t;I
TWENTIETH CONGRESS OF THE 
)
REPUBLIC OF THE PHILIPPINES 
)
First Regular Session 
)
SENATE
S. t^6^____ 1
25 JUL-2 P4 :06
Introduced by Senator JV Ejercito
AN ACT
APPROPRIATING THE SUM OF SEVENTY FOUR BILLION FOUR HUNDRED 
THIRTY ONE MILLION NINE HUNDRED THIRTY THOUSAND PESOS 
(P74/431/930f000.00) AS SUPPLEMENTAL APPROPRIATIONS FOR FY 2025 
AND FOR OTHER PURPOSES
EXPLANATORY NOTE
It is the declared policy of the state under Article II Section 15 that:
"The State shall protect and promote the right to health of the 
people and instill health consciousness among them."
Under the Republic Act No. 12116 or the General Appropriations Act of 2025, the 
Philippine Health Insurance Corporation (PhilHealth) was given zero subsidy. Under the 
Nationai Expenditure Program (NEP) for FY 2025 submitted by the Department of Budget 
and Management, the amount of allocated for the National Health Insurance Program 
under PhilHealth is P74,431,930,000.00. This amount was supposed to cover the heaith 
insurance premiums of indirect contributors and their qualified dependents, indigents 
under the National Household Targeting System for Poverty Reduction, senior citizens, 
unemployed persons with disability, and financially-incapabie Point-of-Service patients. 
Furthermore, the said amount was supposed to be appropriated for the additional


increase in the benefit package improvement under the Universal Health Care Law. This 
should have been use for the expansion of dialysis coverage, mental health outpatient 
coverage, improvement of Z-benefit packages, rationalization of selected medical and 
surgical procedures, and the implementation of the comprehensive outpatient benefit 
package. In addition, the amount would have been allocated for the health insurance 
premiums of the beneficiaries under the PAyapa at MAsaganang PamayaNAn (PAMANA) 
Program.1
PhilHealth, the government-run insurance provider, has been confronted with 
issues of corruption, inefficiency and unsatisfactory delivery of affordable health services, 
inadequate healthcare benefit packages, among others. Connected to this issue is the 
questionable transfer of P89.9 billion PhilHealth reserve funds to the National Treasury, 
which led to a Supreme Court case. Be that as it may, we cannot pass the burden to our 
kababayans\N\\o are in need of accessible and affordable healthcare, and let them suffer 
the consequences for the failures and short-comings of PhilHealth in their mandate.
Based from the actuarial study of PhilHealth, for 2025 alone, with a total income 
(premium payment of direct contributors, PCSO and PAGCOR, other income) of P250.82 
billion and a total expense of P319.01 billion, the year end fund balance will go down to 
P375.32 billion, registering a P68.19 billion net loss. It is unfortunate that because of the 
zero-subsidy for PhilHealth, our National Health Insurance Program in the coming years 
is in jeopardy. It is important to point out some possible legal implications because of this 
action. Existing laws have already earmarked funds for PhilHealth for the implementation 
of the Universal Health Care (UHC) law. Under Section 14 of Republic Act No. 11346, it 
is mandated that "fifty percent (50%) of the total revenues collected from excise tax on 
sugar-sweetened beverages, to which eighty percent (80%) will go to PhilHealth for the 
implementation of the UHC law; fifty percent (50%) of the revenues collected from the 
excise tax on alcohol products to which eighty percent (80%) will go to PhilHealth for
1 National Expenditure Program FY 2025


the implementation of the UHC law; fifty percent (50%) of the total tax collection from 
tobacco products to which eighty percent (80%) will go to PhilHealth for the 
implementation of the UHC law; and revenues from excise tax on heated tobacco 
products and vapor products to which eighty percent (80%) will go to PhilHealth for 
the implementation of the UHC law." Notwithstanding the mandate of this provision, 
no funds have been given to PhilHealth.
PhilHealth may still have funds now to use to cover the premium payment of 
indirect contributors, which the government is supposed to subsidize, however we must 
take into account the long-term effect of this action to PhiiHealth. We have to safeguard 
the financial sustainability of our country's health insurance system and must guarantee 
that healthcare coverage for millions of our kababayans, most specially the vulnerable 
population, will not be crippled in the coming years.
For this reason, this measure aims to appropriate P74,431,930,000.00 as 
supplemental appropriations for FY 2025. This will be use to subsidized our National 
Health Insurance Program, specifically for the payment of premium contributions of 
indirect contributors and their dependents, indigents, senior citizens, unemployed 
persons with disability, financially-incapable point-of-service patients, and the 
beneficiaries under the PAyapa at MAsaganang PamayaNAn (PAMANA) Program. Also, 
the amount shall be appropriated for the improvement of benefit packages under the 
Universal Health Care Law.
With this, the immediate passage of this bills is earnestly sought.
JV EJERCITO


TWENTIETH CONGRESS OF THE 
REPUBLIC OF THE PHILIPPINES 
First Regular Session
25 JUL-2 P4:06
)
SENATE 
S. No.___ 1
iu;c.
Introduced by Senator JV Ejercito
AN ACT
APPROPRIATING THE SUM OF SEVENTY FOUR BILLION FOUR HUNDRED 
THIRTY ONE MILLION NINE HUNDRED THIRTY THOUSAND PESOS 
(P74,431,930,000.00) AS SUPPLEMENTAL APPROPRIATIONS FOR FY 2025 
AND FOR OTHER PURPOSES
Be it enacted by the Senate and the House of Representatives of the Philippines 
in Congress assembled:
1 
SECTION 1. Appropriations. - The sum of Seventy Four Billion Four Hundred Thirty
2 
One Million Nine Hundred Thirty Thousand Pesos (P74,431,930,000.00) is hereby
3 
appropriated to supplement the FY 2025 General Appropriations Act.
4 
Sec. 2. -Use and Release of Funds - The amounts appropriated herein shall be
5 
used as subsidy for the National Health Insurance Program specifically for the following:
6 
a. Fifty Three Billion One Hundred Thirty Four Million Three Hundred Seventy
7 
Thousand Pesos (P53,134,370,000.00) for the health insurance premiums of
8 
indirect contributors as defined under Republic Act No. 11223 or the Universal
9 
Health Care Act, as well as their qualified dependents, indigents under the National
10 
Household Targeting System for Poverty Reduction as identified by the
11 
Department of Social Welfare and Development, senior citizens pursuant to
12 
Republic Act No. 10645, unemployed persons with disability jointly determined by


1 
the Department of Health (DOH) and the National Council on Disability Affairs, and
2 
financially-incapable point-of-service patients as identified by the DOH.
3 
b. Twenty One Billion One Hundred Seventy Million Pesos (P21,170,000,000.00) for
4 
the benefit package improvement under the Universal Health Care Law including,
5 
but not limited to, the expansion of dialysis coverage, mental health outpatient
6 
coverage, improvement of Z-benefit packages, severe acute malnutrition, all case
7 
rate, rationalization of selected medical and surgical procedures, and the
8 
implementation of the comprehensive outpatient benefit package, including free
9 
consultation fees, laboratory tests, other diagnostic services, outpatient drug
10 
benefit, and emergency medical services.
11 
c. One Hundred Twenty Seven Million Five hundred Sixty Thousand Pesos
12 
(P127,560,000.00) for the health insurance premiums of the beneficiaries under
13 
the PAyapa at MAsaganang PamayaNAn (PAMANA) Program.
14 
Releases from this Fund shall be made by the Department of Budget and
15 
Management (DBM) directly to the Philippine Health Insurance Corporation (PhilHealth).
16 
Sec. 3. Availability of Appropriations. - The appropriations authorized in this Act
17 
shall be available for release and obligation for the purpose specified until December 31,
18 
2025.
19 
Sec. 4. Submission of Reports. - The DBM and PhilHealth shall submit, either in
20 
printed form or by way of electronic document, to the House Committee 
on
21 
Appropriations, the Senate Committee on Finance and the Commission on Audit, the
22 
quarterly accountability reports on the utilization of funds. The DBM and the DBM's web
23 
administrator or his/her equivalent shall be responsible for ensuring that the said
24 
quarterly reports are likewise posted on the official website of the DBM and the
25 
implementing agency.
26 
Releases from the said Fund shall be subject to the submission of a special budget
27 
pursuant to Section 35, Chapter 5, Book VI of Executive Order No. 292, series of 1987.
28 
Sec. 5. Separability Clause. - If any portion or provisions of this Act is declared
29 
unconstitutional, the remainder of the Act or any provisions not affected thereby shall
30 
remain in force and effect.


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Sec. 6. Repealing Clause. - Any law, presidential decree or issuance, executive 
order, letter of instruction, rule or regulation inconsistent with the provisions of this Act 
is hereby repealed or modified accordingly.
Sec. 7. Effectivity. - This Act shali take effect fifteen (15) days following its 
publication in the Official Gazette or a newspaper of general circulation.
Approved,