HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila
Philippines

SIXTEENTH CONGRESS
FIRST REGULAR SESSION

HOUSE BILL NO. 4 265

Introduced by CIBAC Party List Representative
Shenwin Tugna

AN ACT PROVIDING FOR THE MAINTENANCE AND WELFARE OF SENIOR
CITIZENS, FURTHER AMENDING REPUBLIC ACT NO. 7432, AS AMENDED,
AND FOR OTHER PURPOSES

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

EXPLANATORY NOTE

The Constitution recognizes the need to “give highest priority to the
enactment of measures that protect and enhance the right of all the people to human
dignity, reduce social, economic, and political inequalities, and remove cultural
inequities by equitably diffusing wealth and political power for the common good,”

Senior citizens comprise 6.8% of the 92.1 million household population of the
Philippines in 2010 as shown by the 14" census conducted. Six (6) regions had
proportion of senior citizens compared to their region’s total population higher than
the national figure namely: 1) Region | (16.6 percent); 2) Region VI (7.9 percent); 3)
Region VIII (7.6 percent); 4) Region VII (7.5 percent); 5) Region V (7.2 percent); and
6) Region Ill (7.1 percent).' It is projected that senior citizens will increase to
approximately 7.8% by the end of the current administration.?

Many of the senior citizens are already retired from employment, and many of
them have their retirement pensions as the only regular source of income. The
number of GSIS pensioners who are senior citizens increased by 4.9 percent
between 2008 and 2009; 5.6 percent between 2009 and 2010. As of 31 December
2010, the total number of GSIS pensioners who are senior citizens is 199,579. The
increase in the number of GSIS pensioners amounts to almost 15%. The average
monthly pension of a GSIS pensioner who is a senior citizen is only PhP 7,768 in
2008, PhP 8,359 in 2009, and PhP 8,586 in 2010. This is slightly above the salary of
a minimum wage earner (working 26 days a month) for all regions, except for Region
IV-A, where it is short by 6 percent in 2008, and for NCR, where it is short by

| http://www.census.gov. phicontent/age-and-sex-structure-philippine-population-facts-2010-census.
Dr. Romulo A. Virola._—_Secretary-General, NSCB, “Senior's. Moment’,
bhito:/inscb.gov. ph/headlines/StatsSpeak/201 1/071111_rav.aspittab13.

I.

41d.


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approximately 20 percent for 2008-2010.° The average inflation rates for 2011, 2012
and 2013 are 4.6%, 3.2%, and 2.9% respectively.° The high inflation rates coupled
the low income of senior citizens demand that basic necessities such as clothes and
footwear, eyeglasses and hearing aids, and similar products be disounted. Also,
since most of the pensions of senior citizens are disbursed through transactions in
banks, senior citizens must be given discounts as well.

Our present times have witnessed the wide-use of the internet. Many of our
daily transactions are facilitated through the internet, which makes it more
convenient to purchase services. However, many transactions facilitated online do
not provide the discount provided to senior citizens. This is not in consonance with
the provisions of the law. Therefore, it is but appropriate that all establishments,
individuals, corporations providing services be mandated to provide the discount
even in online transactions subject only to presentation of documents mentioned in
this law during the actual claim of services.

Immediate passage of the bill is therefore eamestly sought.

erwin Tugna

ta.
° Please refer to _httov//census.gov.ph/content/summary-inflation-report-consumer-price index:
2006100-september-2013, _http://www.census.qov.ph/statistics/survey Iprice/summary-inflation-report-
consumer-price-index-2006100-october-2013, — http://www.census.gov.ph/content/summary-inflation-
report-consumer-price-index-2006 1 00-december-2013.

2


HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila
Philippines

SIXTEENTH CONGRESS
FIRST REGULAR SESSION

HOUSE BILLNO._ 4205

Introduced by CIBAC Party List Representative
Sherwin Tugna

AN ACT PROVIDING FOR THE MAINTENANCE AND WELFARE OF SENIOR
CITIZENS, FURTHER AMENDING REPUBLIC ACT NO. 7432, AS AMENDED,
AND FOR OTHER PURPOSES

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

Section 1. Title. - This Act shall be known as the “Maintenance and Welfare of
Senior Citizens Act of 2014".

Section 2. Section 2 of Republic Act No. 7432, as amended by Republic Act Nos.
9257 and 9944, otherwise known as the "Expanded Senior Citizens Act of 2003" and
“Expanded Senior Citizens Act of 2010”, is hereby further amended to read as
follows:

SEC. 2. Definition of terms. - For purposes of this Act, these terms are
defined as follows:



"BN  survivi lative-refersto-the legal sp: ho-survives-thé

4 ¢-senior citizen: Previded- That epoueo cunivee ts
decedent_this- shall-be-limited-to-relat the-following-order-of degree-of
kinship: children parents, siblings,-grandparente, grandchildren,-uncles-and
aunts;
“(g)-Home health joe-refers-to-health-or supportive-care-provided-to
th tizen-patientat-home by .d-health-care professionals 4
Include, but-netlimited-to, physicians, ridwives, physical-therapist
and-caregivers-and
“th Hadigent senior citizen, refers to-any-eldery-who-Is-frail,-sickly-orwith
disability and-without pi p -source-of-income,-compensati
fi Lassistance-from-hie/har-relatives-to-support-his/her-b: ds,
determined-by the Department of Social Welfare-and-development
(DSWD). Hation with the-National-Ceerdinating-and-Monitoring- Board."

(A) DENTAL SERVICES REFERS TO ORAL EXAMINATION,
CLEANING, PERMANENT AND TEMPORARY _ FILLING,
EXTRACTIONS AND GUM _ TREATMENTS, RESTORATION,
REPLACEMENT OR REPOSITIONING OF TEETH, OR ALTERATION
OF THE ALVEOLAR OR PERIODONTIUM PROCESS OF THE
MAXILLA AND THE MANDIBLE THAT ARE NECESSARY FOR THE.
DIAGNOSIS OR TREATMENT OF AN ILLNESS OR INJURY;

(B) GERIATRICS REFERS TO THE BRANCH OF MEDICAL SCIENCE
DEVOTED TO THE STUDY OF THE BIOLOGICAL AND PHYSICAL
CHANGES AND THE DISEASES OF OLD AGE;

(C) HOME HEALTH CARE SERVICE REFERS TO HEALTH OR
SUPPORTIVE CARE PROVIDED TO THE SENIOR CITIZEN
PATIENT AT HOME BY LICENSED HEALTH CARE
PROFESSIONALS TO INCLUDE, BUT NOT LIMITED TO,
PHYSICIANS, NURSES, MIDWIVES, PHYSICAL THERAPIST AND.
CAREGIVERS; AND

(D) INDIGENT SENIOR CITIZEN, REFERS TO ANY ELDERLY WHO
IS FRAIL, SICKLY OR WITH DISABILITY, AND WITHOUT PENSION
OR PERMANENT SOURCE OF INCOME, COMPENSATION OR
FINANCIAL ASSISTANCE FROM HIS/HER RELATIVES TO
SUPPORT HIS/HER BASIC NEEDS, AS DETERMINED BY THE
DEPARTMENT OF SOCIAL WELFARE AND DEVELOPMENT
(DSWD) IN CONSULTATION WITH THE NATIONAL COORDINATING
AND MONITORING BOARD.

(E) LODGING ESTABLISHMENT REFERS TO A BUILDING, EDIFICE,
STRUCTURE, APARTMENT OR HOUSE INCLUDING TOURIST INN,
APARTELLE, MOTORIST HOTEL, AND PENSION HOUSE
ENGAGED IN CATERING, LEASING OR PROVIDING FACILITIES TO
TRANSIENTS, TOURISTS OR TRAVELLERS;

4


weene

No

(F) MEDICAL SERVICESREFER TO HOSPITAL SERVICES,
PROFESSIONAL SERVICES OF PHYSICIANS AND OTHER HEALTH
CARE PROFESSIONALS AND DIAGNOSTICS AND LABORATORY
TESTS THAT THE NECESSARY FOR THE DIAGNOSIS OR
TREATMENT OF AN ILLNESS OR INJURY;

(G) SENIOR CITIZEN REFERS TO ANY RESIDENT CITIZEN OF THE
PHILIPPINES AT LEAST SIXTY (60) YEARS OLD.

Section 3. Section 4 of Republic Act No. 7432, as amended by Republic Act Nos.
9257 and 9994, otherwise known as the "Expanded Senior Citizens Act of 2003" and
“Expanded Senior Citizens Act of 2010", is hereby further amended to read as
follows:

SEC. 4, Privileges for the Senior Citizens. -
The senior citizens shall be entitled to the following:

(a) the grant of twenty percent (20%) discount and exemption from the
value-added tax (VAT), if applicable, on the sale of the following goods
and services from all establishments, for the exclusive use and
enjoyment or availment of the senior citizen:

(1) on the purchase of medicines, including the purchase
of influenza and pneumococcal vaccines, and such other
essential medical supplies, accessories and equipment to
be determined by the Department of Health (DOH).

The DOH shall establish guidelines and mechanism of
compulsory rebates in the sharing of burden of discounts
among retailers, manufacturers and distributors, taking
into consideration their respective margins;

(2) on the professional fees of attending physician/s in all
private hospitals, medical facilities, outpatient clinics and
home health care services;

(3) on the professional fees of licensed professional
health providing home health care services as endorsed
by private hospitals or employed through home health
care employment agencies;

(4) on medical and dental services, diagnostic and
laboratory fees in all private hospitals, medical facilities,
outpatient clinics, and home health care services, in
accordance with the rules and regulations to be issued by
the DOH, in coordination with the Philippine Health
Insurance Corporation (PhilHealth);


(5) in actual fare for land transportation travel in public
utility buses (PUBs), public utility jeepneys (PUJs), taxis,
Asian utility vehicles (AUVs), shuttle services and public
railways, including Light Rail Transit (LRT), Mass Rail
Transit (MRT), and Philippine National Railways (PNR);

(6) in actual transportation fare for domestic AND
INTERNATIONAL air AND WATER transport services
OF COMPANIES REGISTERED IN ACCORDANCE
WITH THE LAWS OF THE PHILIPPINES OR OF
COMPANIES DOING BUSINESS IN THE PHILIPPINES
and-sea-shipping—vessels—and-theike, based on the
actual fare and advanced booking;

(7) on the utilization of services in hotels and similar
lodging establishments, restaurants and recreation
centers;

(8) ON BANK TRANSACTION FEES WHICH INCLUDE.
BUT NOT LIMITED TO THE FOLLOWING:

!) ISSUE OF DUPLICATE
PASSBOOK/STATEMENT OF ACCOUNT;
MN) ISSUE OF CHEQUE BOOKS;

MI) NOTING OF STANDING
INSTRUCTIONS;

\V) STOP PAYMENT INSTRUCTIONS;

V) ISSUE OF BALANCE CERTIFICATE;
VI) SIGNATURE VERIFICATION; AND

Vil) LEDGER FOLIO CHARGES.

(89) on admission fees charged by theaters, cinema
houses and concert halls, circuses, leisure and
amusement; and

(910) on funeral and burial services for the death of
senior citizens;

(11) ON CLOTHES, FOOTWEAR AND OTHER
CLOTHING APPAREL FOR THE USE ONLY OF
SENIOR CITIZENS; AND

(12) ON PURCHASE OF EYEGLASSES, HEARING
AIDS, AND OTHER PRODUCTS AVAILED OF BY
SENIOR CITIZENS DUE TO THE EFFECTS OF
INCREASING AGE.

(b) exemption from the payment of individual income taxes of senior citizens
who are considered to be minimum wage earners in accordance with
Republic Act No. 9504;


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(c) the grant of a minimum of five percent (5%) discount relative to the
monthly utilization of water and electricity supplied by the public
utilities: Provided, That the individual meters for the foregoing utilities are
registered in the name of the senior citizen residing therein: Provided,
further, That the monthly consumption does not exceed one hundred kilowatt
hours (100 kWh) of electricity and thirty cubic meters (30 m3) of
water: Provided, furthermore, That the privilege is granted per household
regardless of the number of senior citizens residing therein;

(d) exemption from training fees for socioeconomic programs;

(e) free medical and dental services, diagnostic and laboratory fees such as,
but not limited to, x-rays, computerized tomography scans and blood tests, in
all government facilities, subject to the guidelines to be issued by the DOH in
coordination with the PhilHealth;

(f) the DOH shall administer free vaccination against the influenza virus and
pheumococcal disease for indigent senior citizen patients;

(g) educational assistance to senior citizens to pursue post-secondary,
tertiary, post tertiary, vocational and technical education, as well as short-term
courses for retooling in both public and private schools through provision of
scholarships, grants, financial aids, subsidies and other incentives to qualified
senior citizens, including support for books, learning materials, and uniform
allowances, to the extent feasible: Provided, That senior citizens shall meet
minimum admission requirements;

(h) to the extent practicable and feasible, the continuance of the same
benefits and privileges given by the Government Service Insurance System
(GSIS), the Social Security System (SSS) and the PAG-IBIG, as the case
may be, as are enjoyed by those in actual service;

(i) retirement benefits of retirees from both the government and the private
sector shall be regularly reviewed to ensure their continuing responsiveness
and sustainability, and to the extent practicable and feasible, shall be
upgraded to be at par with the current scale enjoyed by those in actual
service;

(j) to the extent possible, the government may grant special discounts in
special programs for senior citizens on purchase of basic commodities,
subject to the guidelines to be issued for the purpose by the Department of
Trade and Industry (DT!) and the Department of Agriculture (DA);

(k) provision of express lanes for senior citizens in all commercial and
government establishments; in the absence thereof, priority shall be given to
them; and

() death benefit assistance of a minimum of five thousand pesos
(Php5,000.00) shall be given to the nearest surviving relative of a deceased


1 senior citizen which amount shall be subject to adjustments due to inflation in
2 accordance with the guidelines to be issued by the DSWD.

In the availment of the privileges mentioned above, the senior citizen, or
his/her duly authorized representative, may submit as proof of his/her entitled
thereto any of the following:

ws

6 (1) an identification card issued by the Office of the Senior Citizen Affairs
7 (OSCA) of the place where the senior citizen resides: Provided, That the
8 identification card issued by the particular OSCA shall be honored nationwide;
9 or

10 (2) the passport of the senior citizen concerned; and-OR

11 (3) other documents that establish that the senior citizen is a citizen of the
2 Republic and is at least sixty (60) years of age as further provided in the
B implementing rules and regulations.;

14 IN CASE THE AVAILMENT OF THE SERVICES IN SECTION 4(A)(5), (6),
1s (7), AND (9) IS DONE THROUGH ONLINE TRANSACTIONS, ALL
16 ESTABLISHMENTS MANDATED TO PROVIDE THE DISCOUNTS SHALL
v7 ESTABLISH A MECHANISM THAT WILL APPLY THE SAME DISCOUNTS
18 TO ONLINE TRANSACTIONS, SUBJECT TO THE PRESENTATION OF
19 ANY OF THE DOCUMENTS ENUMERATED ABOVE UPON AVAILMENT
20 OF SERVICES. THE DISCOUNTS SHALL BE APPLIED AUTOMATICALLY
21 UPON AVAILMENT OF THE SERVICES ONLINE AND THE AMOUNT OF
22 THE DISCOUNT SHALL BE SUBJECT TO PAYMENT UPON FAILURE OF
23 THE SENIOR CITIZENS TO PRESENT ANY OF THE DOCUMENTS
24 ENUMERATED IN SECTION 4(L) TO PROVE THEY ARE QUALIFIED TO
25 SUCH DISCOUNTS. IN CASE THE SENIOR CITIZEN DOES NOT WANT
26 TO PAY THE AMOUNT OF THE DISCOUNT UPON HIS/HER FAILURE TO
27 SHOW ANY OF THE DOCUMENTS MENTIONED IN SECTION A(L),
28 HE/SHE IS ENTITLED TO THE REFUND OF THE AMOUNT HE/SHE PAID
29 BUT SHALL NOT BE ALLOWED TO AVAIL OF THE SERVICES

30 In the purchase of goods and services which are on promotional discount, the
31 senior citizen can avail of the promotional discount or the discount provided
32 herein, whichever is higher.

33 The establishment may claim the discounts granted under subsections (a),
34 and (c) of this section as tax deduction based on the cost of the goods sold or
35 services rendered: Provided, That the cost of the discount shall be allowed as
36 deduction from gross income for the same taxable year that the discount is
37 granted: Provided, further, That the total amount of the claimed tax deduction
38 net of VAT, if applicable, shall be included in their gross sales receipts for tax
39 purposes and shall be subject to proper documentation and to the provisions
40 of the National Internal Revenue Code (NICR), as amended."

41 — Section 4. A new section 5 is added which shall read:



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THE GOVERNMENT SHALL ENSURE THAT —

(A) THE GOVERNMENT HOSPITALS OR HOSPITALS FUNDED
FULLY OR PARTIALLY BY THE GOVERNMENT SHALL PROVIDE
BEDS FOR ALL SENIOR CITIZENS AS FAR AS POSSIBLE;

(B) SEPARATE QUEUES BE ARRANGED FOR SENIOR
CITIZENS;

(C) _ FACILITY FOR TREATMENT OF CHRONIC, TERMINAL AND.
DEGENERATIVE DISEASES IS EXPANDED FOR SENIOR
CITIZENS;

(D) RESEARCH ACTIVITIES FOR CHRONIC ELDERLY DISEASE
AND AGEING ARE EXPANDED;

(E) THERE ARE EARMARKED FACILITIES FOR GERIATRIC
PATIENTS IN EVERY DISTRICT HOSPITAL DULY HEADED BY A
MEDICAL OFFICER WITH EXPERIENCE IN GERIATRIC CARE.

Section 5. Section 5, 6, 7, 8, 9, and 11 shall be renumbered as Sections 6, 7, 8, 9,
10, and 12.

Section 6. Section 10 shall be renumbered as Section 11 and amended to read as
follows:

"SEC. 11. Penalties. - (a) Any person who refuses to honor the senior
citizen card issued by this the government or violates any provision of
this Act shall suffer the following penalties:

"(I) For the first violation, imprisonment of not less than two (2) years
but not more than six (6) years and a fine of not less than Fifty
thousand pesos (Php50,000.00) but not exceeding One hundred
thousand pesos (Php100,000.00);

"(ii) For any subsequent violation, imprisonment of not less than two (2)
years but not more than six (6) years and a fine of not less than One
Hundred thousand pesos (Php100,000.00) but not exceeding Two
hundred thousand pesos (Php200,000.00); and

"(iil) Any person who abuses the privileges granted herein shall be
punished with imprisonment of not less than six (6) months and a fine
of not less than Fifty thousand pesos (Php50,000.00) but not more than
One hundred thousand pesos (Php100,000.00).

"if the offender is a corporation, partnership, organization or any similar
entity, the officials thereof directly involved such as the president,
general manager, managing partner, or such other officer charged with
the management of the business affairs shall be liable therefor.

"If the offender is an alien or a foreigner, he/she shall be deported
immediately after service of sentence.


"Upon filing of an appropriate complaint, and after due notice and
hearing, the proper authorities may also cause the cancellation or
revocation of the business permit, permit to operate, franchise and
other similar privileges granted to any person, establishment or
business entity that fails to abide by the provisions of this Act.”

(B) WHOEVER, HAVING THE CARE AND PROTECTION OF A
SENIOR CITIZEN LEAVES SUCH SENIOR CITIZEN IN ANY PLACE
WITH THE INTENTION OF WHOLLY ABANDONING SUCH SENIOR
CITIZEN, WITHOUT THE CONSENT OF THE SENIOR CITIZEN WHO
STILL HAS CONTROL OF HIS/HER MENTAL FACULTIES, SHALL BE
PUNISHED BY THE SAME PENALTY IMPOSED UNDER
PARAGRAPH (A) OF THIS SECTION 10 OF THIS ACT. THIS
PARAGRAPH SHALL NOT APPLY WHEN CUSTODY OF A SENIOR
CITIZEN IS MADE TO A PUBLIC INSTITUTION SPECIFICALLY
AUTHORIZED UNDER THE LAW TO TAKE CUSTODY OF HIM/HER
AND THE PERSON HAVING HIS/HER CARE AND PROTECTION
WILL NOT BE ABLE TO FULLY TAKE CARE OF HIM/HER.

Section 7. Repealing Clause. - All law, executive orders, rules and regulations or
any part hereof inconsistent herewith are deemed repealed or modified accordingly.

Section 8. Separability Clause. - If any part or provision of this Act shall be declared
unconstitutional and invalid, such declaration shall not invalidate other parts thereof
which shall remain in full force and effect.

Section 9. Effectivity.- This Act shall take effect fifteen (15) days its complete
publication in the Official Gazette or in at least two (2) newspapers of general
circulation, whichever comes earlier.

Approved,

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