HOUSE OF R2°8"SENTATIVES

Republic of the Philippin« RECCIVED
HOUSE OF REPRESENTATIVES DATE a 4 AUG 2016
Quezon City aa

SEVENTEENTH CONGRESS BY
First Regular Session
REGIST?

HOUSE BILL No. 3284 puis

Introduced by Honorable Rosenda Ann Ocampo

EXPLANATORY NOTE

This bill seeks to provide incentives to Barangay Officials, including Barangay
‘Tanods and Members of the LupongTagapamayapa and Barangay employees.

Compared to other government employees in focal government units, Barangay
officials and Barangay employees are the lowest paid and the least benefited in terms of
government employment benefits and privileges. And yet our Barangay officials are the
frontliners, so to speak, the government workers who make democracy work at the grassroots
level. They have a job to do under existing law and, as a general rule; they strive to do their
job well, particularly in the area of peace and order and community relations, despite the
limited resources made available to them.

Foremost of the benefits granted the Barangay officials and Barangay employees is
the exemption from income tax of their salaries wages, compensation, remuneration and other
emoluments, such as honoraria and allowances, including any benefits that they may receive
from government on account of their work or employment. Added to this are some equally
important benefits: (a) benefit coverage under the Government Service Insurance System; (b)
coverage under existing medical and health service programs of government under existing
laws; and (c) free legal representation in the event that any Barangay official or employee is
involved as party litigant in any administrative or criminal case as a result of or connected
with the performance of his official duties.

In sum, the proposed legislation, in a sense, seeks to give due recognition to the
important job being performed by these grassroots workers and to acknowledge the
important role being played by the smallest territorial unit and political subdivision of
government called the Barangay.

Hence, approval of this bill is earnestly sought.

R 1A ANN OC.


Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

SEVENTEENTH CONGRESS
First Regular Session

HOUSE BILL No. 3281

Introduced by : Honorable Rosenda Ann Ocampo

AN ACT
PROVIDING INCENTIVES TO ALL BARANGAY OFFICIALS, INCLUDING
BARANGAY TANODS AND MEMBERS OF THE LUPONG
TAGAPAMAY APA, AND BARANGAY EMPLOYEES

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 “Barangay Workers
Incentives Act.”

SECTION 2. Declaration of Policy. — It is the declared policy of the State to
promote and enhance the efficiency and responsiveness of barangay officials and employees,
the government workers who make democracy work at the grassroots level in the smallest
territorial and political subdivision of the government which is the barangay. To achieve this
objective, the State shall adopt measures and provide such incentives not only to help ensure
the faithful performance of the duties and functions of barangay officials and employees, but
also to raise their quality of life.

SECTION 3. Tax Exemption. — All amounts received by barangay officials,
including Barangay Tanods and members of the Lupong Tagapamayapa, hereinafter
particularly referred to as “barangay officials and barangay employees”, as salaries, wages,
compensation, remuneration and other emoluments, such as honoraria and allowances shall
be exempt from income taxation. Gross benefits received by such officials and employees, of
whatever kind or character, shall likewise be exempt from taxation.

SECTION 4. Exemption from Capital Gains and Transfer Taxes. ~ The sale,
exchange or disposition of real property by barangay officials and barangay employees shall
be exempt from capital gains and other national taxes as long as the proceeds of such sale,
exchange or disposition shall be directly and exclusively used by such officials and
employees to acquire a house and lot, not exceeding 500 square meters, for family dwelling.
‘The acquisition of such house and lot for family dwelling purposes shall likewise be exempt


from any national or local taxes and fees in connection with the transfer and registration of
such property in the name of the barangay official or barangay employee concerned.

SECTION 5. GSIS Benefit Coverage. — All barangay officials and barangay
employees shall be considered members of the Government Service Insurance System (GSIS)
and shall be covered with life insurance and social security protection, including retirement,
disability, separation and unemployment benefits and such other benefits as may be extended
by the GSIS, subject to limitations provided by law.

‘The GSIS shall make special provisions in order to facilitate the inclusion of barangay
officials and barangay employees, in the benefit coverage of GSIS.

SECTION 6. Health Benefits. — Government medical and health insurance programs
under existing laws shall include in their coverage of free basic health and laboratory
services, hospitalization and medications to barangay officials and barangay employees.

SECTION 7. Legal Representation. — Barangay officials and barangay employees
who may be involved as party litigants in administrative or criminal cases filed in connection
with the performance of their official duties shall, as a member of right, be entitled to the free
legal services of the Municipal/City Legal Office, Department of Justice Regional Offices or
Public Attomey’s Office (PAO) who shall facilitate the legal representation of such officials
and employees by a counsel.

Such benefit of legal representation shall include an exemption from payment of
docket and other lawful fees, and of transcripts of stenographic notes which the court may
order to be furnished the barangay officials and barangay employees.

SECTION 8. Implementing Rules and Regulations, — Within six (6) months from
the effectivity of this Act, the Department of Interior and Local Government, in coordination
and consultation with the Department of Justice, the Department of Health, the Government
Service Insurance System and other agencies concemed, shall promulgate such rules or
guidelines as may be necessary for the proper implementation of this Act.

SECTION 9. Separability Clause. ~ If any provision or part hercof is held invalid or
unconstitutional, the same shall not affect the validity and effectivity of the other provisions
hereof.

SECTION 10. Repealing Clause. — All laws, decrees, orders, and issuances, or
portions thereof, which are inconsistent with the provisions of this Act, are hereby repealed,
amended or modified accordingly.

SECTION 11. Effectivity Clause. — This Act shall take effect fifteen (15) days after
its publication in the Official Gazette or in two (2) newspapers of general circulation.

APPROVED.