Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
Second Regular Session

274

House Bill No.

Introduced by the Honorable Precious Hipolito Castelo

EXPLANATORY NOTE

Upon the lifting of strict community quarantine restrictions, government offices have opened their
doors once again to the public. Obligations to the govemment such as payment of taxes,
procurement of necessary permits, etc., are vital for the maintenance of public order. Even though
the virus is still there, life must go on.

However, it cannot be denied that traveling to a public office to make an official transaction carries
the risk of getting infected with COVID-19. Even though minimum health standards are always in
place, itis safe to assume now that going out of the house is always a risk. Cramped offices with
little to no room for physical distancing elevates this risk. Further, a lot of public offices are closed,
air-conditioned spaces which lack natural ventilation. Even though minimum health standards are
generally complied with, the reality is asymptomatic carriers cannot be detected with simple
temperature checks.

Thus, it is the intent of this bill to reduce face-to-face government transactions by mandating
government agencies to offer an altemative means for the public to pay their official dues.
Payments made through this system will be more efficient and less time-consuming which will
‘encourage Filipinos to pay their obligations to the government diligently. Also, since face-to-face
transactions will be reduced, there will be less opportunities for graft and corruption.

The Department of Information and Communications Technology (DICT) already offers a
government online payment system called “PhPay and ProgRESIBO". However, it seems that the
installation of PhPay and ProgRESIBO is merely directory, and not mandatory as there is a need
for a government office to signify its intent to avail of this service. This bill seeks to institutionalize
the use of PhPay and ProgRESIBO system in all government offices.

The immediate passage of this bill is most urgently sought.

HIPOLITO CASTELO


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

EIGHTEENTH CONGRESS
‘Second Regular Session

71747

House Bill'No.
Introduced by the Honorable Precious Hipolito Castelo

AN ACT
MANDATING THE INSTALLATION OF ONLINE PAYMENT SYSTEMS IN ALL PUBLIC
OFFICES AND APPROPRIATING FUNDS THEREFOR

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

SECTION 1. Short Title. - This Act shall be referred to as the “PhPay and ProgRESIBO

SEC. 2. Declaration of Policy. — The State shall promote a just and dynamic social order
that will ensure the prosperity and independence of the nation and free the people from poverty
through policies that provide adequate social services, promote full employment, a rising standard
of living, and an improved quality of life for all. Towards this end, the State shall implement policies
which shall encourage its citizens to duly pay their obligations to the government by offering
convenient and practical ways to do so.

SEC. 3. Development of a Government Electronic Payment System. — The Department of
Information and Communications Technology (DICT) shall develop an electronic payment system
which shall be called "PhPay and ProgRESIBO”, readily available for use of all goverment
agencies and instrumentalities. The payment system shall be accessible to all Filipinos and may
be used by them for all official transactions made with the government.

SEC. 4. Security Assurance. - The DICT shall assure that PhPay and ProgRESIBO is
safe and secure. The payment system shall include, but is not limited to, the use of debit cards,
credit cards, online banking and mobile wallets. Partnerships with reputable banks and financial
institutions regulated by the Bangko Sentral ng Pilipinas (BSP) is encouraged.

SEC. 5. Mandatory Issuance of Electronic Receipts. — Every payment made using the
electronic payment system shall be issued with a corresponding electronic receipt which shall be
sent to the customer via electronic mail.

SEC. 6. Implementing Rules and Regulations. — Within thirty (30) days from the effectivity
ofthis Act, the DICT shall promulgate the necessary rules and regulations to effectively implement
the provisions of this Act.


SEC. 7. Separability Clause. - If any provision or part hereof is held invalid or
unconstitutional, the remainder of the law or the provision not otherwise affected shall remain

valid and subsisting.

SEC. 8. Repealing Clause. — Any law, presidential decree or issuance, executive order,
letter of instruction, administrative order, rule or regulation contrary to or inconsistent with, the
provisions of this Act is hereby repealed, modified, or amended accordingly.

SEC. 9. Effectivity Clause. — This Act shall take effect fifteen (15) days after its publication
in the Official Gazette or in at least two (2) newspapers of general circulation.

Approved,