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FIFTEENTH CONGRESS )
REPUBLIC OF THE PHILIPPINES )
FIRST REGULAR SESSION )
HOUSE OF REPRESENTATIVES

House Bill No._ 2689

Introduced by Representative Peter “Sr. Pedro” Unabia

EXPLANATORY NOTE
“AN ACT PROVIDING FOR A MAGNA CARTA FOR ALLEVIATING MASS POVERTY”

As a private citizen, this representation started a livelihood program and learned the
effectiveness of the same as a potent tool for poverty alleviation. This is in line with the
guiding principles of Social Responsibility, Economic Emancipation and Political
‘Awareness. As a social enabler like most of the members in this august chamber, it is
easy to comprehend that political reform through education comes effectively with a

full stomach.

What was started as an experiment and thought of only to effect merely
augmentation of the income of the poor people, became the main livelihood for most of
them. The fast growing program for livelihood manifests its effectiveness with the poor

and the needy.

Even then, our partners in the implementation of these various livelihood programs
realized the necessity of having a concrete support from the government. Needless to
elaborate, it is a realization that the current governmental structures for livelihood
support, need improvement to attain the full potential of the initiative. Indeed there is
a need to provide legislative measures, to make such programs part of the general

policy.


One of the best practices experienced is the help extended by the private sector. The
arrangement has been effective as the support is an extension of the private sector’s
business activities. We need to encourage the private sector to do the same as the

success of the livelihood program depends on the assurance of marketing support for

their products.

This immediate proposed measure has since been extended to cover all what is for
the poor sector; to economically emancipate them from the bondage of poverty by
laying down all the basic and irreducible rights as essential requirements towards
Poverty alleviation. While it is true that government has boasted of these structures,
including the supposedly accessible financial assistance for capitalization, these are
More often than not, difficult to avail of and the biases of these outfits are usually

leaning towards the big business.

The basic rights herein included, which serve as the extension of the original bill
which addressed only the livelihood sectoral concerns, are: the right to employment, the
right to food, the right to shelter, the right to free quality education and the right to

free healthcare and medicine.

We believe that the features of this legislation are “minimum standards of decency”
which the poor can demand as a matter of right and which the government must do as a

matter of obligation.

It is for these reasons that passage of this bill is earnestly sought.



FIFTEENTH CONGRESS OF THE )
REPUBLIC OF THE PHILIPPINES
First Regular Session )

HOUSE OF REPRESENTATIVES

House Billno.__ 2689

Introduced by Representative Peter M. Unabia

AN ACT PROVIDING FOR A MAGNA CARTA FOR ALLEVIATING MASS
POVERTY

SECTION 1. Title. - This Act shall be known as the “Magna Carla for Alleviating
Mass Poverty”.

SEC. 2. Declaration of Policy.- It is the declared policy of the State to uplift the
standard of living, and quality of life of the poor and provide them with sustained
opportunities for growth and development. Every poor Filipino family must be
empowered to meet their minimum basic needs, through the partnership of the
government and the basic sectors.

Itis likewise vital that the State complies with its international obligations to eradicate
poverty, such as our commitment to achieve the Millennium Development Goals
which include the eradication of extreme poverty and hunger, achievement of
universal primary education, promotion of gender equality and empowerment of
women, reduction of child mortality, improvement of maternal health, combating HIV
AIDS, malaria and other diseases, ensuring environmental sustainability and
development of a global partnership for development

To attain the foregoing policy:

(a) Government must prioritize investments in anti- poverty programs to enable the
Poor to participate responsibly in the country’s growth and development:

(b) All government departments, agencies and instrumentalities must provide full
access to government services for the poor,

(c) Government interventions must be strengthened to address the genuine
concerns of the poor, while long- term strategies and solutions for the empowerment
of the poor are being put in place; and


(d) The capabilities and competencies of the basic sectors, the non-government
organizations (NGOs) and people's organizations (POs), as partners of the
government for the effective delivery and implementation of a wide range of anti-
poverty programs and basic services, shall be enhanced and promoted

SEC. 3. Definition of terms. - As used in this Act, the following terms are hereby
defined:

(a) Poor shall refer to individuals or families whose income fall below the poverty
threshold as defined by the National Economic and Development Authority (NEDA)
and/or cannot afford to provide their minimum basic needs of food, health, education,
housing and other essential amenities in a sustained manner,

(b) Basic sectors shall refer to the disadvantaged sectors of Philippine society,
namely: farmer- peasants, artisanal fisher folks, workers in the formal and informal
sectors, migrant workers, indigenous people and cultural communities, women,
differently-abled persons, senior citizens, victims of calamities and disasters, youths,
students, children and the urban poor,

(c) Hazardous or danger zones shall refer to areas which when occupied for
residential purposes actually pose a danger to the life and safety of the occupants or
of the general community.

(d) People's organization (PO) shall refer to any recognized or accredited self- help
association or cooperative of the basic sectors or disadvantaged groups composed
of members having a common bond of interest, who voluntarily join together to
achieve a lawful common social and economic end.

SEC. 4, Basic Rights of the Poor. - The poor shall have the following rights, the
enjoyment of which is an essential step towards poverty alleviation: (a) the right to
food; (b) right to employment and livelihood; (c) the right to quality education; (d) the
right to shelter; and (e) the right to basic health services and medicines.

‘The government shall, as a matter of duty and obligation, provide the requirements,
conditions and opportunities for the full employment of these rights of the poor, and
which the poor can demand as a matter of right.

4.1. The Right to Food. - The Department of Social Welfare and Development
(DSWD) shall expand a program of subsidy to help the poor meet their minimum
food requirements. To help ensure the implementation of the food assistance
program, all food items and food products, including rice, com, sugar and other
prime commodities, seized and forfeited with finality in favor of the government for
Violations of customs laws shall be automatically transferred to and/ or turned over to

the DSWD for proper disposition
The DSWD, in coordination with the Department of Agriculture (DA), shall develop

plans and projects to complement existing food subsidy programs of the government
so that the poor can engage in productive activities. These shall promote food self-

sufficiency among the poor.

4.2. The Right to Employment and Livelihood.- The Department of Labor and
Employment (DOLE), in coordination with the Peoples Organization (PO's), National


Anti- Poverty Commission (NAPC), Local Government Units (LGUs), and relevant
government agencies and government financial institutions, shall primarily be
fesponsible for providing facilitation assistance to the poor to ensure better access to
livelihood opportunities and employment openings in private enterprises and in
government programs and projects,

Participation of private corporations, partnerships and other juridical entities in the
promotion and provision of Livelihood programs for the poor such as the scheme of
“contract growing” _shall_likewise_be encouraged__The same corporations,
partnerships and other juridical entities thru their corporate social _ responsibility
(CSR) atm extend business operation involving as many as poor households in the

areas of jurisdiction.

Local measures granting incentives and seal property tax exemptions or tax holidays
shall be given fo such entities.

Jn_addition to such incentives, an income tax moratorium imposed under the National
Internal Revenue Code on the income derived from such livelihood activities for the
first 2 years of operation, shall be granted to such entities

The DOLE and other concerned government agencies are likewise tasked to
address the emergency employment needs of displaced families.

In the hiring of workers needed for the implementation of government infrastructure
projects and/or government-funded contracts or government-assisted undertakings,
it shall be mandatory to prioritize qualified laborers from the poor sector who are
residents of the barangays, where the project is located, and if no such qualified
laborer is available in the area as certified by the Barangay Chairman concerned,
then_such laborers residing in the municipality or province as provided in the

implementing rules.
4.3, The Right to Quality Education. - The right of the poor to free public elementary

and Secondary education shall not be impaired. The right to education shall include
access to quality education at the college level

Consistent with the government's goal of providing socialized college education,
including the student loans or study-now-pay-later plans, programs on education
shall be expanded in state/local/private universities and colleges, as well as higher
education institutions: Provided, That the students qualify and maintain good
academic standing: Provided, further, That the students enroll in priority courses, as
determined by the Commission on Higher Education (CHED).

It shall also include the right to avail of quality technical vocational education and
Training through scholarships, subsidies and financial assistance, to ensure access
to decent and productive employment. At least five percent (5%) discount shall be
granted by establishments that sell reference books for college and school supplies
to poor but deserving students, subject to the guidelines to be issued by CHED:
Provided, That these establishments may claim the cost as allowable tax deduction


from the gross income in the computation of their income tax in accordance with the
provisions of the National Internal Revenue Code of 1997, as amended.

The Department of Education (DepED), CHED and the Technical Education and
Skills Development Authority (TESDA), in coordination with government agencies
concermed, shall ensure the full enjoyment of the poor of the right to education

4.4. The Right to Shelter. - The right of the poor to decent housing shall not be
abridged. The government shall develop and implement a housing program for the
Poor which shall include a well- targeted and responsive subsidy scheme that will
provide decent housing with the least financial burden.

In all cases, the government, in ensuring the exercise and enjoyment of the right of
the poor, shall put in place a system consisting of simple requirements and
procedures, and expeditious processing and approval

The government, through the Housing and Urban Development Coordinating Council
(HUDCC) and the National Housing Authority (NHA), in coordination with the LGUs,
shall prioritize the implementation of the socialized housing and resettlement for the
poor specially those residing in hazardous or danger zones.

The implementers of the socialized housing and resettlement programs shall enjoy
the incentives stated in Section 20 of Republic Act No. 7279, otherwise known as the
"Urban Development and Housing Act of 1992"

4.5. The Right to Basic Health Services and Medicines.- The LGUs shall ensure and
promote the health of their populace in a rational manner, including the availability of
quality primary healthcare services and access to secondary and tertiary healthcare
services and public healthcare programs.

The Department of Health (DOH) shall provide the highly specialized level of quality
health care in a rational manner as well as technical assistance to LGUs, POs and
other members of civil society in effectively implementing programs, projects and
services that will promote the health and well- being of every Filipino, especially the

poor.

The Philippine Health Insurance Corporation (philHealth), in coordination with the
DOH, shall ensure that every Filipino, especially the poor, is covered and entitled to
an adequate package of health services. The out-of-pocket expenses of every
Filipino, especially the poor, shall be substantially reduced, with the end view of
totally eliminating such expenses. The current payment and enrollment mechanisms
shall also be reformed.

The DOH, LGUs and Philhealth shall define an expanded primary health package
that every citizen is entitled't6 and can readily avail of Clear responsibilities must be
defined and allocated between the three partners, ensuing also that services
provided are consistent with the epidemiological profile and population needs,


4.6. Other Rights of the Poor. - Ail other rights and benefits for the poor provided
under existing laws shall remain in full force and effect. Nothing herein shall be
construed to diminish the enjoyment of such rights by the poor who shall have the
right to avail of the greater rights or benefits offered by existing laws, including those
granted under this Act.

SEC. 5. System for Targeting of Beneficiaries- The DSWD, in coordination with
NAPC and other relevant government agencies, LGUs, NGOs and POs, shall come
up with a single system of classification to be used for targeting beneficiaries of the
government's anti-poverty programs and projects to ensure that such programs
teach the intended beneficiaries

SEC. 6. Funding Requirements. - The funding for the pro- poor programs and
projects implemented under this Act shall be taken from the appropriate programs of
the relevant agencies, guided by the Medium Term Expenditure Framework which
they develop and submit to the Department of Budget and Management (DBM).

Deficiencies in the existing appropriations of the pro-poor programs in the different
departments and agencies shall be included in the General Appropriations Act of the
year following the enactment of this Act and thereafter.

SEC. 7. Rational Allocation of Funds. - The National Economic and Development
Authority (NEDA), in relation with NAPC, shall be principally responsible for the
efficient and rational allocation of available funding requirements as may be needed
by the different government departments and agencies in implementing the rights of
the poor.

SEC. 8. Private Sector Participation. - The private sector is highly encouraged to be
an active partner for the empowerment of the basic sectors.

As such, the DSWD, DOLE, DepEd, DOH, NAPC, DA, CRED, TESDA, HUDCC,
NHA are hereby authorized to solicit donations, aids or grants, in cash or in kind,
from whatever squrce, and/or enter partnerships with private/public institutions to
meet the demands of the basic rights to food, employment and livelihood, quality
education, shelter, basic health services and medicine, and other rights.

SEC. 9. Donors Tax Exemptions. - Any donation, contribution or grant which may be
made to the programs and projects entered into pursuant to this law shall be exempt
from the donor's tax and the same shall be considered as allowable deduction from
the gross income in the computation of the income tax of the donor in accordance
with the provisions of the "National internal Revenue Code of 1997", as amended.

SEC. 10. Role of the Local Government Unit - LGUs shall be responsible for the
formulation and implementation of local anti-poverty programs and projects in their
jurisdictions and ensure that these are consistent with, and complementary to,
national programs and projects set forth in the basic rights of the poor as provided in
Section 4 of this Act.


LGU's are likewise mandated to include in their Annual Budgets five per centum
(5%) of the estimated revenue from regular sources for the Anti-poverty program.

SEC. 11. Joint Congressional Oversight Commitiee.- There is hereby created a joint
congressional oversight committee to monitor the implementation of this Act,
including the achievement of the Millennium Development Goals, The committee
shall be composed of five (5) senators and five (5) representatives to be appointed
by the Senate President and the Speaker of the House of Representatives,
respectively. The oversight committee shall be co-chaired by a senator and @
representative designated by the Senate .President and the Speaker of the House of
Representatives, respectively

The mandate given to the joint congressional oversight committee under this Act
shall be without prejudice to the performance of the duties and functions by the
respective existing oversight committees of the Senate and the House of
Representatives,

SEC. 12. Implementing Rules. - The NAPC, in coordination with the government
departments and agencies, shall promulgate rules and regulations to carry out the
provisions of this Act within three (3) months from its effectivity. The rules shall set
priority target areas for the initial implementation of this Act, with the end in view of
ensuring the successful replication of the program nationwide.

SEC. 13. Compliance Report. - The NAPC, in coordination with all government
departments and agencies concerned, shall within six (6) months, from the effectivity
of this Act and every six (6) months thereafter, submit a report to Joint Congressional
Oversight Committee on the compliance with the provisions of this Act.

SEC. 14. Separability Clause. - If any provision of this Act is declared
unconstitutional, the other provisions not affected thereby shall remain in full force
and effect.

SEC. 15. Repealing Clause. - All laws, decrees, orders, rules and regulations or
parts thereof which are inconsistent with the provisions of this Act are hereby
repealed or modified accordingly.

SEC. 16. Effectivity. - This Act shall take effect fifteen (15) days after its publication
in two (2) national newspapers of general circulation.
Approved,