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SEVENTEENTH CONGRESS
First Regular Session

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House Bill No. 1086

Introduced by HONORABLE SCOTT DAVIES S, LANETE, M.D.

EXPLANATORY NOTE

‘As stated in the 1987 Philippine Constitution, it is the prime duty of the State to
protect and promote the right to health of the people and instill health consciousness among
them. It is also its solemn mandate to protect and advance the right of the people to a
balanced and healthful ecology in accord with the rhythm and harmony of nature.

Devolution of power has been the trademark policy of the State for the past decades.
By empowering the local government units, the State's reach in terms of providing services
to the people has greatly expanded. This has led to people in the far-flung areas of the country
receiving utmost care and attention which has enabled them to participate and contribute to
society’s development.

However, not everything in the State's policy of devolution has proven effective.
Some devolved power have had a worsening effect in terms of delivery of basic services. One
of these is basic health care services. Problems on devolved healthcare system persist to this
day, despite the mechanisms established by the national and local governments. The non-
implementation of the Magna Carta for Health Workers has been a major result of
devolution. Local government units have consistently failed, owing to various factors, the
provisions of this law which are greatly needed by the healthcare sector. As such, there have
been delays and non-payment of healthworkers’ salaries and benefits. Also the diminution of
funds intended for basic health care services has caused the inefficient, if not non-existent,
delivery of services

‘As a solution to this predicament, it is essential that the State take a proactive step by
establishing a program that would devote utmost attention to the health of Filipinos living

both in rural areas. It is imperative that the State adopt a comprehensive and integrated health

care delivery system and thereby effectively solve the ills brought about by the
ineffectiveness of local governments,

In view of the foregoing, the approval of this bill is eamestly requested.

SCOTT DAVIESS. LANETE, M.D
-presentative
Third District, Province of Masbate


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

House Bill No. 1085.

Introduced by HONORABLE SCOTT DAVIES S. LANETE, M.D.

AN ACT
REVERTING TO THE NATIONAL GOVERNMENT THE DISCHARGE OF
BASIC HEALTH SERVICES DEVOLVED TO LOCAL GOVERNMENT
UNITS (LGUs) AND AMENDING FOR THE PURPOSE
REPUBLIC ACT NO. 7160, OTHERWISE KNOWN AS
THE LOCAL GOVERNMENT CODE OF 1991

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 “Re-nationalization of Devolved
Health Services and Facilities Act.”

SEC. 2. Declaration of Policy. It is the declared policy of the State that it shall
protect and promote the right to health of the people and instill health consciousness among
them. Further, the State shall endeavor to make essential goods, health and other services
available to all the people at affordable cost.

SEC. 3. Ohjectives. The objectives of this Act are: a) to prevent the further
deterioration of government health services and facilities brought about by the devolution; b)
to provide essential health services to the people, especially the sick, the poor and
marginalized sector of society; ¢) to improve and uplift the morale, social and economic well-
being of devolved health workers; and, d) to develop a professional health manpower that is
responsive to the people’s health needs and problems

SEC. 4. Re-nationalization. All health services and facilities devolved to the local
government units are hereby re-nationalized or returned to the national government. For this
purpose, the following provision of the Local Government Code or RA 7160, are hereby
deleted and declared no longer enforceable and effective: Section 17 (b) paragraph (1) (it),
paragraphs (3) (iv) and (4) for health services only: Section 102 (1), (2). (3), (b) (1), @), and
(3); Section 103 (a) and (b); Section 104; Section 105 and other related provisions of the
Local Government Code that pertains to devolved health services and facilities.

SEC. 5. Authority to Use Income. Re-nationalized hospitals and Rural Health
Units/Centers are hereby authorized to use their income derived from their operation to


improve and upgrade their services; Provided, That the supporting financial and work plans
are first approved by the Secretary of Health,

SEC. 6. Appropriation. In the year following the enactment of this Act into law, the
cost of the devolved health services and facilities as of December 31, 1992 shall be deducted
by the Department of Budget and Management from the Internal Revenue Allotment of the
Local Government Units and shall be used as funding source to implement the provision of
this Act, Any deficiency shall be charged against the Organizational Adjustment fund and
appropriations savings/reserves. Thereafter, such sums as may be needed for its continued
implementation shall be included in the Annual General Appropriations Act

The Internal Revenue Allotment of Local Government Units in the succeeding years
shall be net of the cost of devolved health services and facilities as of December 31, 1992.

SEC. 7. Implementing Rules and Regulations. The Department of Health shall
formulate the Implementing Rules and Regulations within three (3) months after the
enactment of this law.

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

SEC. 9. Separability Clause. If, for any reason, any section or provision of this Act is
held unconstitutional or invalid, the other sections or provisions thereof shall not be effected
thereby

SEC. 10. Effectivity. This Act shall take effect immediately upon its approval

Approved,