Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

EIGHTEENTH (18"") CONGRESS
1 Regular Session

HOUSE BILL NO. 3017

Introduced by Hon. WILTER “SHARKY” WEE PALMA II

EXPLANATORY NOTE

This bill seeks to include elected and appointed barangay officials as
compulsory members of the Government Service Insurance System (GSIS),
amending for this purpose Republic Act 8291, otherwise known as “The
Government Service Insurance System Act of 1997”.

Barangay officials work in the frontline of government services by serving
as the primary planning and implementing workforce of government programs
and activities. Their valuable contribution to the community through the delivery
of basic social services as well as the maintenance of peace and order cannot be
overlooked.

The GSIS is a social security institution created by the Commonwealth Act
No. 186 and later amended under Republic Act No. 8291. It was created as a
social insurance institution under a defined benefit scheme, which insures its
members against the occurrence of certain contingencies in exchange for their
monthly premium contributions.

Republic Act No. 8291, specifically Section 2(d), defines Employee or
Member as any person, receiving compensation while in the service of an
employer, whether by election or appointment, irrespective of status of
appointment, including barangay and sanggunian officials. Compensation as
defined in Section 2(i) of the said law however, refers to the basic pay or salary


received by an employee, pursuant to his election/appointment, excluding per
diems, bonuses, overtime pay, honoraria, allowance and any other emoluments
received in addition to the basic pay which are not integrated into the basic pay
under existing laws.

The said provisions of R.A. 8291 therefore, are not in harmony with
Republic Act 7160, otherwise known as the Local Government Code of the
Philippines. The latter provides under Section 393 (a) that, barangay officials,
including barangay tanods and members of the lupong tagapamayapa, shall only
receive honoraria. Honorarium is defined in the Merriam-Webster dictionary as
“a payment for a service (as making a speech) on which custom or propriety
forbids a price to be set.”

Hence, the urgent need to pass this measure to give recognition to our
elective barangay officials for their untiring efforts and genuine public service to
the people and their communities. In addition, this bill is intended to empower
the barangay officials and raise their economic and social status by providing
them with decent and comfortable living conditions after they retire from
government service.

Due to the foregoing reasons, the immediate passage of this bill is earnestly
sought.

1* District, Zamboanga Slbugay


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Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Philippines

EIGHTEENTH (18) CONGRESS
First Regular Session

HOUSE BILL NO. 3017

Introduced By HON. WILTER “SHARKY” WEE PALMA II

AN ACT

SEEKING TO INCLUDE BARANGAY OFFICIALS IN THE COMPULSORY MEMBERSHIP
OF THE GOVERNMENT SERVICE INSURANCE SYSTEM (GSIS),

AMENDING FOR THIS PURPOSE RA 8291 AND APPROPRIATING FUNDS
THEREFOR

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

SECTION 1. Declaration of Policy. — \t is hereby declared the policy of the
State to promote the welfare and quality of life of our elective barangay officials.
The State values the services of its barangay officials and shall endeavour to
provide them with the insurance coverage to ensure efficient and effective
performance of their duties and functions.

SEC. 2. Barangay Officials. - For purposes of this Act, barangay officials
shall refer to the Punong Barangay and the Sangguniang Barangay Members,
whether elected or appointed in accordance with Section 45 of the Local
Government Code.


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SEC. 3. Section 2(d) of Republic Act No. 8291 is hereby further amended to
read as follows:

“SECTION 2. Definition of Terms

(d) Employee or Member — Any person, receiving compensation while
in the service of an employer as defined herein, whether by election
or appointment, irrespective of status of appointment, including
barangay and sanggunian officials WHETHER OR NOT RECEIVING
FIXED MONTHLY COMPENSATION

SEC. 4, Section 2(i) of the same Republic Act is hereby further amended to
read as follows:

“SECTION 2. Definition of Terms.-

“(i) Compensation — The basic pay or salary received by an employee,
pursuant to his election/appointment, excluding per diems, bonuses, overtime
pay, honoraria EXCEPT IN THE CASE OF BARANGAY AND SANGGUNIAN OFFICIALS,
allowances and any other emoluments received in addition to the basic pay which
are not integrated into the basic pay under existing laws

SEC. 5. Compulsory Coverage. — All barangay officials shall be included in
the compulsory membership of the Government Service and Insurance System
under Section 3 of Republic Act No. 8291.

SEC. 6. Implementing Rules and Regulations. - The Government Service
and Insurance System, in coordination and consultation with the Department of
Interior and Local Government, Liga ng Mga Barangays and other agencies
concerned, shall promulgate and adopt such rules and guidelines as may be
necessary for the proper implementation of this Act.

SEC. 7. The provinces, cities or municipalities subject to the availability of
funds of the local government unit, may opt to contribute or subsidize the
monthly contributions of said barangay officials.


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SEC. 8. Repealing Clause. — All laws, decrees, executive orders, rules and
regulations or parts thereof inconsistent with the provisions of this Act are hereby
repealed or modified accordingly.

SEC. 9. Effecitivity Clause. — This Act shall take effect fifteen (15) days after
its publication in the Official Hazette or in a national newspaper of general
circulation.

Approved,