EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
SENATE
Senate Bill No. 1419
^ TIME:
INDEX
INTRODUCED BY SENATOR CHRISTOPHER LAWRENCE "BONG" T. GO
AN ACT
PROVIDING FOR A UNIFIED SYSTEM FOR SEPARATION. RETIREMENT, AND 
PENSION OF THE MILITARY AND UNIFORMED PERSONNEL (MUP) SERVICES 
OF THE REPUBLIC OF THE PHILIPPINES, CREATING THE MILITARY AND 
UNIFORM PERSONNEL RETIREMENT FUND AUTHORITY, PROVIDING FUNDS 
THEREFOR. AND FOR OTHER PURPOSES
EXPLANATORY NOTE
The 1987 Constitution mandates the State to strengthen the patriotic spirit and 
nationalist consciousness of the military, as well as to ensure professionalism in the 
service and adequate remuneration and benefits of its members. Indeed, the 
Constitution recognizes the invaluable role of the military and uniformed personnel in 
protecting the nation and its citizens from threats, both within and without the country's 
borders.
However, in certain instances, reform in the system of benefits for the military 
and uniformed personnel is necessary to achieve a balance between governmental 
interest and the mandate to ensure the provision on adequate remuneration and 
benefits to them. After all, the Constitution also states that the State shall, from time to 
time, review to upgrade the pensions and other benefits due to retirees of both the 
government and the private sectors.


That time is now. In his 2017 budget message, President Rodrigo Duterte 
emphasized that reform should be pursued "in view of the ballooning budget burden 
where the total cost of the pensions of retired soldiers will exceed the compensation of 
those in active service."1
This proposed measure seeks to maintain financial flexibility on the part of the 
government while also ensuring that the State can and will continue to provide 
adequate benefits and remuneration to our men and women in uniform.
In view of the foregoing, the passage of the bill is urgerftly sought.
SENATOR CHRISTOP
LAWRENCE "BONG" T. GO
1 CNN Philippines Staff, “Duterte wants urgent reform of military pension system,” CNN Philippines, available at 
https://cnnphilippines.eom/news/2Q19/02/07/duterte-militarv-pension-svstem-refoiTn.html. last accessed 02 March 
2020.


EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
SENATE
Senate Bill No. 1419
RECEIVED
fMAR 2 3 20S
ui
TIME
INDEX
BILLS
INTRODUCED BY SENATOR CHRISTOPHER LAWRENCE ''BONG" T. GO
AN ACT
PROVIDING FOR A UNIFIED SYSTEM FOR SEPARATION, RETIREMENT, AND 
PENSION OF THE MILITARY AND UNIFORMED PERSONNEL (MUP) SERVICES 
OF THE REPUBLIC OF THE PHILIPPINES, CREATING THE MILITARY AND 
UNIFORM PERSONNEL RETIREMENT FUND AUTHORITY, PROVIDING FUNDS 
THEREFOR, AND FOR OTHER PURPOSES
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled:
Section 1. Short Title. This Act shall be known as the "Military and Uniformed 
Personnel Services Separation, Retirement, and Pension Act of 2020."
Title I
Declaration of Policy
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Sec. 2. Declaration of Policy. The State duly recognizes the vital role of military
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and uniformed personnel in providing internal and external security, promoting peace
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and order, ensuring public safety, and further strengthening local government
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capability, aimed towards the effective delivery of basic services to the citizenry.
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The State also recognizes the extraordinary hazards, risks, perils, and dangers
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that military and uniformed personnel encounter in the performance of their duties.
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It shall therefore be the prime concern of the State to provide all military and 
uniformed personnel adequate remuneration and benefits, including retirement benefits 
and pension. The State shall ensure that the retirement benefits and pension scheme of 
the military and uniformed personnel is secure, reliable, and sustainable.
Title II
Definition of Terms
Sec. 3. Definition of Terms. - For the purposes of this Act:
a. "Military and Uniformed Services" shall refer to the Armed Forces of the 
Philippines (AFP), Philippine National Police (PNP), Philippine Coast Guard (PCG), 
Bureau of Fire Protection (BFP), Bureau of Jail Management and Penology 
(BJMP), Bureau of Corrections (BuCor), and employees of National Mapping and 
Resource Information Agency (NAMRIA) who were Philippine Navy officers and 
enlisted personnel and members of the defunct Philippine Navy Coast and 
Geodetic Survey that became the nucleus of the NAMRIA:
b. "New Entrants" shall refer to military and uniformed personnel from the Military 
and Uniformed Services who entered the Military and Uniformed Services after 
the effectivity of this Act;
c. "Active Members" shall refer to military and uniformed personnel from the 
Military and Uniformed Services in the Active Service, and those who shall enter 
into the Military and Uniformed Services before the effectivity of this Act;
d. "Active Service" shall mean Active Service rendered by a Military or Uniformed 
Services Personnel as a commissioned officer, non-commissioned officer, enlisted 
personnel, cadet, probationary officer, trainee or draftee in the Military or 
Uniformed Services and service rendered by him/her as a civilian official or


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employee in the Philippine Government prior to the date of his/her separation or 
retirement from the Military or Uniformed Services, for which armed and/or 
civilian service he/she shail have received pay from the Philippine Government 
and/or such others as may hereafter be prescribed by law as Active Service; 
Provided, That for purposes of retirement, he/she shall have rendered at least 
ten (10) years of Active Service as an officer or enlisted man in the Military or 
Uniformed Services: Provided, further. That no period of such civiiian 
government service longer than his/her active armed service shall be credited for 
purposes of retirement: Provided, finally. That service rendered as a cadet, 
probationary officer, trainee or draftee in the Military or Uniformed Services shall 
be credited for retirement purposes with a maximum of four (4) years, subject to 
applicable rules and regulations;
e. "Total permanent physical disability" shail mean the anatomical loss or the 
permanent loss of use of both hands, of both feet, of both eyes, of both ears or 
any combination, or loss of mental faculties, as determined by the medical board 
created for the purpose:
f. "Survivors" shall mean:
1. Surviving spouse of a deceased Military or Uniformed Services Personnel not 
legally separated by judicial decree from the deceased issued on grounds not 
attributable to said spouse, and such marriage was contracted during the 
Active Service of the deceased: Provided, That entitlement of said spouse to 
benefits under this Act shall terminate upon re-marriage or co-habitation with 
another, or the commission of any of the acts amounting to "physical 
violence", "sexual violence", "psychological violence", or "economic abuse" 
against the biological or adopted children of the deceased as defined in 
Republic Act No. 9262, as determined by a Board created for the purpose; 
Provided, further. That the conviction of the surviving spouse of any crime


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which carries a penalty of imprisonment of more than six (6) years and one 
(1) day, the conception of a child after the death of the deceased, or loss of 
Philippine Citizenship shall terminate the entitlement of such surviving spouse 
to benefits under this Act;
2. Surviving legitimate, adopted and illegitimate children of a deceased Military 
or Uniformed Services Personnel conceived, adopted or acknowledged prior 
to separation or retirement of the parent from active service: Provided, That 
entitlement of said children to benefits under this Act shall terminate when 
such children attain twenty-one (21) years of age or upon marriage, 
whichever is earlier: Provided, further. That children who suffer from total 
permanent disability as defined in this Act, shall be entitled to benefits under 
this Act for their lifetime: Provided, finally. That the conviction of the 
surviving child of any crime which carries a penalty of imprisonment of more 
than six (6) years and one (1) day. or loss of Philippine Citizenship shall 
terminate the entitlement of such child to benefits under this Act:
3. In default of those mentioned in sub-paragraphs f (1) and (2) above, 
surviving parents of a deceased Military or Uniformed Services Personnel who 
are primarily dependent on the deceased for support, or in default thereof, 
surviving siblings who are under twenty-one (21) years of age and 
unmarried: Provided, That the conviction of the parent or sibling of the 
deceased for any crime which carries a penalty of imprisonment of more than 
six (6) years and one (1) day, or loss of Philippine Citizenship shall terminate 
the entitlement of such parent or sibling to benefits under this Act:
g. "Death or physical disability in line of duty" shall refer to death, illness or injury 
incurred while in the Active Service and not attended by misconduct, willful 
failure, the use of drugs or alcoholic liquor or vicious or immoral habits.


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Title III 
Applicability
Sec. 4. Applicability. - This Act shall apply only to all new entrants of the Military 
and Uniformed Services unless otherwise specified in the succeeding provisions of this 
Act.
Title IV 
Retirement
Sec. 5. Compulsory Retirement. - The following active Military or Uniformed 
Services Personnel shall be compulsorily retired:
a. Those who attain the age of sixty five (65); provided, that he/she has 
accumulated at least thirty (30) years of satisfactory Active Service;
b. Those who suffer death in line of duty: provided, that he/she has accumulated at 
least thirty (30) years of satisfactory Active Service:
c. Those who incur total permanent physical disability in line of duty: Provided, 
That he/she has accumulated at least thirty (30) years of satisfactory Active 
Service:
d. Those who are killed in action:
e. Those who are wounded in action and incur total permanent physical disability as 
a result thereof;
f. Those subject to attrition, as provided in Section 8 of this Act; provided, that 
he/she has accumulated at least thirty (30) years of satisfactory Active Service: 
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g. Those separated by the appropriate Disciplinary Board under Section 14 of this 
Act; provided, that he/she has accumulated at least thirty (30) years of 
satisfactory Active Service.
Sec. 6. Voluntary Retirement - Upon accumulation of at least thirty (30) years of 
satisfactory Active Service, a Military or Uniformed Services Personnel may, at 
his/her own request, be retired from Active Service, subject to the approval of 
appropriate authority as provided in the Implementing Rules and Regulations of this 
Act.
Title V 
Separation
Sec. 7. Compulsory Separation. - The following Military or Uniformed Services 
Personnel shall be compulsorily separated from the Active Service:
a. Those who attain the age of sixty five (65) without having accumulated at least 
thirty (30) years of satisfactory Active Service;
b. Those who suffer death in line of duty but without having accumulated at least 
thirty (30) years of satisfactory Active Service;
c. Those who incur total permanent physical disability in line of duty but without 
having accumulated at least thirty (30) years of satisfactory Active Service;
d. Those subject to attrition, as provided in Section 8 of this Act, without having 
accumulated at least thirty (30) years of satisfactory Active Service; or


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e. Those separated by the appropriate Disciplinary Board under Section 14 of this 
Act without having accumulated at least thirty (30) years of satisfactory Active 
Service.
Sec. 8. Attrition. - The attrition systems of Military or Uniformed Services shall be 
provided for in the Implementing Rules and Regulations of this Act.
Sec. 9. Voiuntary Separation. - A Military or Uniformed Services Personnel, who 
has not accumulated at least thirty (30) years of satisfactory Active Service, may, at
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his/her own request, resign from Active Service, subject to the approval of appropriate
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authority as provided in the Implementing Rules and Regulations of this Act.
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Title VI
Retirement and Separation Benefits
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Sec. 10. Gratuity and Retirement Pay. - When a Military or Uniformed Services
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Personnel is retired under Title IV of this Act, he/she shall, at his/her option, receive:
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a. Gratuity Pay - equivalent to one (1) month of base and longevity pay of the 
permanent grade last held for every year of service payable in one (1) lump 
sum; or
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b. Retirement Pay - a monthly retirement pay equivalent to two and one-half 
percent (2 1/2%) for each year of Active Service rendered, but not exceeding 
ninety percent (90%) of the monthly base and longevity pay of the permanent 
grade last held; provided, further, that when he/she retires, he/she shall be 
entitled to receive a lump sum equal to eighteen (18) months of his monthly 
retirement pay, and thereafter receive his/her annual retirement pay payable in 
equal monthly installments upon reaching sixty (60) years of age; provided, 
finally, that if he/she dies before his/her retirement pay begins to accrue, and is


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survived by beneficiaries as defined in this Act, the latter shall receive only the 
derivative benefits thereunder when they accrue.
Pension payments for those retired under Title IV shall commence immediately
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after their retirement from the service, except for those retired due to Attrition under
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Section 5 (f). Honorably Discharged under Section 5 (g), and those who avail of
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Voluntary Retirement under Section 6 shall be eligible to receive monthly retirement pay
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only upon reaching the age of sixty (60); provided, further, that the retirement pay of
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those that are Killed in Action under Section 5 (d), and those that are Wounded in
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Action resulting in Total Permanent Disability shall be computed at the rate of ninety
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(90%) of their monthly base and longevity pay regardless of their years in Active
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Service: provided, finally, that nothing in this Section shall be construed as authorizing
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adjustment of pay, or payment of any differential in retirement pay to Military or
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Uniformed Services Personnel who are already retired prior to the approval of this Act 
as a result of increases in salary of those in the Active Service may have their 
retirement pension adjusted based on the rank they hold and on the prevailing pay of 
military personnel in the Active Service, at the time of the termination of their recall to 
Active Service.
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Sec. 11. Separation Pay. - Except for those provided for in Section 13 of this Act, 
when a Military or Uniformed Services Personnel is separated from the service under 
Section 7 and Section 9 of Title V of this Act, he/she, or his/her survivors as defined in
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this Act, shall receive a separation pay equivalent to one-month base plus longevity pay
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of the permanent grade he/she holds for every year of Active Service: provided, that
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nothing in this Section shall be construed as authorizing adjustment of pay, or payment
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of any differential in separation pay to Military or Uniformed Services Personnel who are
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already retired or separated from the service prior to the approval of this Act as a result
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of increases in salary granted to Military or Uniformed Services Personnel in Active
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Service.
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Sec. 12. Survivorship Benefits. - The qualified survivors, as defined in this Act, of
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a deceased Military or Uniformed Services Personnel retired under Title IV, and Section
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7 (b) and 7 (c) of Title V of this Act shall be entitled to a monthly annuity equivalent to
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receiving to be divided among them in equal shares and with the right of accretion;
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percent (50%) of the base and longevity pay of the permanent grade last held.
Sec. 13. Benefits for Death and Total Permanent Disability in Line of Duty. - A
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Military or Uniformed Services Personnel separated under Section 7(b) and 7(c) of Title
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V of this Act shall be entitled to a monthly life annuity the amount of which shall be fifty
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per centum (50%) of the base and longevity pay computed on the basis of his/her
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actual rank held at time of death or disability.
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Sec. 14. Separation by the Disciplinary Board. - A Military or Uniformed Services
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Personnel referred to and found by the appropriate Disciplinary Board not fit for
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retention in the Active Service because of substandard performance, low potentiality,
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doubtful integrity and/or acts inconsistent with the best interest of the service shall be
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separated from the Active Service, subject to the approval of appropriate Disciplining
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Authority as provided in the Implementing Rules and Regulations of this Act; provided,
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that the Disciplining Authority, based on the facts and circumstances of the case, shall
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determine whether the subject Military or Uniformed Services Personnel shall be
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granted an Honorable Discharge and is entitled to receive benefits under Sections 10 or
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11, as applicable, of Title VI of this Act, otherwise, all benefits under this act shall be
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forfeited.
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Sec. 15. Disability Pension. - A Military or Uniformed Services Personnel retired
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for disability which is the proximate result of wounds or injuries received or sickness or
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disease incurred in line of duty or as a battle casualty shall receive, in addition to the
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other benefits under this Act, Disability Pension fixed as follows:


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a. If and while the disability is rated twenty-five percent (25%), the monthly 
pension shall be PHP 2,500.00;
b. If and while the disability is rated fifty percent (50%), the monthly pension shall 
be PHP 5,000.00;
c. If and while the disability is rated sixty percent (60%), the monthly pension shall 
be PHP 6,000.00;
d. If and while the disability is rated seventy percent (70%), the monthly pension 
shall be PHP 7,000.00;
e. If and while the disability is rated eighty percent (80%), the monthly pension 
shall be PHP 8,000.00;
f. If and while the disability is rated ninety percent (90%), the monthly pension 
shall be PHP 9,000.00; or
g. If and while the disability is rated one hundred percent (100%), the monthly 
pension shall be PHP 10,000.00.
Sec. 16. Manner of Increase of Pension Benefits. - The automatic indexing of 
Gratuity and Retirement Pay, and Survivorship Benefits of pensioners with the salary 
increases of active Military and Uniformed Services Personnel is hereby terminated.
Pension benefits shall be reviewed annually and increases and/or adjustments in 
Gratuity and Retirement Pay, and Survivorship Benefits, will be based on the 
recommendation of the actuary of the Pension Fund and approved by the Board of
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(MUPRF).
Title VII
Military and Uniformed Personnel Retirement Fund
Sec. 17. Creation of the Military and Uniformed Personnel Fund Authority. - For
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the purpose of carrying out and effecting the declared policy, as provided for in Section
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2 hereof, there is hereby created a government instrumentality with corporate powers
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as defined in Section 3 (n) of Republic Act No. 10149 or the GOCC Governance Act of
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2011, to be known as the Military and Uniformed Personnel Fund Authority which shall
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be organized within six (6) months from the approval of this Act. The Authority shall
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execute its powers and functions through its Board of Directors, in such a manner, as
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will, in its judgment, aid to the fullest possible extent in carrying out the aims and
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purposes of this Act.
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Sec. 18. Board of Directors, Composition. - The powers and functions of the
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Authority shall be exercised by the Board of Directors composed by the Chairman and
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President of the Authority, which shall be appointed by the President of the Philippines,
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and ten (10) other members: four (4) of whom shall be ex-officio Members from the
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Department of National Defense, Department of the Interior and Local Government,
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Department of Justice, Department of Transportation, Department of Finance and
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Department of Budget and Management as designated by the concerned Department
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Secretary from the undersecretaries of the concerned Departments: another three (3)
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shall be appointed by the President of the Philippines from the banking, finance,
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investment, and insurance sector, and one (1) shall be appointed by the President of
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the Philippines from the legal profession. The Board of Directors shall elect from
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amongst themselves a Vice-Chairman.
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The Members of the Board the Department Undersecretaries, shall hold office for 
six (6) years without reappointment, or until their successors are duly appointed and 
qualified. Vacancy, other than through the expiration of the term, shall be filled for the 
unexpired term only: provided, that, the Chairman and President shall be initially 
appointed to a six (6) year term, and one (1) member to a five (5) year term, one (1) 
member to a four (4) year term, one (1) member to a three (3) year term, and the 
representative from the legal profession to an initial term of two (2) years.
Sec. 19. Funding Sources. - Aside from the initial proposed capitalization, the 
MUPRF shall be funded through the following:
a. Mandatory Contributions. - It shall be mandatory for New Entrants and Active 
Members to contribute a percentage of their monthly compensation as their 
personal share to the MUPRF, the National Government shall allocate its share in 
the contribution sourced from the annual General Appropriations Act, allocated 
as follows:
1. For the first three (3) years after the effectivity of this Act, New Entrants and 
Active Members shall contribute five percent (5%) of their monthly base and 
longevity pay as personal share, while the National Government shall provide 
an equivalent of twenty-two (22%) as its share;
2. After such period, for the next three years. New Entrants and Active Members 
shall contribute seven percent (7%), while the National Government shall 
provide twenty percent (20%); and
3. For every year thereafter. New Entrants and Active Members shall contribute 
nine percent (9%) and the National Government shall provide eighteen 
percent (18%).
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4. Additional funds to cover past service of Active Members subject to the 
recommendation of the actuary of the Pension Fund and approved by the 
Board of Directors of the Fund Manager of the Military and Uniformed 
Personnel Retirement Fund (MUPRF).
b. Additional Sources of Funding. - Additional funds for the maintenance of the 
MUPRF shall be sourced from the proceeds derived from the lease, joint 
development, or disposition of the assets of the Military and Uniformed Services, 
and other government properties identified for that purpose.
Sec. 20. Termination of Other Contributions of the Same Nature. - Upon the
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effectivity of this Act, other mandatory contributions by Military and Uniformed Services
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Personnel in the same nature and purpose, for their retirement benefits and pension,
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shall immediately cease and be subject to the provisions of this Act instead.
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Sec. 21. Retirement Grade. - Military and Uniformed Services members, officers
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and other ranks, covered under this Act shall be retired in the grade they hold at the
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time of their retirement.
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Title VIII
General Provisions
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Sec. 22. Retired List. - Military and Uniformed Service Personnel retired under
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Title IV of this Act shall be carried in the retired list of the applicable Military and
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Uniformed Services. The name of a retiree who loses his/her Filipino citizenship shall be
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removed from the Retired List and his/her retirement benefits terminated upon such
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loss.
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Sec. 23. Recall to Active Service. - (1) AFP Personnel carried in the retired list
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shall be subject to the Articles of War and may be recalled at any time by the President
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to Active Service in the permanent grade last held upon retirement. His/her refusal to
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perform such duty shall be a ground for court-martial under Article 97 of the Articles of
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War and subsequent termination of payments of benefits as determined by the court
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martial.
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(2) When recalled to Active Service, a retiree shall receive the pay and
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allowances of the permanent grade last held and shall continue to be carried in the
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retired list and shall be eligible for promotion in the retired list as long as he/she
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remains in active status.
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Sec. 24. Non-Encumbrance of Benefits. - The benefits authorized under this Act,
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except as provided herein, shall not be subject to attachment, garnishment, levy,
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execution or any tax whatsoever; neither shall they be assigned, ceded, or conveyed to
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any third person; provided, that if a retired or separated Military or Uniformed Services
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Personnel who is entitled to any benefit under this Act has unsettled money and/or
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property accountabilities incurred while in the Active Service, not more than fifty
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percent (50%) of the pension gratuity or other payment due such Military or Uniformed
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Services Personnel or his/her survivors under this Act may be withheld and be applied
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to settle such accountabilities.
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Sec. 25. Accrual of Benefits to Personnel Separated by Court Martial. - The
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benefits authorized under this Act shall accrue to AFP Personnel separated by court
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martial action except when non-entitlement of such benefits is expressly adjudged by
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the military court and approved by the approving authority.
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Sec. 26. Non-Diminution of Benefits. - Nothing in this Act shall be construed in
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any manner to reduce whatever retirement and separation pay or gratuity or other
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monetary benefits which any person is heretofore receiving or is entitled to receive
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under the provisions of existing law.
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Title IX
Miscellaneous Provisions
Sec. 27. Pena! Clause. - Any person found to have participated directly or 
indirectly in the commission of fraud, falsification, misrepresentation of facts, collusion 
or any similar anomaly in the issuance of any certificate or document for any purpose 
connected with this Act shall upon conviction be punished by a fine of not less than the
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amount defrauded but not more than threefold such amount and/or imprisonment of
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not less than six (6) months and one (1) day to six (6) years and perpetual
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disqualification from holding public office and from practicing any profession or calling
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licensed by the government.
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Sec. 28. Rules and Regulations. - Within sixty days (60) days upon the effectivity
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of this Act, the Department of Finance, Department of National Defense, Department of
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the Interior and Local Government, Department of Justice, Department of
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Transportation, Department of Environment and Natural Resources, Government
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Service Insurance System, and the Department of Budget and Management, in
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coordination with the AFP, PNP, PCG, BJMP, BFP, BuCor and NAMRIA and other relevant
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offices shall formulate and issue the Implementing Rules and Regulations necessary for
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the effective implementation hereof.
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Sec. 29. Repealing and Modifying Clause. - Presidential Decree No. 1656,
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Presidential Decree No. 1638, Republic Act No. 340, Republic Act No. 5976, Republic
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Act No. 6975, Republic Act No. 8551, Republic Act No. 9263, Republic Act No. 9993,
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Republic Act No. 10575, and all laws, rules and regulations, and other issuances or
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parts thereof, which are inconsistent with the provisions of this Act are hereby repealed
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or modified accordingly.
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Sec. 30. Separability Clause. - If any provision of this Act shall be declared 
invalid or unconstitutional, the remaining parts or provisions not otherwise affected 
shall remain in force and effect.
Sec. 30. Effectivity Clause. - This Act shall take effect fifteen (15) days following 
its complete publication in the Official Gazette or in two (2) national newspapers of 
general circulation.
Approved,
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