Republic of the Philippines Zz)
HOUSE OF REPRESENTATIVES
Quezon City = ODATE February 1, 2023
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* TIME 9:15am
NINETEENTH CONGRESS —\\q} .
First Regular Session 4 BY Li

HOUSE BILL NO. _7019

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Introduced by: REP. SALVADOR A. PLEYTO, SR.

EXPLANATORY NOTE

Section 384 of the Local Government Code of 1991 (RA 7160) declares that, “as the
basic political unit, the barangay serves as the primary planning and implementing unit of
government policies, plans, programs, projects, and activities in the community, and as a
forum wherein the collective views of the people may be expressed, crystallized and
considered, and where disputes may be amicably settled”.

As such, the barangay and its officials should be empowered by entitling them to a
gratuity pay and non-monetary benefits in recognition of their exemplary performance of
their duties and responsibilities.

In view of the foregoing, the passage of this bill is earnestly sought.

SALVADO! LEYTO, SR.


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

NINETEENTH CONGRESS
First Reguiar Session

HOUSE BILL NO. _7019

Introduced by: REP. SALVADOR A. PLEYTO, SR.

AN ACT PROVIDING ALL BARANGAY OFFICIALS, BARANGAY TANODS,
MEMBERS OF THE LUPON NG TAGAPAMAYAPA, A LUMPSUM GRATUITY
PAY AND OTHER NON-MONETARY BENEFITS, AMENDING FOR THE
PURPOSE SECTION 393 OF REPUBLIC ACT 7160, AS AMENDED, OTHERWISE
KNOWN AS THE LOCAL GOVERNMENT CODE OF 1991

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

SECTION 1. Section 393 (b)(3) of Republic Act 7160, as amended, otherwise known as
the Local Government Code of 1991 is hereby amended to add a paragraph and be read as
follows:

“Section 393 — Benefits of Barangay Officials.
a) xxx

b) The punong barangay, the sangguniang brangay members, the barangay

treasurer, and the barangay secretary shall also:

(1) xxx

(2) xxx

(3) Be entitled to free medical care, including subsistence, medicines, and
medical assistance in any government hospital or institution:
Provided, That such hospital care shall include surgery or surgical
expenses, medicines, X-rays, laboratory fees, and other hospital
expenses,
In case of extreme urgency where there is no available government
hospital or institution, the barangay official concerned may submit
himself for immediate attendance to the nearest private clinic, hospital
or institution and the expenses not exceeding Five Thousand Pesos
(P5,000.00) that may be incurred therein shall be chargeable against
the funds of the barangay concerned.

BARANGAY OFFICIALS SHALL ALSO BE ENTITLED TO TEN
PERCENT (10%) DISCOUNT, AND EXEMPTION FROM VALUE-


ADDED TAX (VAT), IF APPLICABLE, ON THE SALE OF GOODS
AND SERVICES FROM ALL  EXTABLISHMENTS,
PARTICULARLY ON THE PURCHASE OF MEDICINES, AND BE
DETERMINED BY THE DEPARTMENT OF HEALTH (DOH),
AND ON THE PROFESSIONAL FEES OF ATTENDING
PHYSICIAN OR PHYSICINS IN ALL PRIVATE HOSPITALS,
MEDICAL FACILITIES, OUTPATIENT CLINICS AND HEALTH
HOME CARE SERVICES

(4) xxx
(5) xxx

(6) BE ENTITLED TO A LUMP SUM GRATUITY PAY EQUIVALENT
TO ONE (1) YEAR HONORARIUM, BUT IN NO CASE SHALL
EXCEED ONE HUNDRED THOUSAND PESOS (P100,000.00) TO
BE TAKEN FROM THE BARANGAY RETIREMENT FUND:
PROVIDED, HOWEVER, THAT A RETIREE IS AT LEAST SIXTY
(60) YEARS OF AGE WITH A MINIMUM OF NINE (9) YEARS IN
SERVICE AT THE TIME OF THE RETIREMENT;

AS USED IN THIS SUB-SECTION, THE TERM “RETIREE”
SHALL INCLUDE ALL BARANGAY OFFICIALS, INCLUDING
BARANGAY TANODS, AND MEMBERS OF THE LUPON NG
TAGAPAMAYAPA;

(7) BE ENTITLED TO TWENTY PERCENT (20%) DISCOUNT IN
TRANSPORTATION AND HOTEL =ACCOMMODATION
CHARGE.

XXX

SEC. 2. Barangay Retirement Fund Created. — There is hereby created a Barangay
Retirement Fund (BRF) which shall be used to fund the retirement of barangay officials and
workers mentioned in this Act. The amount equivalent to one percent (1%) of the share of
the national government under section 284 of the Local Government Code of 1991, as
amended, shall be used for this purpose.

The Department of Interior and Local Government (DILG) shall administer and ensure
the appropriate disbursement of the Fund.

SEC. 3. Rules and Regulations. The Department of Budget and Management (DBM),
in coordination with the DILG, shall issue the necessary rules and regulations to implement
this Act.

SEC. 4. Repealing Clause. - All laws, presidential decrees, executive orders,
ordinances, rules and regulation, and other issuances or part thereof which are inconsistent
with this Act, are hereby repealed or modified accordingly


SEC. 8. Effectivity — This Act shall take effect after fifteen (15) days after its
publication in the Official Gazette of in newspapers of general circulation.

Approved,