SIXTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
) 
) 
) 
SENATE 
Senate Bill No, 1087 
'13 
JUL 23 P 4 SO 
Introduced by Senator TEOFISTO "TG" GUINGONA m 
EXPLANATORY NOTE 
Republic Act No. 10121, "An Act Strengthening the Philippine Disaster Risk Reduction and 
Management System, Providing for the National Disaster Risk Reduction and Management 
Framework and Institutionalizing the National Disaster Risk Reduction and Management Plan, 
Appropriating Funds and for other Purposes", the Local Disaster Risk Reduction and Management 
Fund (LDRRMF) is composed of "not less than five percent (5%) of the estimated revenue from 
regular sources" "of the amount appropriate for LDRRMF, thirty percent (30%) shall be allocated as 
Quick Response Fund or stand-by relief and recovery programs in order that situation and living 
conditions of people in communities or areaS stricken by disasters, calamities, epidemics, or complex 
emergencies, may be normalized as quickly as possible". 
In the event of a disaster, calamity, epidemic or complex emergency, the Quick Response 
fund is the first fund that is depleted and often, found sufficient. This legislative measure seeks to 
provide for a Solidarity Fund of the Local Govermnent Units which will serve as a second layer of 
Quick Response Fund. The Solidarity Fund shall be taken from a portion of the LDRRMF of the 
LGUs and will serve to augment the funds available to LGUs to address their disaster response and 
recovery needs. The Solidarity Fund may also be used to pay premiums for securing catastrophic 
insurance for the public infrastructures of the LGU s. 
In vieW of the foregoing, the immediate ena~tment of this measure is e 
-4~'VT'~O "TG" GUINGONA III 


SIXTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session 
) 
) 
) 
Slmllb 
(~th;f' llf tlp1 ,$rut't.nr~ 
'13 
JUL 23 P 4 :50 
SENATE 
Senate Bill No. lOB 7 
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Introduced by Senator Teofisto "TG" Guingona~III 
AN ACT ESTABLISHING THE SOLIDARITY FUND OF THE LOCAL GOVERNMENT 
UNITS FOR DISASTER RESPONSE AND RECOVERY 
Be it enacted by the Senate and the House of Representatives of the Philippines 
in Congress assembled: 
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SECTION 1. Short Title. This Act shall be known as the Local Government Units (LGU) Solidarity 
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Fund for Disaster Response and Recovery Act. 
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SECTION 2. Declaration of Policy. It is the declared policy of the state to increase local capacity to 
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build disaster resilience of communities and to strengthen institutional mechanisms for the reduction 
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of disaster risks and enhancement of preparedness and response capabilities at all levels. 
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SECTION 3. Solidarity Fund. A Solidarity Fund will be held as a trust account in a government 
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bank. 
Disbursement from said fund will be subject to the issuance of a release order of the 
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supervisory board. 
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The supervisory board shall be composed of the following: Secretary of the Department of Interior 
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and Local Government, and representatives from the following: Union of Local Authorities of the 
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Philippines, League of Provinces of the Philippines, League of Cities of the Philippines, League of 
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Municipalities of the Philippines, and Liga ng mga Barangay. They shall serve in an ex-officio 
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capacity. 
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SECTION 4. Source of the Solidarity Fund. All Local Government Units are hereby mandated to 
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contribute point five percent (0.5%) of their total revenues taken from the Local Disaster Risk 
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Reduction and Management Fund (LDRRMF) other than the amount set aside for the quick response 
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fund. 
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Provided that an LGU who availed of the Solidarity Fund shaH contribute one percent (1%) of their 
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LDRRMF for the next year. 
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Provided further, that the LGU shaH revert to the point five percent (0.5%) contribution if it did not 
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avail of the solidarity fund for the previous year. 
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SECTION 5. Availment of the Solidarity Fund In the event of a disaster, any affected LGU can 
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·availofthe solidarity fund upon submission ofboth a local resolution declaring a state of calamity 
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and a certificate of exhaustion of the quick response fund. 
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The maximum payout arising out of any single disaster is 100 times of the LGU contribution to be 
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released in two equal tranches. The second tranche shall be released only upon full liquidation of the 
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first tranche released. 
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The maximum release shall not exceed 75% of the total solidarity fund. If the total claims arising 
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out of a single disaster should exceed 75% of the total solidarity fund, the pay-out shall be pro-rated 
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amongst the claimants. 
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SECTION 6. Insurance Premiums. The solidarity fund may be used to pay premiums for securing 
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catastrophic insurance for public infrastructures ofLGUs. 
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SECTION 7. Use of the Fund The Solidarity Fund shAll be used exclusively for disaster response 
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and recoveries for LGUs and the payment of catastrophic insurance premiums. 
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SECTION 8. Separability Clause. Should any section or provision of this act be held 
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unconstitutional or invalid, such declaration shall not invalidate the other provisions. 
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SECTION 9. Repealing Clause. All laws, decrees, executive orders, proclamations, rules and 
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regulations inconsistent herewith are hereby repealed and/or modified accordingly. 
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SECTION 10. Effectivity. This Act shall take effect fifteen (15) days following its publication in the 
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Official Gazette or in two (2) newspapers of general circulation. 
Approved, 
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