FOURTEENTH CONGRESS OF THE 
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REPUBLIC OF THE PHILIPPINES 
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Second Regular Session 
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Introduced by Senator Antonio “Sonny” F. Trillanes IV 
EXPLANATORY NOTE 
Article 11, Section 9 of the Constitution affirms that the State shall promote a just and 
dynamic social order that will ensure the prosperity and independence of the nation and 
free the people from poverty through policies that provide adequate social services, 
promote full employment, a rising standard of living, and an improved quality of life for 
all. 
The present socio-economic condition of our country, however, runs counter to the 
aforesaid policy of the State. The Philippines has one of the highest levels of income 
inequality in Asia, with the poorest twenty percent (20%) of the population accounting 
for only five percent (5%) of total income or consumption.’ Poverty is most severe and 
most widespread in rural areas, where almost eighty percent (80%) of the country’s poor 
people live. Most of them depend for a livelihood on subsistence farming and fishing. 
This unrelenting rise of poverty incidence coupled with the low economic growth in the 
countryside have resulted to migration to urban areas. Urban poverty in the Philippines, 
especially in Metro Manila, has increased over the past three (3) years from 17.9% to 
20.4%.2 
Although there have been efforts to address the crisis of poverty through livelihood 
programs, with the direct involvement of government agencies and institutions, many 
problems persist. Lack of coordination among these agencies and wasteful duplication of 
efforts and initiatives are the most prominent of these problems. 
In lieu of this, this bill seeks to establish a National Livelihood Development Council 
which is tasked to formulate a comprehensive and integrated livelihood development 
program for the country. 
In view of the foregoing, the passage of this bill is earnestly sought. 
ANTb&O “SOMY” p. TRILLANES IV 
Senator 
I Infoonnotion ietrieved from: 
Retiieved on 22 July 2008. 
2 Infomiallon retrieved froin hilv://~~.adb.ar~R\iGOs/a~ie~l009,a~~, 
Retrieved on 22 July 2008 
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FOURTEENTH CONGRESS OF THE 
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Second Regular Session 
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SEI’ i 
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REPUBLIC OF THE PHILIPPINES 
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Introtlucetl by Senator Antonio “Sonny” I;. Trillancs I V  
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AN ACT 
CREATING THE NATIONAL LIVELIHOOD DEVELOPMENT COUNCIL 
THEREBY INSTITUTIONALIZING THE LIVELEIOOD MOVEMENT OF THE 
PHILIPPINES 
Be it enacted by the Senate and the House of Representatives of the Philppines in 
Congress assembled: 
SECTION 1. Title. - This Act shall he known as the “National Livelihood 
Development Act of 2008”. 
SEC. 2. Declaration ofPolicy. - It is hereby declared the policy of the State to 
free poor Filipinos from the bondage of poverty, improve their living conditions, and 
them the opportunity to increase their productive and income-earning capabilities through 
a comprehensive, integrated and effective national development program. 
The State shall pursue a Comprehensive national development program for the 
socio-economic upliftinent of the poorest sector of our population in order to integrate 
them into the mainstream of society, promote social justice and hasten the development 
and industrialization of the countryside. 
SEC. 3. Creation. - There is hereby created a National Livelihood development 
Council (NLDC), under the Office of the President of the livelihood-generating activities 
of all government agencies including government-owned and controlled corporations 
(GOCCs). 
SEC. 4. Purpose. - The Council shall formulate a comprehensive and integrated 
National Livelihood Development program and oversee bits implementation. It shall also 
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create mechanism and structures to integrate all livelihood initiatives particularly within 
the government sector. 
SEC. 5. Powers und Functions. - The Council shall have the following powers 
and functions: 
a. To formulate, in accordance with the bottom-up planning approach and in 
consultation with the concerned sectors, an integrated and comprehensive national 
livelihood development program; 
To formulate, in consultation with the concerned sectors, policies, standards, and 
guidelines which shall govern the implementation of livelihood programs and 
projects, including the identification and coordination of various types of assistance 
that should be provided to ensure their effective implementation; 
c. To review, amend, modify, and approves all livelihood programs submitted by 
implementing agencies including GOCCs, and to evaluate and recommend the 
budgetacy allocations of resouces for all livelihood programs and projects through 
the Department of Budget and Management (DBM), as well as review and endorse to 
the National Economic Development Authority W D A )  all requests for foreign 
financing whether in the form of grants, donations, or loans; 
d. To monitor and evaluate the implementation of livelihood programs and projects and 
institute measures to address identified gaps, as well as decide on whether or not a 
certain livelihood program or project based on monitoring and evaluation results; 
e. To establish effective unified mechanisms for program planning and implementation; 
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To review, amend, modify, and approve all provincial/city livelihood development 
programs with national funding to ensure that these conform and are consistent with 
the various agencies plans and programs; 
g. To provide and disseminate information and data on livelihood projects initiatives 
and concerns to agencies concerned and point out actual or possible duplication 
among livelihood projects; 
b. 
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h. To authorize expenditures of the Council as may be necessary for the proper, efficient 
and effective administration of the National Livelihood Development Program; 
To promulgate rules and regulations as may be necessary for the effective exercise of 
the powers and functions of the Council; 
To improve and recommend to the Department of Budget and Management the 
annual and supplemental budgets for the Council; 
k. To create form among themselves such working committees necessary for the 
efficient and effective operation of the Council; 
To support the promotion and marketing of livelihood enterprises; and 
i. 
j. 
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in. To provide a continuing education and information dissemination program on 
enterprise management. 
SEC. 6. Composition of the Council. - The Council shall be composed of a 
Chairman to be appointed by the President of the Philippines and the following as 
members: 
a. The most senior official directly responsible for the overall management of livelihood 
programs and projects of the following agencies: the Department of Social Welfare 
and Development (DSWD), the Department of Trade and Industry (DTI), the 
Department of Interior and Local Government, the Department of Agrarian reform 
(DAR); and the Department of Environment and natural Resources (DENR). 
b. Heads of the Livelihood Corporation and the Technology and Livelihood Resource 
Center; 
c. The most senior official of each Government Financing Institutions directly 
responsible for the overall management of the agency’s livelihood assistance program 
andor lending window; 
d. Head of the NEDA Social Development Committee; 
e. Two (2) non-governmental organization representatives involved in livelihood 
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programs, to be chosen by the same sector through a process designed by them; 
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f. Five (5) private sector representatives designated by the private sector representatives 
designated by the Council coming froin any of following sectors: agriculture, 
industry, youth and financebanking; and 
g. Two (2) representatives of people’s organization to be chosen by the same sector 
through a process designated by them. 
SEC. 7. Secretnrinf. - To render technical and administrative support, the 
Livelihood Corporation, created under the Executive Order No. 866, shall provide the 
Secretariat which shall be headed by an Executive Director to be appointed by the 
Chairman of the Council. 
The Secretariat shall work closely with the provincialicity livelihood committees 
on the aspects of monitoring and evaluating the implementation of livelihood programs. 
SEC. 8. Local Livelihood Committees. - The ProvincialiCity Livelihood 
Committee shall be composed of the provincial/city representatives of the member 
government agencies of the Council. The Committees shall report to the Secretariat with 
respect to the implementation of livelihood programs of the respective agencies in line 
with policies of the Council. The PLC shall be responsible for preparing a provincial/city 
livelihood developinent plan for submission to and approval by the Council. The 
provincial/city livelihood development plan shall he formulated and implemented with 
maximuin participation and involvement of NGOs and POs in the concerned 
province/city . 
SEC. 9. Implementing Guidelines. - The Council shall formulate and issue 
within six (6) months after the approval of this Act the necessary implementing 
guidelines which shall include but not limited to the following: 
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a. Definition of Livelihood Programs and Projects 
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b. Livelihood programs and projects shall include all those activities and schemes 
involving government funds that are allocated to non-government recipients in order 
to generate income and employment; and 
c. Eligibility Criteria 
To be qualified for appropriate assistance, an individual or group proponent must belong 
to any of the following categories: 
1. Those who are barely able to survive because of severe material and/or social 
deprivation and with no regular sufficient income; 
2. Those with regular but low income @e., miniinum wage); 
3. Micro entrepreneurs and wage earners with regular income above the minimum 
wage but not sufficient to maintain a family life; and 
4. Small and starting entrepreneurs and professionals, farmers and fishermen with 
viable operations and projects needing some assistance to stabilize or expand their 
enterprises. 
The Council shall adopt a framework that recognizes the developmental stages inherent 
in the objective of graduating as many of the poor outside of the poverty continuum. In 
this regard, the Council is empowered to identify and/or specify the roles of each 
government financial institutions. 
SEC. 10. Powers and Functions of the Council Chairman. -The Chairman shall 
have the following powers and functions: 
a. To preside over all meetings of the Council; 
b. To exercise overall supervision of the activities of the Council; and 
c. To execute in behalf of the Council any contract or agreement as may be necessary 
for proper, efficient and effective administration of the Council. 
SEC. 11. Powers and Duties of Executive Director. - The Executive Director 
shall exercise the following powers and duties: 
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a. To execute the policies, guidelines and programs approved by the Council and to be 
responsible for the efficient discharge of management and operational functions of 
the Council; 
b. To recommend the organizational structure and staffing pattern of the Secretariat to 
the Council; 
To review and submit for the consideration and approval of the Council proposed 
measures, policies, guidelines, and programs, as she may deem necessary for the 
effective iinplementation of this Act; 
d. To direct and supervise the day to day operations of the Secretariat; and 
e. To exercise such powers and functions and perform such other duties as may be 
vested or imposed upon him by the Council. 
c. 
SEC. 12. Appropriations. - Such sums as may be necessary to carry out the 
provisions of this Act shall be included in the General Appropriations Act of the year 
following its enactment into law and thereafter. 
SEC. 13. Annual Report. - The Council shall submit to the President of the 
Senate and the Speaker of the House of Representatives an annual report on its operations 
and accomplishments. 
SEC. 14. Repealing Clause. -All laws, executive orders, rules and regulations or 
parts thereof, inconsistent with this Acvt are hereby repealed, amended, modified 
accordingly. The provisions of this Act shall not be repealed, amended or modified, 
unless expressly so provided in subsequent general or special laws. 
SEC. 15. Effectivity Clause. - This Act shall take effect fifteen (15) days 
following its complete publication in the Uflcial Guzette or in a newspaper of general 
circulation in the Philippines, 
Approved, 
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