or use of the 
following properties of the government: 
a. 
Former site of the Philippine Veterans Affairs Office (PVAO) at Arroceros Street, 
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b. 
Veterans Memorial Medical Center in Quezon City; 
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c. 
Taguig Industrial Estates; 
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d. 
Properties given by the Japanese government to the Philippines government under 
the Reparations Agreement, including the Roponggi, Nampeidai and Fujimi properties in Tokyo, 
and the Noniwacho and Obanoyama in Kobe; and 
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e. 
Other properties that may be identified by the Office of the President. 
SEC. 3. Privatization and Management Office. The Privatization and Management 
Office (PMO) of the Department of Finance is hereby authorized to implement the actual 
marketing for the sale, lease, development or use of the above properties and to perform the 
following: 
a. Execute and deliver, on behalf of the national government, the deeds, contracts and 
other instruments as may be necessary or appropriate to effect the lease, development or use of 
said properties; 
b. Engage external expertise as may be necessary in the fulfillment of its tasks; 
c. Submit periodic reports to the PVAO on the status of private sector participation in 
the lease, development or use of said properties; and] 
d. Adopt such rules and regulations as may be necessary to effect the provisions of this 
Act. 
SEC. 4. Funding Source. All proceeds from the sale, lease, development or use of the 
properties mentioned in Section 2 hereof shall be utilized to fund the pension and benefits of 
veterans and military retirees, whether in arrears or due for payment by the national government: 
Provided, That any shortfall in payment of pensions and benefits to veterans and military retirees 
shall be settled by the national government from other sources. 
All proceeds and receipts from the lease, development or use of said properties except 
operational expenses shall be remitted directly to any government bank as the depository bank 
and managed by the Philippine Veterans Affairs Office for purposes of Automatic distribution of 
pensions and benefits directly to war veterans and military retirees. 
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SIX 5. Implementing Rules and Regulations. The Secretary of National Defense shall, 
in coordination with the Secretary of Finance, issue the necessary rules and regulations for the 
effective implementation of this Act within six (6) months after its effectivity. 
SEC. 6. Repealing Clause. All laws, decrees, executive orders, issuances, rules and 
regulations, or parts thereof inconsistent with the provisions of this Act are hereby repealed or 
modified accordingly. 
SEC. 7. Effectiviv Clause. This Act shall take effect fifteen (15) days after its complete 
publication in at least two (2) newspapers of general circulation. 
Approved, 
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