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SIXTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
) 
) 
) 
'13 
JUL 27. PI' :05 
SENATE 
S. No.SS9 
Introduced by Sen. Antonio "Sonny" F. Trillanes IV 
Explanatory Note 
Government accountants playa vital role in the daily operation of the National Government such 
as monitoring of programs and projects, budget control, economic analysis, policy formulation, 
decision-making, and spotting possible areas for anomalies. Performing the aforementioned 
functions and ensuring proper control on expenses and use of the government's resources 
however requires our accountants to render services beyond office hours. 
Moreover, their profession exposes them to stress brought about by deadlines and pressures as 
well as the responsibilities that rests on their shoulders. This bill seeks to improve and promote 
the social and economic status of our government accountants as well as their living and working 
conditions, terms of employment, professional growth, and career advancement. 
Further, the proposed measure .seeks to provide government accountants additional 
compensation and incentives such as subsistence allowance, longevity pay, and compensation for 
injuries. 
In view ofthe foregoing, immediate approval of this measure is ea estly sought 
AN 
Senator 
1 


SIXTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
Fir$t Regular Se$$ion 
) 
) 
) 
SENATE 
999 
S.No. __ _ 
Introduced by Sen. Antonio "Sonny" F. Trillanes IV 
AN ACT 
'13 
JUL 22 P 2 :05 
PROVIDING FOR A MAGNA CARTA OF GOVERNMENT ACCOUNTANTS 
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled: 
1 
SECTION 1. Title.- This Act shall be known as the "Magna Carta of Government Accountants." 
2 
3 
SEC. 2. Declaration of Policy.- The State shall maintain honesty and integrity in the 
4 
public service and take positive and effective measures to develop and install a sound and 
5 
effective government accounting system consistent with the requirements of public 
6 
accountability and transparency. The State hereby declares the Government Accountants as 
7 
protector and vanguard of financial and material resources of the Government. To this end, the 
8 
State shall endeavor to improve and promote' their social and economic status, living and 
9 
working conditions, terms of employment, professional growth, and career advancement. 
10 
11 
SEC. 3. Definition of Terms.- As used in this Act, the following terms shall be construed 
12 
to mean as follows; 
13 
a.) Government Accounting • refers to the whole system of recording, classifying and 
14 
summarizing financial transactions, the establishment of adequate accounting and financial 
15 
information system, the establishment of sound and integrated system of internal financial and 
16 
administrative controls, and such other related functions aimed towards improving fiscal controls 
17 
and management; 
1 


1 
b.) Government Accountant - refers to any government employee holding position belonging to 
2 
any level of the career service and performing function and/or works pertaining to government 
3 
accounting; 
4 
c.) Government Accounting Staff - refers to a group of government accountants assigned in a 
5 
particular organizational unit which includes, but not limited to, an office, division, section or 
6 
equivalent, performing government accounting functions; 
7 
d.) Certified Public Accountant (CPA) - refers to one who has passed the licensure examination 
8 
given by the Board of Accountancy of the Professional Regulations Commission, has taken his 
9 
oath and possesses no disqualification to practice his profession; 
10 
e.) Head of Agency - refers to the chief operating officer of a department, office, agency, bureau, 
11 
state university and/or college, local government unit, government-owned and controlled 
12 
corporation and such other governmental instrumentalities; 
13 
f.) CSC - refers to the Civil Service Commission; 
14 
g.) COA - refers to the Commission on Audit; 
15 
h.) DBM - refers to the Department of Budget and Management; 
16 
i.) AGAP - refers to the Association of Government Accountants of the Philippines, Inc.; 
17 
j.) Geographical Reassignment - refers to the movement of official station from one geographical 
18 
location to another; 
19 
k) Compulsory Retirement - refers to the cessation and/or termination of service by the 
20 
Government Accountant with the Government in accordance with law or as may be provided 
21 
underthis Act; 
22 
1.) Overloading - refers to a condition when a Government Accountant is assigned tasks/works 
23 
above normal workload level; 
24 
m.) Understaffing - refers to a condition when a number of authorized positions in an 
2S 
organizational unit performing government accounting function is less than the required number 
26 
of positions. 
27 
28 
SEC. 4. Coverage.- This Act shall cover all officials and employees holding permanent 
29 
positions in the Government, its subdivisions, agencies, and instrumentalities, ncluding 
2 


1 
government-owned and controlled corporations perfonning accounting, budgeting, internal audit 
2 
and other related government accounting functions. 
3 
4 
SEC. 5. Recruitment and Qualification.- The selection imd appointment of Government 
5 
Accountants shall be strictly in accordance with the merit and fitness principle and the minimum 
6 
qualification requirements as may now or thereafter be prescribed by the CSC: Provided, that the 
7 
CSC may develop and administer specialized examination for purposes of providing appropriate 
8 
eligibilities to positions not requiring a certified public accountant eligibility. 
9 
10 
SEC. 6. Performance Evaluation and Merit Promotion.- Heads of agencies shall 
11 
prepare a unifonn Career and Personnel Development Plan applicable to all Government 
12 
Accountants in their respective agencies, Such Career and Personnel Development Plan shall 
13 
include provisions on merit promotion, perfonnance evaluation, in service training, grants and 
14 
incentive award system. 
15 
The Perfonnance Evaluation Plan shall consider foremost the improvement of individual 
16 
employee's efficiency and organization effectiveness: Provided, that each employee shall be 
17 
infonned regularly of his perfonnance evaluation. 
18 
The merit promotion plan shall be in consonance with the rules of the CSC, 
19 
SEC. 7. Transfer or Geographical Reassignment of Government Accountants.-
20 
Government Accountants shall not be transferred or reassigned except, when made in the interest 
21 
of public service, in which case, the employee concerned shall be infonned of the reasons 
22 
therefor in writing. If the Government Accountant believes that there is no valid ground for the 
23 
transfer or reassignment, he may appeal the order to the CSC; and pending appeal, such transfer 
24 
or reassignment shall be held in abeyance: Provided. That no transfer or reassignment 
25 
whatsoever shall be made three (3) months before any local or national elections: Provided. 
26 
further, that Government shall pay for the necessary expenses of the transfer or reassignment of 
27 
the Government Accountant and his immediate family. 
3 


1 
SEC. 8. Security of Tenure.- Government accountants holding pennanent positions shall 
2 
not be tenninated except for cause as may be provided by law and after due process: Provided, 
3 
that any government accountant found by the esc to be unjustly dismissed from work shall be 
4 
entitled to reinstatement without loss of seniority rights and to backwages with twelve (12%) 
5 
percent interest computed from the time the compensation was withheld up to the time of 
6 
reinstatement. 
7 
8 
SEC. 9. Discrimination Prohibited.-
A Government Accountant shall not be 
9 
discriminated against with regard to gender, civil status, creed, religious or political beliefs, and 
10 
ethnic groupings in the exercise of his profession. 
11 
12 
SEC. 10. No Understaffing/Overloading of Government Accounting Stajf. - There shall 
13 
be no understaffing or overloading of Government Accountants. A Standard Staffing Pattern for 
14 
government accounting staff shall be established; taking into consideration the total 
15 
appropriation, number of funds, number of agenciesiunits with individual sets of books of 
16 
accounts, organization's manpower force, and such other factors as may be detennined by the 
17 
DBM, esc and COA. 
18 
In line with the above policy, substitute officers or employees shall be provided in place 
19 
of officers or employees who are on leave for over three (3) months. 
20 
SEC. 11. Safeguards and Disciplinary Procedures.- In every disciplinary proceeding, a 
21 
Government Accountant shaH be accorded the following rights: 
22 
a.) The right to be infonned in writing of the charges against him; 
23 
b.) The right to full access to evidence; 
24 
c.) The right to defend by himself or by counsel of his own choice andlor his organization; 
25 
d.) The right to confront witnesses presented against him and summon witnesses in his behalf; 
26 
e.) The right to appeal to designated authorities; 
27 
f.) Such other rights as will ensure fairness and impartiality during proceedings. 
4 


1 
In case the Government Accountant is exonerated or the charge against him is dismissed", 
2 
he shall be entitled to reimbursement of reasonable expenses incurred in his defense. 
3 
SEC. 12. Overtime Work. - Where the exigencies of the service so reqUIre, any 
4 
Government Accountant maybe required to render service beyond the normal eight (8) hours a 
5 
day, including Saturdays, Sundays or non-working holidays. In such case, the Government 
6 
Accountant shall be paid an additional compensation in accordance with existing laws. 
7 
8 
SEC. 13. Night Shift Differential. - Any Government Accountant who is required to 
9 
work on a shift with working hours going beyond ten (10) o'clock in the evening up to six (6) 
10 
o'clock in the morning shall be entitled to a night shift differential pay of ten percent (10%) of 
11 
the regular wage for each hour performed during the night shift. 
12 
13 
SEC. 14. Salaries. - The salary of the highest government accountant position shall be 
14 
equal to the salary of the third ranking official of any government agency: Provided, that the 
15 
salary grade intervals down the rank shall not be more than two (2) salary grades and shall 
16 
progress whenever there is a salary increase or across the board adjustment granted by the 
17 
National Government. 
18 
19 
SEC. 15. Additional Compensation and Incentives.- Notwithstanding Section 12 of 
20 
Republic Act No. 6758, otherwise known as the "Compensation and Position Classification Act 
21 
of 1989," Government Accountants shall receive the following allowances: 
22 
a.) Subsistence allowance which may be computed in accordance with prevailing circumstances 
23 
as may be determined by and in consultation with AGAP; 
24 
b.) Longevity pay which shall be equivalent to five percent (5%) of the monthly basic pay for 
25 
every five (5) years of continuous, efficient and meritorious services rendered as certified by the 
26 
Head of Agency commencing with the service after the. approval ofthis Act. 
27 
c.) Laundry Allowance shall be granted to those who are required to wear uniform regularly at 
28 
the rate of Three Hundred Pesos (P300.00) per month: Provided, that this rate shall be reviewed 
5 


1 
periodically and increased accordingly by the Secretary of Budget and Management III 
2 
consultation with the appropriate govermnent agencies concerned. 
3 
d.) Remote Assignment Allowance shall be extended to those who accept assignment in remote 
4 
areas or isolated stations, which for reasons of far distance or hard accessibility, such positions 
5 
had not been filled for the last two (2) years prior to the approval of this Act, equivalent to fifty 
6 
percent (50%) of their basic pay inclusive of the reimbursable cost of reasonable transportation 
7 
to and from such remote post or station, upon assuming or leaving such position and during 
8 
official trips: Provided, That tour of duties in remote areas shall not exceed two (2) years for 
9 
their transfer, or they prefer to stay in such post in excess of two (2) years. 
10 
e.) Medical Examination - shall be provided compulsorily free of charge upon entry in the 
11 
govermnent service and every year thereafter during his tenure of employment: Provided, that 
12 
where medical examination shows that medical treatment andlor hospitalization is necessary, 
13 
medicines shall also be provided free by the Agency, regardless of whether the Govermnent 
14 
Accountant is confined in govermnent or private hospital: Provided, forther, That the cost of 
15 
such medical examination and treatment shall be included as automatic appropriation in the 
16 
Agency's annual budget. 
17 
£) Compensation for Injuries - Govermnent Accountants shall be protected against the 
18 
consequences of employment injuries in accordance with existing laws. Injuries incurred while 
19 
doing overtime work shall be presumed workconnected. 
20 
g.) As withholding and collecting agent ofBIR, GSIS, HMDC, a Government Accountant shall 
21 
be allowed honorarium as remitting officer. 
22 
23 
SEC. 16. Automatic Salary Atijustment.- Govermnent Accountants who are Certified 
24 
Public Accountants and enjoying permanent status, shaH be granted an automatic five percent 
25 
(5%) increase in his basic salary upon approval of this Act: Provided, that those who passed the 
26 
CPA Licensure Examination or who have completed post graduate studies after the approval of 
27 
this Act, shall also be entitled to the five percent (5%) automatic adjustment in basic pay. 
6 


1 
SEC. 17. Highest Basic Salary Upon Retirement.- Three (3) months prior to compulsory 
2 
retirement, a Government Accountant shall automatically be granted salary increase to the next 
3 
higher salary grade but in no case shall the salary difference be less than Five Hundred Pesos 
4 
(P500.00): Provided, that compulsory retirement shall include staff members who died by reason 
5 
of work connected sickness or accident or declared total permanent disability prior to 
6 
compulsory retirement age irrespective of length of services provided that the services rendered 
7 
were satisfactory. 
8 
9 
SEC. 18. Right to Self-organization.- Government Accountants shall have the right to 
10 
freely form their own organization, to affiliate with or assist other organizations or government 
11 
workers for purposes not contrary to law, in order to defend and protect their mutual interests 
12 
and to obtain redress of their grievances through peaceful concerted activities: Provided, That 
13 
under no circumstances shall they be allowed to declare, stage or join any strike or cessation of 
14 
services. 
15 
16 
SEC. 19. The Right to Attend Periodic Workshops, Dialogues, Conferences, Seminars 
17 
and Conventions.- Government Accountants being instrument of management of the various 
18 
government agencies in graphing or directing the proper course of action towards th, e 
19 
attainment of their respective plans and projects have the right to be properly updated of the 
20 
continuing plans and strategies in maximizing the resources of government to obtain the best 
21 
results at minimum costs. Heads of Agencies shall allow Government Accountants to attend 
22 
training workshops, dialogues-conferences or seminars and conventions on official business. 
23 
They shall also have the right to be informed periodically of the Agency's plans, programs and 
24 
strategies. 
25 
26 
SEC. 20. Freedom from Interference or Coercion.- Government Accountants shall be 
27 
guaranteed from interference and coercion from authorities outside his agency. 
7 


1 
SEC. 21. Human Resource DevelopmentlManagement Study.- The esc in coordination 
2 
with the Association of Government Accountants of the Philippines shall conduct periodic 
3 
human resource development/management study along the following areas: 
4 
a) Adequacy of modem and updated facilities and supplies to render quality, timely and reliable 
5 
financial reports; 
6 
b) Opportunity for government accountant staff to grow and develop their potentials and to, 
7 
attain a sense of' worth and dignity of their work; 
8 
c) Staffing patterns and standards of accounting offices or units attuned to contemporary 
9 
requirements and trends; 
10 
d) Ways and means of enabling the government accountants to avail themselves of educational 
11 
opportunities for personal growth and development; 
12 
e) Upgrading of working conditions, reclassification of position and salaries to correct disparity 
13 
vis-a-vis other professions. 
14 
15 
SEC. 22. Prohibition Against Elimination and/or Diminution of Benefits.- Nothing in 
16 
this Act shall be construed to eliminate or in any way diminish benefits being enjoyed by 
17 
government accountants of the time of the effectivity of this. Act. 
18 
19 
SEC. 23. Prohibition Against Double Recovery of Benefits.- Whenever other laws 
20 
provide for the same benefits covered by this Act, the Government Accountant shall have the 
21 
option to choose which benefits will be paid to him except when such benefit is considered part 
22 
of an incentive package extended for the extra effort andlor time devoted by the Government 
23 
Accountant. 
24 
25 
SEC. 24. Appropriations.- The amount necessary to implement the provision of this Act 
26 
is hereby authorized to be appropriated out of' any funds not otherwise appropriated. Thereafter, 
27 
such sums shall be included in the General Appropriation of the government agencies or 
28 
instrumentalities concerned. 
8 


1 
SEC. 25. Rules and Regulations.- The Civil Service Commission (CSC), in consultation 
2 
with the Association of Government Accountants of the Philippines (AGAP), Inc. and such other 
3 
professional organizations of government accountants, shall promulgate necessary rnles and 
4 
regulations to implement the provisions of this Act. 
s 
6 
SEC. 26. Separability Clause.- If any provision of this Act is declared unconstitutional or 
7 
invalid, the remainder thereof not affected thereby shall continue to be in full force and effect. 
8 
9 
SEC. 27. Repealing Clause.- All laws, decrees, orders, rnles and regulations or other 
10 
issuance or parts thereof inconsistent with the provision of this Act are hereby repealed, amended 
11 
or modified accordingly. 
12 
13 
SEC. 28. Effectlvity.- This Act shall take effect fifteen (15) days after its publication in at 
14 
least two (2) newspapers of general circulation. 
Approved, 
9