Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

15" Congress
First Regular Session

COMMITTEE REPORT NO. 384
01620 2610

Submitted by the Committee on People’s Participation on

RE : House Bill No.
Recommending its approval in substitution of House Bill No. 219

Sponsors Representatives Benjamin DR. Asilo, Lorenzo R.
Tafiada Ill, Cinchona C. Gonzales and Cresente C. Paez

Mr. Speaker:

The Committee on People's Participation to which was referred House
Bill No. 219 introduced by Rep. Lorenzo Tafiada III, entitled:

“AN ACT INSTITUTIONALIZING THE PARTICIPATION OF
BONA FIDE PEOPLE'S ORGANIZATIONS AND NON-
GOVERNMENT ORGANIZATIONS, OR PRIVATE/CIVIC
SECTOR GROUPS IN THE PUBLIC HEARINGS IN CONGRESS
AND LOCAL GOVERNMENT UNITS’ BUDGET
DELIBERATIONS”

has considered the same and recommends that the attached House Bill No.

3773. entitled:

“AN ACT INTITUTIONALIZING THE PARTICIPATION OF
BONA FIDE CIVIL SOCIETY ORGANIZATIONS (CSOs) IN
BUDGET HEARINGS AND DELIBERATIONS IN CONGRESS,
IN NATIONAL GOVERNMENT AGENCIES (NGAs), AND
LOCAL GOVERNMENT UNITS (LGUs)”

be approved in substitution of House Bill No. 219 with Representative Lorenzo
R. Tafiada Ill as author and Representatives Tomas V. Apacible, Maria
Isabelle G. Climaco, Benjamin DR. Asilo, Cresente C. Paez, Bernadette R.
Herrera-Dy, Cinchona C. Gonzales, Raymond Democrito C. Mendoza, Edwin DL.


Olivares, Christopher S. Co, Mark Aeron H. Sambar and Arnel U. Ty as co-
authors thereof.

BENJAMIN DR. ASILO

Chairman

Committee on People's
Participation

THE HONORABLE SPEAKER
HOUSE OF REPRESENTATIVES
QUEZON CITY


THE COMMITTEE REPORT OF THE COMMITTEE ON PEOPLE’PARTICIPATION
ON THE SUBSTITUTE BILL TO HB 219
(POs PARTICIPATION IN BUDGET DELIBERATION ACT)
For the Majority:
1. HON. CINCHONA C. GONZALES
2. RAYMOND DEMOCRITO C. MENDOZA
3. HON. EDWIN DL. OLIVARES
4, HON. CRESENTE C. PAEZ
5. HON, NEIL BENEDICT A. MONTEJO-
6, HON. GODOFREDO V. ARQUIZA
7. HON. MARK AERON H. SAMBAR
8, HON, CHRISTOPHER S. CO
9, HON, WINNIE T, CASTELO
10. HON. EMMANUEL D. PACQUIAO.

14, HON. RAFAEL V, MARIANO

12. HON, TEDDY B. BAGUILAT, JR

13, HON. CATALINA G. LEONEN-PIZARRO

14, HON. ANTONIO A. DEL ROSARIO
15, HON, JOAQUIN CARLOS RAHMAN A. NAVA
16. HON. ARNEL U. TY

17. HON, SALVADOR P. CABALUNA II!

For the Minority:

18. HON. JUAN MIGUEL MAGAPAGAL-ARROYO.

19, HON, REENA CONCEPCION G. OBILLO hy

20. HON. ARTHUR C. YAP


Ex-officio Members:

1. HON. FELICIANO R. BELMON
2. HON. RAUL A. DAZA

3. HON. LORENZO R. TANADA Ill

4, HON. PABLO P. GARCIA

5. HON. ARNULFO P. FUENTEBELLA

6, HON. JESUS CRISPIN C. REMULLA

7. HON. MARIA ISABELLE "BENG" G. CLIMACO
8, HON. NEPTALI M. GONZALES II

9. HON. JANETTE L. GARIN

10. HON. ROMAN T. ROMULO.

14. HON. RODOLFO C. FARINAS

12. HON. MAR-LEN ABIGAIL BINAY

13, HON. MAGTANGGOL T. GUNIGUNDO |

14. HON. DAISY A. FUENTES

15, HON. JORGE JOHN B. BANAL, JR

16. HON. ROMERO FEDERICO "MIRO" S. QUIMBO

17. HON. EDCEL C. LAGMAN

18, HON. DANILO E. SUAREZ

19. HON. AUGUSTO BOBOY SYJUCO, Ph.D.
20. HON. CARLOS M. PADILLA

21. HON, MA. AMELITA C, VILLAROSA

22. HON. MARC DOUGLAS C. CAGAS IV

23. HON. FLORENCIO “BEM™ G. NOEL


FACT SHEET
House Bill No. 219
PEOPLE'S PARTICIPATION IN BUDGET DELIBERATION ACT OF 2010

Introduced by : Reps. Lorenzo R. Tafiada Ill, Cresente C. Paez,
Benjamin DR. Asilo, Cinchona C. Gonzales,
Raymond Democrito C. Mendoza, Edwin DL.
Olivares, Christopher S. Co, Mark Aeron H.
Sambar, and Amel U. Ty

Committee Referral : Committee on People’s Participation
Committee Chairperson: Rep. Benjamin DR. Asilo

OBJECTIVES:

* To institutionalize people's participation in budget deliberation in national
and local levels of government.

* To allow the exercise of the people's right to participate in public decision-
making and in the process, enhance accountability on the use of
taxpayers’ money.

KEY PROVISIONS:

+ Mandates that the application for accreditation shall be filed in the Office
of the Secretary of the Senate or the Secretary General of the House of
Representatives or the Local Sanggunian of Local Government Units

(LGUs).

+ Authorizes the Secretaries of both Houses of Congress and the
respective Local Sanggunians_ to cancel the certificate of accreditation of
any people's organization (PO) and non-government organization (NGO)
which have been found guilty of having procured their certificate by fraud
or deceit or through error.

+ Provides an accredited PO or NGO the following rights and privileges at
the legislative body where they are accredited:

1. Receive notices of hearings and consultations and/or call for written
submissions;

2. Participate through duly authorized representatives in regular and
consultative meetings or hearings concerning annual budget
deliberations;

3. Submit its own alternative or position paper and alternative sources
of financing on the projects, programs, and activities.


4, Gain access to copies of bills or budget proposals and to the data
coming from the Senate, the House of Representatives, and/or the
Local Sanggunian, as applicable; and.

5. Present position papers or written proposals.

Enumerates the following guidelines in choosing the representatives for
accredited POs and NGOs: a) Nominated representatives shall be
members of the PO/NGO or sectoral/multi-sectoral group that they
represent, and b) Selected representatives shall serve at the pleasure of
their accredited organizations. The Senate and the House, in consultation
with the Department of Social Welfare and Development (DSWD),
Department of the Interior and Local Governemnt (DILG), POs, NGOs,
and other agencies deemed necessary to consult, shall issue the
Implementing Rules and Regulations (IRR).

Directs Congress and LGUs to post on the worldwide Web and on their
local bulletin boards pertinent documents of the proposed budget, as
enumerated in the measure.

Penalizes any person who shall violate the provisions of the measure with
a penalty of suspension ranging from one (1) month to three (3) months,
and/or a fine of Thirty Thousand Pesos (P30,000.00) to Fifty Thousand
Pesos (P50,000.00).

RELATED LAWS:

.

Article Xill, 1987 Constitution

Local Government Code of 1991*


YQ van

HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

First Regular Session
Fifteenth Congress

+ Houseauno, 3773
(in substitution of HB 219)

Introduced by Reps. Lorenzo R. Tafiada Ill, Tomas V. Apacible, Maria Isabelle G. Climaco, Benjamin
DR. Asilo, Cresente C. Paez, Bernadette R. Herrera-Dy, Cinchona C. Gonzales, Raymond Democrito C.
Mendoza, Edwin DL. Olivares, Christopher S. Co, Mark Aeron H. Sambar, and Arnel U. Ty

AN ACT
INSTITUTIONALIZING THE PARTICIPATION OF BONA FIDE CIVIL SOCIETY ORGANIZATIONS (CSOs) IN
BUDGET HEARINGS AND DELIBERATIONS IN CONGRESS, IN NATIONAL GOVERNMENT AGENCIES
(NGAs), AND LOCAL GOVERNMENT UNITS (LGUs)

Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:

SECTION 1. Short Title. — This Act shall be known as the “People's Participation in Budget

Delibera

n Act of 2010.”
SEC. 2. Declaration of Policy. ~ It is hereby declared the policy of the State to recognize the role
of independent civil society organizations (CSOs) as effective participants in all levels of social,

political, and economic decisi

in-making. The State respects their right to pursue and protect “within
the democratic framework, their legitimate and collective interests and aspirations through peaceful

and lawful means,” as provided in Article Xill of the 1987 Constitution. For this purpose, the State shall

guarantee the participation of CSOs in the formulation, monitoring and evaluation of the national and
local budgets to ensure that the annual appropriations will be an instrument of development and

reflective of national and local objectives, strategies, and plans.


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SEC. 3. Definition of Terms. — For purposes of this Act:
a) Accreditation refers to the process by which the Senate or the House of Representatives, NGAs,
and Local Sanggunians shall recognize, register, and allow the CSOs to participate in the budget
deliberation, The accreditation of POs and NGOs shall not confer juridical personality on the
organizations;
b) Civil Society Organization refers to any organized citizens’ group including People’s Organizations
{POs) and Non-Government Organizations (NGOs) such as community groups, labor unions, indigenous,
groups, charitable organizations, faith-based organizations, professional associations, and foundations;
c) Government entity refers to any government agency or instrumentality, including local government
Units (LGUs), with which the POs and NGOs have legitimate concerns;
d) Non-government organization refers to an independent private and non-profit organization formed
primarily for social and economic development with none of its officers or members occupying
elective government positions;
e) Participation mechanism refers to the means by which POs and NGOs could participate effectively
and meaningfully in the government process of deliberating an annual budget to ensure that it is
responsive to the needs of different sectors in the community; and
f) People’s organization refers to a bona fide cooperative or association of citizens organized for
purposes not contrary to law with demonstrated capacity to promote the public interest and with
identifiable leadership, membership, and structure with none of its officers and members occupying

elective government positions.

SEC. 4. Coverage. ~ All CSOs may be allowed to participate and play a significant role in the
congressional, national, as well as local annual budget deliberations: Provided, That they undergo the
mandatory accreditation process and comply with the implementing rules and regulations issued by

Congress and/or concerned NGAs, and Local Sanggunians, pursuant to Section 5 of this Act.


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Both Houses of Congress shall, through the Senate President and the Speaker, allow the active
Participation of accredited POs and NGOs in the deliberation of the annual national budget by inviting
their duly authorized representatives as resource persons, subject to such internal rules and
regulations as the Senate and the House of Representatives or its concerned committee may provide.

All NGAs are required to conduct public consultations among their stakeholders, including
concerned CSOs, on their agency's proposed budgets before they are submitted to the Department of
Budget and Management (DBM),

The Local Chief Executives (LCEs) and/or the Local Finance Committees shall hold consultations
‘on the proposed budgets of the LGUs with their constituents prior to submission to the Local
Sanggunian,

The Local Sanggunians shall also allow the active participation of the POs and NGOs during their
annual budget deliberations. The CSOs are allowed to participate in the Local Development Councils’
formulation of the Annual Investment Plan (AIP); Provided that such participation is subject to the
limitations provided by law, ordinances, rules, and regulations.

SEC. 5. Application for Accreditation. ~ Within thirty (30) days upon the ratification of this Act,
and on future periods where a newly elected Congress and Local Sanggunians are established, the
respective Secretaries of the legislative bodies shall send notices to CSOs, informing them that they
may apply for accreditation to enable them to participate in the annual budget deliberations.

The application for accreditation shall be filed with the Office of the Secretary of the Senate, the
Secretary General of the House of Representatives, the Secretary of the NGA concerned, and the
Secretary to the Local Sanggunian in the form prescribed by such offices for the purpose, with the

following documents as attachments:

a) Articles of Incorporation and by-laws of the applicant POs and NGOs;


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b) Certificate of Registration with the Securities and Exchange Commission (SEC) or other government
accrediting agencies;
©) Affidavit describing the organization, its work, and operations showing:

1. The character of the organization;

2, The purpose for which it is organized;

3. The list of activities or projects for the past two (2) years; and

4, List of officers, directors, trustees, and members.
4d) Certificate of Good Track Records and Standing from the proper authority or concerned office, and
€) Duly audited financial statements for the past two (2) years showing the assets and liabilities of the
‘organization; and
f) Board Resolution or any other form of legal evidence to prove that the respective organization has

the desire an

‘mandated by its representation to apply.

SEC. 6, Action on Accreditation. All applications for accreditation shall be acted within a period
of ten (10) working days. Upon approval of the application by the Secretary of the Senate, the
Secretary General of the House of Representatives, the Secretary of Concerned NGA, or the Local
Sanggunian, a certificate of accreditation shall be issued to the organization which shall be valid for
three (3) years upon approval. In case of disapproval, a notice shall be sent to the CSO concerned, The
notice shall include the date of hearing to allow the CSO to appeal the disapproval. The final decision
shall be rendered within ten (10) days after the issuance of the said notice.

SEC. 7. Guidelines for Choosing the Representatives for Accredited POs and NGOs. Accredited
POS and NGOS shall submit the name of their representative in the budget exercise who shall serve at

the pleasure of the accredited organizations. Nominated representatives of accredited CSOs should be

bona fide members of the organizations they represent.


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Nominated/elected representatives of accredited CSOs shall be allowed to participate during
budget deliberations in the national and the local levels of government and shall be chosen based on
their prior engagement in budget deliberation or other related experiences.

SEC. 8. Cancellation of Accreditation. — Upon verified complaint in writing charging the holder of
a certificate of accreditation of having procured their certificate of accreditation by fraud or deceit or
through error, the Secretary of the Senate, the Secretary General of the House of Representatives, the
Secretary of concerned NGA, and the Local Sanggunian shall have the power to cancel the certificate of
accreditation: Provided, That no accreditation shall be cancelled without due notice and hearing by the
proper authority. Inaction on the verified complaint by the proper authority within fifteen (15) days
shall be construed in favor of the POs or NGOs involved.

SEC. 9. Rights and Entitlements. - An accredited PO or NGO shall enjoy the following rights and
entitlements:

a) Receive notices of the hearings and consultations and/or calls for written submissions from the
Senate, the House of Representatives, concerned NGAs, and the Local Sanggunians to ensure their
active participation in the budget deliberations.

b) Participate through its duly authorized representative in any regular and consultative public
meetings, hearings, conferences, dialogues, debates, or deliberations relating to the government's
annual budget, whether sponsored by either House of Congress, national agencies, or other LGUs.

Accredited organizations must inform the secretariat of the appropriations committee of the
House of Representatives or the finance committee of the Senate of their intent to participate in the
budget hearings of a specific agency.

c) Submit its own alternative or proposed budget and alternative sources of financing of the

department or agency with which the sector or organization it represents is concerned;


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4) Gain access to copies of the bills or budget proposals filed in both Houses or LGUs concerned and all
information and submissions relative thereto;

€) Present position papers or written proposals on projects and programs of the government entities
which budget is under deliberation;

f) Gain access to and make copies of the data coming from both Houses and concerned NGAs and
LGUs; and

g) Serve as resource persons during budget oversight.

Nothing in this Act shall be construed to deprive POs and NGOs of their rights, privileges, and
incentives being enjoyed by them as mandated by the Constitution, existing laws, executive orders,
regulations, and other issuances.

SEC. 10. Suspension of Entitlements of POs and NGOs. ~ POs and NGOs whose accreditation
have been suspended shall not be allowed to engage or participate in the Congressional, national, and
local annual budget deliberations in any manner, whether directly or indirectly.

SEC. 11. Non-Accredited POs and NGOs. ~ POs and NGOs that are unable to get accreditation
may still participate in the process by submitting position papers for Congress’, NGAs', and Local
Sanggunians’ consideration, and by attending and observing public consultations. They may be invited
to expound on their critique of proposals when the institutions deem it fit.

SEC. 12. Public and Timely Disclosure of Budget Proposals. ~ in order for citizens to participate
in an informed manner, Congress, concerned NGAs, and LGUs shall post on the web, and/or other
public posting areas, or otherwise make available proposed budget documents as well as actual
expenditures made in the past year. The DBM and LGUs shall post all the developments in the budget
process following the budget calendar. In time with the budget calendar, the DBM shall immediately
post the Budget Call, Budget Message, National Expenditure Program, Budget of Expenditures and

Sources of Financing, Details of Programs and Projects, and Staffing Summary on the annual budget of


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the national government in the first week of September of each year. Concerned government agencies
shall be required to post their budget presentations to Congress a week before the budget hearings at
the committee on appropriations start.

SEC. 13. Monitoring and Evaluation System. - The offices of the Senate Secretary, House
Secretary General, concerned Department Secretary, and the Secretary to the Local Sanggunian shall
be tasked with the establishment of an effective monitoring and evaluation system for civil society
accreditation and participation mechanisms.

‘An assessment tool mechanism for civil society participation shall be constituted and afforded for
the adequate, timely, and relevant feedback mechanism on the progress and status of budget
implementation.

SEC. 14. Penal Provision. - Any person who shall willfully restrain or prevent a representative
of a PO or NGO from exercising rights granted under this Act, or violate any of the provisions hereof,
shall suffer a penalty of suspension of one (1) month to three (3) months, or a fine of not less than
Thirty Thousand Pesos (P30,000.00) but not more than Fifty Thousand Pesos (PSO, 000.00), or both at
the discretion of the court.

SEC. 15. Implementing Rules and Regulations. - The DBM, in consultation with the Senate and
the House of Representatives, the Department of the Interior and Local Government (DILG), POs,
NGOs, and other agencies deemed necessary for the purpose, shall issue the Implementing Rules and
Regulations (IRR) within ninety (90) days after the approval of this act.

SEC. 16. Separ:

lity Clause. — If any provision of this Act is declared unconstitutional, the same
shall not affect the validity and effectivity of the other provisions hereof.
SEC. 17. Repealing Clause. ~ All laws, decrees, orders and issuances or portion thereof, which

are inconsistent with the provisions of this Act are hereby repealed or modified accordingly.


SEC. 18. Effectivity. - This Act shall take effect fifteen (15) days after its publication in at least,

two (2) national newspapers of general circulation

Approved,


FIFTEENTH CONGRESS
REPUBLIC OF THE PHILIPPINES
FIRST REGULAR SESSION

HOUSE OF REPRESENTATIVES

Hous¢illNo.. 219

Introduced by Representative Lorenzo R. Taiiada TI

EXPLANATORY NOTE

This bill is an offshoot of House Resolution 120 which was adopted by the House of
Representatives during the “irst Regular Session of the Fourteenth Congress. Said resolution allowed the
participation of non-goverrment organizations in the Congressional processes and deliberations of the

national government budget

Led by Social Watch Philippines and participated in by more than 40 NGOs with expertise in
agriculture, environment, ion, health, debt and macroeconomic analysis, the partnership and open
dialogue with legislators have been quite helpful in crafting a national budget that is a bit more responsive
in meeting the Millennium Development Goals compared to what was originally proposed by the

Executive.

Inspired by the fruitful experience, this bill aims to institutionalize people's participation in
budget deliberations in various levels of government — national, provincial, municipal down to the
barangay level. Without underestimating and undermining the capacities of elected representatives in
crafting a budget that is most needed by a particular locality, this bill gives full play to the people’s right
to participate in at all levels of social, political and economic decision-making. Further, it
institutionalizes people’s access to information with regard to how the taxpayers’ money is being spent.
In a way, this is likewise an anti-corruption measure.

With these objectives in mind, the early passage of this measure is earnestly sought.

R Tost
REP. L ZO R. TANADA TH
4° District, Quezon Province



Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City, Metro Manila

Fifteenth Congress
First Regular Session

HOUSE BIELNO.__ 219

Introduced by Rep. Lorenzo R. Taiiada TI

AN ACT
INSTITUTIONA LIZING THE PARTICIPATION OF BONA FIDE PEOPLE’S
ORGANIZATIONS, NON-GOVERNMENT ORGANIZATIONS, OR PRIVATE/CIVIC
SECTOR GROUPS IN PUBLIC HEARINGS IN CONGRESS AND LOCAL GOVERNMENT
UNITS’ BUDGET DELIBERATIONS

Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:

SECTION |. Short Tile, ~ This Act shall be known as the “People's Participation in Budget
Deliberation Act of 2010.”

SEC. 2, Declaration of Policy. ~ It is hereby declared the policy of the State to recognize the
role of independent people’s organizations and non-government organizations as effective participants
in all levels of social, political, and economic decisionmaking. The State respects their right to pursue
and protect “within the democratic framework, their legitimate and collective interests and aspirations
through peacefull and lavefa! means,” as provided in Article XIMI of the 1987 Constitution. For this
purpose, the State shall gua-antee the participation of people’s organizations and non-governmental
organizations in the formulition, monitoring and evaluation of the national budget to ensure that the
annual appropriations will be an instrument of development and reflective of national objectives,
strategies and plans,

SEC. 3. Definition of Terms, ~ For purposes of this Act
a) “Accreditation” refers ‘0 the process of evaluation by which the Senate or the House of
Representatives and Local Legislative Councils shall recognize, register and allow the people's
organizations (POs) and non-governmental organizations (NGOs) to participate in the budget
deliberation, The Register of accredited POs and NGOs shall not confer juridical personality on the
organizations;

b) “Government entity” refers to all government agencies and instrumentalities, including local
government units (LGUs), with which the POs and NGOs have legitimate concerns;

©) “Non-government organizations” refers to independent private and non-profit organizations
formed piimarily for social and economic development, not engaged in partisan politics nor having any
of its officers in elective government positions;

d) “People’s organizations” refers to bona fide cooperatives and associations of citizens organized
for purposes not contrary tc law with demonstrated capacity to promote the public interest and with
identifiable leadership, merabership and structure; and

e) “Participation mechanisms” refers to the means by which NGOs and POs could participate
effectively and meaningfully in the process of deliberating an annual budget that is responsive to the



needs of different sectors in our community.

SEC. 4. Coverage. - All people's organizations and non-government organizations with a
reputable track record in participating and contributing to the government's processes and activities,
may be allowed to participate and play a significant role in the congressional as well as local annual
budget deliberations; provided, that they undergo the mandatory accreditation process and comply with
the implementing rules and regulations issued by both Houses of Congress, pursuant to Section 10 of
this Act.

Both Houses of Congress shall, through the Senate President and the Speaker, allow the active
participation of accredited Os and NGOs in the deliberation of the annual national budget by inviting
their duly authorized representatives as resource persons, subject to such internal rules and regulations
as the Senate and the House: of Representatives or its concerned committee may provide.

‘The Local Development Councils, headed by their Governors, Mayors or Barangay Captains
shall also allow the active participation of the POs and NGOs in their annual budget deliberations,
subject to the limitations provided by law, ordinances, rules and regulations.

SEC. 5. Application for Accreditation. — Within thirty (30) days upon the ratification of this
‘Act, and on future periods where a newly elected Congress and local legislative bodies are established,
the respective Secretaries of said legislative bodies shall send notice to people’s organizations or
NGOs, informing them thet they may apply for accreditation to enable them to participate in the
annual budget deliberations.

‘The application for accredi‘ation shall be filed with the offices of the Secretary of the Senate, the
Secretary General of the House of Representatives or the Secretary of the local government units in the
form prescribed by such offices for the purpose, with the following documents:

a) Articles of Incorporation and by-laws of the applicant POs and NGOs;

b) Certificate of Registration with the Securities and Exchange Commission (SEC) and
concerned authority/agency;

©) Affidavit of Mocus Operandi showing:

1. the character of the organizati

2. the purpes
3. the list of activities or projects for the past three (3) years;.and
4. list of officers, directors, trustees and members.

4d) Certificate of Good ‘Track Records and Standing from the proper authority or
concerned office;

¢) Duly audited financial statements for the past three (3) years showing the assets and
liabilities of the organization; and

f) Board resolution or any other form of legal evidence that shall prove that the respective
organization has the desire and is mandated by its representation to apply.

Upon approval of the application by the Secretary of the Senate, the Secretary General of the
House of Representatives or the Secretary of the local government units, a certificate of accreditation
shall be issued to the organization which shall bé valid for three (3) years after its approval.

Unless an applicant is given due and proper hearing, no application for accreditation shall be
disapproved. The decision of the Secretaries of the Senate or the House or the proper authority so
designated by the concerned local government unit on such disapproval shall thus be rendered within
ten (10) working days from the time of filing of the application.

SEC. 6. Guidelines for Choosing the Representatives for Accredited POs and NGOs:

a) Qualifications - Nominated representatives of accredited people's organizations and
non-government organizations should be members of the organization they represent. The nominees
may be members of sectoral or multi-sectoral groups. They shall serve at the pleasure of their
accredited organization.

Nominated / elected representatives of accredited people's organizations and non-government
organizations shall be allowed to participate during budget deliberations in the national down to



municipal levels of government; and

b). ‘Term of office of selected representative/s — Accredited NGOs and People's
Organizations shall submit the name of their representative in the budget exercise and shall serve at the
pleasure of his/her accredited organization.

SEC. 7. Cancellation of Accreditation. — Upon verified complaint in writing charging the
holder of a certificate of accreditation of having procured their certificate of accreditation by fraud or
deceit or through error, the Secretary of the Senate or the Secretary General of the House of
Representatives or the LGU Secretary shall have the power to cancel the certificate of accreditation.

On the other hand, no application shall be disapproved or cancelled without proper notice and
hearing by the proper authority. Inaction by the proper authority within fifteen (15) days will be
considered as a decision favorable to the NGOs or POs involved.

SEC. 8, Rights anc! Privileges. — An accredited PO or NGO shall enjoy the following rights
and privilege:

a) Participate through its duly authorized representatives in any regular and consultative public
meetings, hearings, conferences, dialogues, debates or deliberations relating to the government's
annual budget, whether sponsored by either house of Congress, or other local government entities;

b) Submit its own altemative or proposed budget of the department or agency with which the
sector or organization it represents is concerned;

¢) Access to copies of the bills or budget proposals filed in both Houses and local government
unit concerned and all information and submissions relative thereto ;

d) Present position ;,apers or written proposals on projects and programs of the government
entities which budget is under deliberation; and

€) Access to the data coming from both Houses and concerned LGU.

Nothing in this Act shall be construed to deprive POs and NGOs of the rights, privileges and
incentives being enjoyed by them as mandated by the Constitution, existing laws, executive orders, and
regulations and other issuances.

SEC. 9. Suspension of Entitlements of POs and NGOs. - NGOs and POs whose accreditation
has been suspended shall not be allowed to engage or participate in the Congressional and local annual
budget deliberations in any manner, whether directly or indirectly.

SEC. 10. Non-Accredited POs and NGOs. - NGOs and POs that are unable to get

~ accreditation may still participate in the process by submitting position papers for Congress’ and Local
Sanggunians’ consideration. They may be invited to expound on their critique or proposals when said
institutions deem it fit.

SEC. 11. Public and Timely Disclosures of Budget Proposals. — In order for citizens to
participate in an informed manner, Congress and Local Government Units shall post in the web and in
their local bulletin boards proposed budget documents as well as actual expenditures made in the past

year.

SEC. 12. Implementing Rules and Regulations. — The Senate and the House, in consultation
with the Department of Social Welfare and Development (DSWD), Department of Interior and Local
Government (DILG), POs and NGOs and other agencies deemed necessary to consult, shall issue the
Implementing Rules and Regulations (IRR) within ninety (90) days after the approval of this act.

SEC. 13. Separabitity Clause. ~ If any provision of this Act is declared unconstitutional, the
same shall not affect the validity and effectivity of the other provisions hereof.

SEC. 14. Repealing Clause. — All laws, decrees, orders and issuances or portion thereof, which
are inconsistent with the provisions of this Act are hereby repealed or modified accordingly.

SEC. 15. Effectivity.— This Act shall take effect fifteen (15) days after its publication in at
least two (2) national newspapers of general circulation.

Approved,