EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
)
SENATE
S. No. 1310
of tijc fttrcrflnr?
20 FEB-3
J t-
RECEiitDBY;
Introduced by SENATOR RONALD "BATO" DELA ROSA
AN ACT
STRENGTHENING THE OFFICE OF THE GOVERNMENT CORPORATE 
COUNSEL BY RATIONALIZING AND FURTHER PROFESSIONALIZING 
ITS ORGANIZATION, UPGRADING POSITIONS AND APPROPRIATING 
FUNDS THEREFOR
The Office of the Government Corporate Counsel (OGCC) acts as the 
principal and 
statutory law office of government-owned-and-controlled
f
corporations (GOCCs), their subsidiaries, government financial in^itutions, 
government corporate offspring, government instrumentalities with corporate 
powers and government acquired asset corporations, as well as economic 
zones, state universities and water districts all over the Philippines.
As provided in the Administrative Code of 1987, the OGCC is mandated 
to exercise control and supervision over all legal departments or divisions of 
corporations and handles cases, renders opinions, reviews or drafts contracts 
and other legal services. Furthermore, under Presidential Decree No. 242, the 
OGCC mediates and arbitrates disputes, claims and controversies between and 
among GOCCs.
For eighty four (84) years since it was created in 1935, the workload of 
the OGCC has increased and expanded. According to the Chief Government 
Counsel Elpidio Vega, at present the clients of OGCC has been pegged to more


than seven hundred twenty (720) government corporations. Considering this 
magnitude of the job of the OGCC, it is but high time that it must be 
strengthened and the organizational structure and personnel be reinforced in 
order to cope with the demands in the discharge of its mandate. Along with 
this is the revision and upgrade of the compensation and benefits of the 
employees.
The proposed measure aims to expand and upgrade the positions of the 
Government Corporate Counsel, Deputy Government Corporate Counsel and 
Assistant Government Corporate Counsels, and the Government Corporate 
Attorneys. Their rank, salary, allowances, retirement and pension benefits, 
emoluments, prerogatives and privileges shall be the same as their counterpart 
in the judiciary. On the otherhand, the non-legal personnel shall have the same 
salaries and benefits as that of their counterparts in the Office of the Solicitor 
General. Moreover, the salaries, benefits and privileges of the personnel of the 
OGCC shall automatically be increased with any corresponding increase in 
salaries and privileges subsequently granted to their respective counterparts in 
the judiciary, the Office of the Solicitor General and the Court of Appeals.
Hence, the approval of this is bill is earnestly sought.
RONALD "BATO\DELA ROSA
o


EIGHTEENTH CONGRESS OF THE 
REPUBLIC OF THE PHIUPPINES 
First Regular Session
)
SENATE
S . N o . 1310
^fuaic
#nitr o( tijr ikrcrrtarp
20 FEB-3 P4«<
RECEIVED BY: _ (P
Introduced by SENATOR RONALD "BATO" DELA ROSA
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AN ACT
STRENGTHENING THE OFFICE OF THE GOVERNMENT CORPORATE 
COUNSEL BY RATIONALIZING AND FURTHER PROFESSIONALIZING 
ITS ORGANIZATION, UPGRADING POSITIONS AND APPROPRIATING 
FUNDS THEREFOR
Be it enacted by the Senate and the House o f Representatives o f the 
Philippines__Congress assembled:
SECTION 1. Short Title. -  This act shall be known as the "OGCC Charter."
Sec. 2. Declaration o f Policy. -  It shall be the policy of the State to 
protect and promote the welfare, rights and interests of government-owned or 
controlled corporations (GOCCs), government financial institutions (GFIs), 
government instrumentalities with corporate powers (GCIPs), government 
corporate entities (GCEs) as defined in Republic Act 10149 as well as their 
subsidiaries and corporate offsprings including economic zones, state 
universities and water districts, all collectively referred to in this Act as 
government corporations (GOCCs).
Toward this end, the State shall require the improvement of legal 
services to efficiently address the expanding needs of these government 
corporations in accordance with its initiative towards an improved fiscal 
management and good corporate governance. It shall be the mandate of the 
OGCC to safeguard the legal interest of the government corporations.
Sec. 3. Power, Jurisdiction and Mandate. -  Any law to the contrary 
notwithstanding, the Office of the Government Corporate Counsel (OGCC) shall 
be the statutory counsel and principal law office of all government corporations. 
All government corporations shall refer to the OGCC the following:
a. All important legal questions for opinion and advice;


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b.
c.
All contracts for review, provided that the GCC may from time to time 
determine which contract shaii no longer be submitted to OGCC; and 
All cases for representation before regular courts, quasi-judicial 
bodies, administrative agencies and arbitral tribunals, provided that, 
the Government Corporate Counsel (GCC) may thereafter authorize 
the government corporation's legal department or retained counsel 
as collaborating counsel to handle cases, as the urgency or 
expediency of circumstances may warrant.
The OGCC shall:
d. Exercise control and supervision over the legal departments of all 
government corporations and conduct periodic performance audit of 
the 
in-house 
lawyers 
or 
legal 
departments 
of government 
corporations and to recommend appropriate actions to them;
e. Conciliate, mediate, act as hearing officers or adjudicate all disputes 
on controversies exclusively between government corporations;
f. 
Investigate and, in appropriate cases, hear administrative disciplinary 
cases involving all lawyers, officials and employees of government 
corporations upon the latter's request and recommend appropriate 
administrative or disciplinary sanctions;
g. Conduct fact-finding and preliminary investigation in appropriately 
referred cases;
h. Act as Corporate Secretary or 
any other officer of government 
corporations upon their request;
i. 
Be assigned as members of technical working groups, bids and 
awards committee, task force and other committees in relation to 
government corporations' projects;
j. 
Be detailed or assigned to government corporations upon their 
request provided, that the GCC approves the assignment or 
designation, 
including 
attendance 
in 
meetings 
requested 
by 
government corporations;
k. Represent the OGCC in the Governing Board and management 
committees of government corporations;
l. 
Approve the engagement of private lawyers by the government 
corporations; and
m. Perform such other functions necessary in the interest of the service.
Sec. 4. Expansion and Upgrading o f Positions. -
A. The Government Corporate Counsel ("GCC") shall have the rank, 
salary, allowances, retirement and pension benefits, emoluments, 
prerogatives and privileges as the Presiding Justice of the Court of 
Appeals. 
He/she shall be assisted by a Deputy Government 
Corporate Counsel C'DGCC") and twelve (12) Assistant Government 
Corporate Counsels C'AGCC") who shall have the rank, salary, 
allowances, 
retirement 
and 
pension 
benefits, 
emoluments,


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prerogatives and privileges of an Associate Justice of the Court of 
Appeals.
No person shall be appointed GCC, DGCC or AGCC unless he/she is a 
natural-born citizen of the Philippines and, for at least fifteen (15) years, has 
been engaged in the practice of law in the Philippines.
B. The number, rank, salary, allowances, retirement and pension 
benefits, emoluments, prerogatives and privileges of the other 
members of the legal staff shall be as follows:
1. The present ten (10) Government Corporate Attorney IV ("GCA IV") 
shall be increased to sixteen (16) and they shall have the rank, salary, 
allowances, 
retirement 
and 
pension 
benefits, 
emoluments, 
prerogatives and privileges of a Regional Trial Court Judge. No 
person shall be appointed as GCA IV unless he/she is a natural-born 
citizen in the Philippines and, for at least ten (10) years, has been 
engaged in the practice of law in the Philippines;
2. The present fourteen (14) Government Corporate Attorney III ("GCA 
III") shall be increased to nineteen (19) and they shall have the rank, 
salary, allowances, retirement and pension benefits, emoluments, 
prerogatives and privileges of a Metropolitan Trial Court Judge. No 
person shall be appointed GCA III unless he/she is a natural-born 
citizen of the Philippines and, for at least five (5) years, has been 
engaged in the practice of law in the Philippines.
3. The present seventeen (17) Government Corporate Attorney II 
("GCA 11") shall be increased to twenty (20) who shall be natural- 
born citizens of the Philippines and have been engaged in the practice 
of law in the Philippines for at least three (3) years;
4. The present four (4) Government Corporate Attorney I ("GCA I") shall 
be increased to twelve (12) who shall be natural-born citizens of the 
Philippines and have been engaged in the practice of law in the 
Philippines for at least one (1) year.
The GCC, DGCC and AGCCs shall be appointed by the President of the 
Philippines. The other members of the legal and administrative personnel shall 
be appointed by the GCC. Except for the GCC, the appointments of the DGCC 
and AGCCs shall be 
permanent upon compliance with the prescribed 
qualification standards under this law.
The GCC may appoint in coterminous capacity two (2) lawyers with the 
same rank, salary, allowances and other benefits of an AGCC and two (2) 
lawyers with the same rank, salary, allowances and other benefits of a GCA IV, 
who shall form part of his confidential staff.
Sec. 5. Organizational Structure. -  The OGCC shall be headed by the 
GCC, who is the principal law officer and legal defender of all the government 
corporations. He shall have the authority and responsibility for the exercise of


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the OGCC's mandate and for the discharge of its duties and functions, and shall 
have supervision and control over the OGCC and its constituent units. The GCC 
shall promulgate necessary rules & regulations for the implementation of the 
provisions of this law.
The GCC shall be assisted by the DGCC, AGCCs and such number of 
GCAs as may be necessary to operate the OGCC.
Unless otherwise determined by the GCC, the legal staff shall be divided 
into teams, each to be headed by an AGCC.
The administrative structure of the OGCC shall be composed of the 
Secretarial and Legal Support Services, Finance and Accounting Services, 
Human Resource and Management Services, Case and Records Management 
Services, Library Management and Information Technology Services, Corporate 
Planning Services and Property and Supply Services.
The legal and non-legal personnel of the OGCC occupying the positions 
affected by the changes embodied in this Act at the time of its approval shall 
thereafter occupy and discharge the duties and functions of the upgraded 
positions and receive the corresponding salary, benefits and privileges without 
necessity of new appointments.
Sec. 6. Compensation. -  The salary grades for the basic monthly 
compensation of the OGCC legal personnel shall be as follows:
Position
Salary Grade
Government Corporate Counsel
31
Deputy Government Corporate 
Counsel
30
Assistant Government Corporate 
Counsel
30
Government Corporate Attorney IV
29
Government Corporate Attorney III
28
Government Corporate Attorney II
27
Government Corporate Attorney I
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The 150 non-legal personnel shall be composed of the following: two (2) 
Chief Administrative Officers; one (1) Budget Officer V; one (1) Executive 
Assistant (EA) V; two (2) EA IV; one (1) EA III; one (1) Accountant IV; four (4) 
Supervising Administrative Officers; one (1) Planning Officer IV; eleven (11) 
Administrative Officers (AO) V; one (1) Librarian IV; one (1) Information 
Technology Officer; one (1) Computer Main Technician; one (1) Librarian III; 
four (4) AOs III; three (3) AOs II; twelve (12) Senior Administrative Assistant 
III; one (1) Planning Analyst II; twenty (20) Administrative Assistant (ADAS) 
VI; one (1) Computer Operator III; twelve (12) ADAS V; 
twelve (12) ADAS 
III; one (1) Bookkeeper III; three (3) Records Officer I; fourteen (14) ADAS II;


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five (5) ADAS I; one (1) Chauffeur IV; one (1) Security Guard III; ten (10) ADA 
VI; one (1) Driver IV; one (1) Buyer II; fourteen (14) ADA IV; and six (6) ADA 
III.
The non-legal personnel shall have the same salaries and benefits as 
that of their counterparts in the Office of the Solicitor General.
The salaries, benefits and privileges of the personnel of the OGCC 
granted under this Act shall automatically be increased to keep in step with any 
corresponding increase in salaries and privileges subsequently granted to their 
respective counterparts in the judiciary, the Office of the Solicitor General and 
the Court of Appeals.
Sec. 7. Personnel benefits and privileges -  Provisions of other laws to 
the contrary notwithstanding, and subject to availability of funds, the OGCC 
may provide its employees the following benefits:
I. 
Health care services through a health maintenance organization 
(HMO).
II. 
Accident insurance for all employees for approved travels while in 
the performance of official duties;
III. 
Provided the efficiency of the service is not prejudiced, 
scholarships for the deserving employees on official time to 
upgrade their knowledge and skills. 
Provided further, 
That 
scholars under this provision shall be selected on the basis of 
merit as determined by competitive examination; and
IV. 
A Provident Fund which shall consist of, but not be limited to 
contributions made by the OGCC and by its employees;
V. 
Reimbursement of registration fees and expenses for trainings 
and seminars. Mandatory Continuing Legal Education fees and 
professional license fees.
Sec. 8. Other Benefits. -  Provisions of other laws to the contrary 
notwithstanding, the legal personnel of the OGCC are authorized and shall 
continue to receive allowances and honoraria from government corporations 
which shall not exceed one hundred percent (100%) of their annual basic 
salary. 
The employees of the OGCC may likewise be extended such benefits 
and privileges as are given to the employees of government corporations.
Sec. 9. Retirement Benefits. -  Any law to the contrary notwithstanding, 
and consistent with Section 4 of this Act granting them the same retirement 
benefits and privileges of their counterparts in the judiciary, the retirement 
benefits of the GCC, DGCC, AGCC, GCA IV and GCA III shall be automatically 
increased whenever there is an increase in the salaries and allowances of the 
same positions from which he or she retired.
Sec. 10. Attorney's Fees and Special Assessment. -  The OGCC is 
authorized to receive twenty percent (20%) of the money claims collected by, 
or awarded/adjudged to government corporations, in addition to the attorney's


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fees awarded by a court, tribunal, or panel, including awards/judgments, 
stipulated under court-approved compromise agreements. The OGCC is hereby 
authorized to use such awards and attorney's fees to meet contingencies, 
obligations and undertakings and/ or for employee benefits and incentives, 
necessary or proper to promote efficiency in the service as determined by the 
GCC.
The GCC is likewise authorized to make special assessments upon 
government corporations and to disburse and use the same for such 
contingencies, obligations and undertakings, and to provide for employees' 
benefits and incentives allowed under the law.
Attorney's fees and special assessments shall be deposited in an 
authorized government depository and shall be made available for expenditure 
without the need for a cash disbursement ceiling for purposes of meeting 
obligations and contingencies, upgrading facilities and equipment, granting of 
employees' benefits and incentives and defraying such other expenses not 
provided for in the General Appropriations Act subject to accounting and 
auditing procedures.
Sec. 11. Franking Privilege. -  All official matters and telegrams of the 
OGCC addressed for delivery within the Philippines shall be received, 
transmitted and delivered free of charge.
Sec. 12. Appropriations. -T h e  amount needed for employees' salaries, 
mandatory allowances and benefits under other laws, maintenance and other 
operating expenses and capital outlay shall be appropriated in the budget of 
the OGCC under the annual General Appropriations Act.
Sec. 13. Repealing Clause. - All laws, decrees, rules and regulations 
inconsistent with the provisions of this Act are hereby repealed or amended 
accordingly.
Sec. 14. Separability Clause. -  If any of the provisions of this Act is 
declared invalid or unconstitutional, the provisions not affected thereby shall 
continue to be in full force and effect.
Sec. 15. Effectivity. -T h is  Act shall take effect after fifteen (15) days 
from its publication in the Official Gazette or in a national newspaper of general 
circulation.
Approved,
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