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

EIGHTEENTH CONGRESS
First Regular Session

House Bill No. 4796

Introduced by Representatives Sandra Y. Eriguel and Sabiniano S, Canama

Explanatory Note

This Bill entitled AN ACT ESTABLISHING A COMPREHENSIVE SYSTEM FOR
REGISTRATION AND LICENSING OF SOCIAL ‘WELFARE AND DEVELOPMENT AGENCIES
‘AND ACCREDITATION OF SOCIAL WELFARE AND DEVELOPMENT PROGRAMS AND
SERVICES, AND APPROPRIATING FUNDS THEREFOR was introduced in the past ie
Congress by Representative Anthony M. Bravo and Representative Sabiniano S. Canama

After deliberations by the Committee on Social Services, which was chaired then by
undersigned (Rep. Eriguel), in consultation with representatives from the Department of Social
Welfare Development (DSWD) and other stakeholders, the Bill was approved by the
Committee. Afterward, the same Bill was passed by the House on Third and Final Reading.
Subsequently, the Bill was transmitted to the Senate for its consideration. However, the Senate
was unable to finish its deliberation on it duc to time constraints.

The Bill aims to set standards, register, license, accredit, and monitor social welfare and
development agencies, service providers, groups or organizations engaged in social welfare
and development activities. It also provides appropriate consultative mechanisms and
necessary assistance td them to ensure their compliance with the set standards and cope with
the challenges and demands of providing social welfare and development services to the poor,
the vulnerable, the marginalized, the disadvantaged, and the underprivileged sectors of
Philippine society.

‘Thus, aware of the importance of this proposed legislative measure, the undersigned
have refiled this Bill.

\
Approval of the Bill is earnestly requested.

ord GAGE
Rep. SANDRA Y. ERIGUEL, M.D. Rep. SABINJANO S. CANAMA

(S RECEIVED 2


Republic of the Philippines

HOUSE OF REPRESENTATIVES
‘Quezon City, Metro Manila

EIGHTEENTH CONGRESS,
First Regular Session

House Bill No. 4796

Introduced by Representatives Sandra Y. Eriguel and Sabiniano S. Canama

AN ACT
ESTABLISHING A COMPREHENSIVE SYSTEM FOR REGISTRATION AND LICENSING
OF SOCIAL WELFARE AND DEVELOPMENT AGENCIES AND ACCREDITATION OF
SOCIAL WELFARE AND DEVELOPMENT PROGRAMS AND SERVICES, AND
APPROPRIATING FUNDS THEREFOR

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

ARTICLE I
GENERAL PROVISIONS
SECTION 1. Short Title. — This Act shall be known as the “Social Welfare and

Development Agencies Act”.

SEC. 2. Declaration of Policy. ~ ‘The State acknowledges the important role that the
private sector plays in the delivery of social welfare and development programs and services to the
public. Towards this end, the State shall ensure that social welfare and development programs and
services in the public and private sectors comply with national standards and adhere to the
principles of human rights. The State shall set standards, register, license, accredit, and monitor
social welfare and development agencies, service providers, groups or organizations engaged in
social welfare and development activities. It shall also provide appropriate consultative
mechanisms to enable mutual beneficial engagements of the private sector and its counterparts in
government to set social welfare and development priorities, identify areas where synergies are
possible, and jointly develop standards that meet the challenges and demands of the services they
provide to the poor, the vulnerable, the marginalized, the disadvantaged, and the underprivileged
sectors of Philippine society.

The State shall further promote and strengthen the partnership among social welfare and

development agencies (SWDAS), national government agencies (NGAS), local government units
1


(LGUs), nongovernment organizations (NGOs), faith-based organizations, and the private sector to
include accessing of resources between and among them for the upliftment of the poor, the
vulnerable, the marginalized, the disadvantaged, and the underprivileged individuals, families,
groups, and communities in the country.

SEC.3. Coverage, — This Act applies to all nonstock, nonprofit corporations operating in
the Philippines, both public or private, with the primary purpose of implementing or intending to
implement social welfare and development programs and services for the poor, vulnerable,
marginalized, disadvantaged, and underprivileged beneficiaries. Organizations established by a
treaty or other instruments governed by international law or possessing its own international legal
personality are not covered by this Act.

SEC. 4. Definition of Terms. — As used in this Act:

(@) Accreditation refers to the process of providing official recognition to the social welfare
and development programs and services of registered and licensed social welfare agencies (SWAS),
after meeting the minimum standards set by the government,

() Beneficiaries refer to the poor, the vulnerable, the marginalized, the disadvantaged, and the
underprivileged individuals, families, groups, and communities availing themselves of any service
offered by the SWDAs, including the following:

(1) Abandoned, neglected, orphaned, voluntarily committed, abused and exploited children,
and other children in need of special protection;

(2) Out-of-school youth and other youth with special needs;

(3) Women;

(4) Persons with disabilities (PWDs) or differently abled persons;

(5) Senior citizens or older persons;

(6) Dysfunctional families;

(7) Internally displaced individuals and communities such as victims or survivors of natural or
human-induced calamities or disasters; and

(8) Poor, vulnerable, marginalized, disadvantaged, and underprivileged individuals, families,
groups, and communities, including indigenous groups and those in crisis situation;

(©) Operation refers to the implementation of social welfare and development programs and
services by a SWDA, either directly or indirectly, within a specified geographical area or place over
a period of time using its own resources or the resources of other partners and conduits;

(@ Registered social worker refers to a person who possesses a Bachelor of Science in Social
Work Degree or a Master’s Degree in Social Work, has passed the Social Worker Licensure


Examination, and is a holder of a valid registration or identification card issued by the Professional
Regulation Commission (PRC);

(© Service providers refer to social welfare and development workers including social workers
managing court cases and premarriage counselors accredited by the DSWD and who have
satisfactorily complied with the set requirements and standards;

(® Social Welfare and Development Programs and Services refer to an organized system of
programs and services designed to aid beneficiaries to attain an improved quality of life and well-
being in harmony with the needs of their family and community;

@ Social Welfare and Development Agency (SWDA) refers to a nonstock, nonprofit, public or
private corporation, implementing or intending to implement, mainly or generally, social welfare and
development programs and services in the Philippines, either directly or indirectly, and assessed as
having the capacity to operate administratively, technically and financially to serve the poor, the
vulnerable, the marginalized, the disadvantaged, and the underprivileged beneficiaries as defined in
this Act;

() Social welfare and development worker refers to a social worker or any professional who
is engaged in the delivery of social welfare and development programs and services ofa SWDA;

(@ Social work refers to the profession which helps individuals, families, groups, and
communities develop, improve, maintain, or restore their capability for coping with the demands of
their environment through the use of social work methods and interventions; and

(@ Unregistered and unlicensed SWDAs refer to those agencies or organizations that continue
to provide social welfare and development programs and services, either directly or indirectly,
without license to operate from the DSWD, including those whose certificates of registration or

licenses to operate are expired or revoked.

ARTICLE II
SOCIAL WELFARE AND DEVELOPMENT AGENCIES
SEC. 5. Classifications of SWDAs. - An SWDA may either be a Social Welfare Agency or an
Auxiliary SWDA.
(a) A Social Welfare Agency (SWA) provides restorative, preventive, and developmental
programs and services to the poor, the vulnerable, the marginalized, the disadvantaged, and the
underprivileged individuals, families, groups, or communities. ‘They may be classified as:


(1) Residential-based Agency. — A SWA that provides twenty-four (24)-hour residential care
services for the marginalized sector including the abandoned, neglected, or voluntarily committed
children, women, PWDs, and older persons;

(2) Community-based Agency. ~ A SWA that implements community-based or street-based
programs and services delivered to beneficiaries while in their home or in the community such as
those in senior citizens centers, day-care centers and vocational rehabilitation centers. These
programs and services include sponsorship or scholarship programs, assistance to victims of
disasters, and social services to individuals and families; or

(3) Child-placing Agency. — A SWA that receives and processes applications of the prospective
foster or adoptive parents and facilitates placement of children eligible for foster care or adoption.

(b) An Auxiliary SWDA provides supportive activities in the delivery of social welfare and
development programs and services to the poor, the vulnerable, the marginalized, the disadvantaged,
and the underprivileged sectors such as the grant of funds, the conduct of trainings, and other
resources to help in the efficient operations of SWAs. The following are the different types of
auxiliary SWDA:

(1) People’s Organization. — A SWDA witha bona fide association of citizens with identifiable
leadership, membership, and structure, that has demonstrated its capacity to promote the public
interest and engage in social welfare and development activities. They include federation of senior
citizens, youth organizations, and associations of women and PWDs;

(2) Resource Agency. - A SWDA that provides tangibles such as funds, food, clothing,
medicines, and shelter; or intangibles such as knowledge and skills to help various SWDASs achieve
their goals in providing social welfare and development services for their beneficiaries; or

(3) Social Welfare and Development Network. — A group of SWDAs such as a coalition,
alliance or federation that organized themselves for a common goal in promoting social protection of
the poor, the vulnerable, the marginalized, the disadvantaged, and the underprivileged groups.

SEC. 6. Service Delivery Modes. ~ Social welfare and development programs and services
may be delivered in any of the following modes:

(@) Residence-based mode where group care is provided to residents under the guidance ofa
trained staff and within a structured therapeutic environment with the objective of reintegrating a
person with the family or community or, in case ‘of children, until such time when a better alternative
parental care is provided. This program may also be provided for those children pursuing formal

education away from their family; or


(b) Community-based mode where the helping process takes place in the community as the
primary client system or when social welfare and development activities are provided to individuals,
groups, or families while they remain in their homes. It is characterized by interaction between the
client and worker in the community in relation to the resolution of identified problems and concerns.
‘These include senior citizens center, day-care center, drop-in center, vocational rehabilitation center,
sponsorship or scholarship program, alternative placement service, assistance to victims of disaster,
and social services to individuals and families, while in their home or in the community.

SEC. 7, Administration and Management. — A SWDA is managed by individuals whose
qualifications meet the criteria set under the rules and regulations to be issued to implement this Act.
It may be operated by:

(a) Private individuals, educational institutions, civic organizations, and faith-based
organizations; or

(b) NGAs, LGUs, government-owned and -controlled corporations (GOCCs), and state
universities and colleges (SUCs) with social welfare and development programs and projects.

[At least sixty percent (60%) of the seats in the Board of Trustees of SWDAs operated by
nonstock and nonprofit corporations must be held by Filipinos.

SEC. 8, Salaries, Wages and Other Benefits. ~All SWDAs shall comply with existing and
relevant labor laws and regulations regarding the salaries, wages, and benefits of employees, provided
these are within the minimum standards set by the Civil Service Commission (CSC) and the
Department of Labor and Employment (DOLE). In the absence of a standard salary scale for social
workers and other social welfare and development workers of the SWDA, the pay scale set by the
CSC and the DOLE, in consultation with the Department of Budget and Management (DBM), shall
be followed.

SEC. 9. Operating Expenses. — A SWDA shall utilize at least seventy percent (70%) of its
funds for direct social welfare and development programs and services and not more than thirty
percent (30%) shall be expended for administrative concerns. Funds of the SWDA shall be
deposited in the name of the organization in a banking institution regulated by the Bangko Sentral ng
Pilipinas (BSP). Financial transactions, books of accounts and other reports shall be available to the
public, agency staff, and other concemed individuals or agencies for transparency and monitoring
purposes.

‘Any donation received by the SWDA, both in kind and in cash, shall inure only for the welfare
of the beneficiaries and the operating expenses of the SWDA.


The DSWD, in consultation with public and private SWDAs, shall set standards to determine
specific expenditures for program and administrative expenses.

SEC. 10. Submission of Reports. — Each SWDA shall submit to the DSWD an annual
accomplishment and financial report duly audited by an external certified public accountant or a
representative from the Commission on Audit (COA) and other reports as may be required by the
DSWD.

‘The financial reports of SWDAs whose total income and expenditures are less than Five
hundred thousand pesos (P500,000.00) shall be audited by its internal auditor.

‘The annual reports shall be submitted to the DSWD not later than one hundred twenty (120)
days after the end of every fiscal year.

ARTICLE III
REGISTRATION, LICENSING, AND ACCREDITATION

SEC. 11. Registration. — (a) A SWDA shall first register with the Securities and Exchange
Commission (SEC) or the Cooperative Development Authority (CDA) for purposes of establishing
its juridical personality. To be officially recognized as a SWDA operating within the purview of
social welfare and development, the SWDA shall apply for registration with the DSWD not later’ than
six (6) months from the issuance of the certificate of registration from the said government agencies.

(b) The requirements for registration for those intending to operate as a SWDA are the
following:

(1) Certified true copy of registration with the SEC or the CDA;

(2) At least two (2) years approved work and financial plan for the implementation of its
programs and services indicating the planned activities and corresponding amount of funds and
sources of donations,

(3) The names of qualified technical and administrative staff and a copy of their licenses or
certificates of professional eligibilities as well as an agency guide that outlines its operations; and

(4) Other documentary requirements, as provided for under existing laws, rules, and
regulations, as may be deemed necessary to ensure the welfare and safety of its beneficiaries and
staff.

(c) Fora SWDA that has been in operation forless than two (2) years, the following additional
requirements must be submitted:

(1) A manual of operation or handbook of its programs and administrative policies, procedures

and strategies to attain its purposes; and


(2) Diagram of physical facilities, including location map and other documents showing
‘ownership or legal custody of property where the SWDA shall operate from.

(d) For a SWDA which has been in operation for at least two (2) years upon application for
registration, it shall submit at least one (1) year audited financial report in addition to the
abovementioned requirements.

SEC. 12. Licensing. — A SWA shall be given a permit and a legal authority to operate, after
having met or complied with the following licensing requirements:

(a) Documentation showing that it is engaged in social welfare and development programs and
services;

(©) Certification showing that it employs the necessary number of registered social workers,
community development workers, and other employees trained on specific programs and services to
be implemented, and a copy of their respective licenses or certificates of professional eligibilities:
Provided, That the requirement for social workers and other professionals shall depend on the nature
of the social welfare programs and services; and

(c) Certification of the record of cases it managed or is currently managing and social welfare
and development programs and services implemented.

The registration and licensing of a SWA may be done simultaneously, and, upon approval, a
certificate of registration and license to operate shall be issued.

SEC. 13. Exemption from Registration and Licensing. — All public residential care facilities of
the DSWD, social service units of LGUs, public hospitals, courts, and other social welfare facilities
of NGAs and GOCCS, by virtue of the legal basis of their establishment or charters, are exempted
from the registration requirement and from securing a license to operate from the DSWD. However,
they shall apply for accreditation following the same requirements and standards and shall be
subjected to regular monitoring by the DSWD.

SEC. 14. Accreditation. — All social welfare and development programs and services of
registered and licensed SWAs shall be accredited by the DSWD or its authorized intermediaries not
later than one (1) year after the issuance of a license to operate. A SWA must comply with the
standards on accreditation set by the DSWD on administration and organization, program
management, case management, helping strategies or interventions, physical structures and safety,
and client protection policy prior to the accreditation of its programs and services

SEC. 15..Fees and Charges. — All applications for registration, license, and accreditation shall
be charged with corresponding fees to be determined by the DSWD. The fees and charges shall be
deposited with the National Treasury.


SEC. 16. Validity. — The certificate of registration and the license to operate issued toa SWA
by the DSWD shall be valid for five (5) years. The accreditation certificate, however, may be valid
for a period of five (5) to seven (7) years depending on the level of accreditation standards set by the
DSWD.

‘The existing certificate shall remain valid until the DSWD has acted on an application for
renewal which must be filed within one hundred (100) working days prior to the expiration. The
DSWD shall act on the application for renewal of registration, license, and accreditation not later
than one hundred (100) working days after submission of complete requirements by the SWDA.

ARTICLE IV

BENEFITS AND PRIVILEGES OF SOCIAL
WELFARE AND DEVELOPMENT AGENCIES:

SEC. 17. Benefits and Privileges of Registered SWDAs. — A registered SWDA is entitled to
the following benefits and privileges:

(a) Inclusion in the DSWD’s Directory of registered, licensed, and accredited SWDAs;

(b) Technical assistance in the areas of capability building, packaging of project proposal,
provision of program materials and skills enhancement to strengthen program and service
implementation;

(6) Endorsement to other government agencies on the availment of missionary or working visas
of foreign board members, employees, or volunteers subject to eligibility requirements for securing
visas;

(d) Endorsement to the Department of Finance (DOF) for duty-free importation of foreign
donations subject to compliance with the prescribed requirements; and

(e) Other benefits and privileges as may be deemed appropriate by the DSWD.

SEC. 18. Benefits and Privileges of Licensed SWAs. ~ In addition to the benefits and privileges
ofa registered SWDA, a licensed SWA is entitled to the following benefits and privileges:

(a) Endorsement to the DOF for duty- and tax-free importation of foreign donations subject to
compliance with the prescribed requirements,

(b) Resource augmentation for program implementation, subject to compliance with the
requirements as may be established by the DSWD; and

(c) Other benefits and privileges as may be deemed appropriate by the DSWD.

SEC. 19. Benefits and Privileges of Accredited SWAs. — In addition to the benefits and
privileges of registered SWDAs and licensed SWAs, an accredited SWA is entitled to the following
benefits and privileges:


(a) Endorsement to the DOF for donee institution status and other relevant tax incentives as
provided by law;

(b) Endorsement for resource augmentation or other assistance from any government agency
or private donor subject to compliance to set criteria;

(c) Endorsement to utility service providers for the grant of discount on the cost of electricity,
water consumption, and telephone service to the residential care, group homes, and community
center-based facilities that are operated exclusively for the beneficiaries subject to the set
requirements of the utility service providers;

(d) Endorsement to appropriate government agencies and private establishments for discount
for the processing of documents of intended beneficiaries such as birth registration, passport, safety
certificates, among others, for residential care and community-based SWA facilities,

(e) Assistance in establishing linkages with local, national, and international organizations and
networks for the generation and sharing of resources;

(£) Nomination of board members, employees, or volunteer workers to participate as presentors
or resource speakers in local or foreign trainings or conferences;

(g) Plaque of recognition as a model SWDA;

(h) Cash incentives,

(i) Endorsement of the SWA as an ideal agency for research of the SWA’s operations and other
learning opportunities; and

(j) Other benefits and privileges as may be deemed appropriate by the DSWD.

SEC. 20, Tax Exemption. — A foreign donation to a registered, licensed, and accredited SWDA,
upon certification by the DOF, shall be exempted from the payment of customs duties, taxes and
tariffs in accordance with the provisions of Republic Act No. 10863, otherwise known as the
“Customs Modernization and Tariff Act (CMTA).”

All grants, bequests, endowments, donations, and contributions made to the SWDA registered,
licensed, and accredited by the DSWD to be used actually, directly and exclusively by the said
SWDA are also exempt from donor’s tax and the same shall be considered as allowable deduction
from the gross income of the donor for purposes of computing the taxable income of the donor in
accordance with the provisions of the National Internal Revenue Code of 1997, as amended.

SEC. 21. Recommendation to Obtain Donee Institution Status. — The DSWD may recommend
‘or endorse to the DOF the conferment of a donee institution status and the grant of other tax benefits
to registered, licensed and accredited SWDAs.


ARTICLE V

OTHER REGULATORY POWERS AND
FUNCTIONS OF THE DSWD

SEC. 22. Monitoring and Evaluation of SWDAs. — The DSWD shall conduct monitoring and
evaluation including spot visits to all SWDAs at least once a year or as the need arises to ensure that
their social welfare and development programs and services are implemented as planned. The result
of monitoring and evaluation shall be used to address problems and issues and to provide the
framework for interventions of the DSWD.

SEC. 23. Dissolution of SWDAs. — Any of the following is a ground for the voluntary or
involuntary termination of operation or dissolution or closure of SWDAs:

(a) Inability of SWDA officers to sustain its operation;

(b) Noncompliance with or violation of any provision of this Act; and

(c) Other causes as may be determined by the DSWD.

‘The constitution and bylaws or articles of incorporation of an SWDA must explicitly state that
in case of dissolution, the assets shall be utilized for social welfare and development activities after
payment of all financial liabilities.

‘A final and executory judgment by the DSWD finding an SWDA liable for any of the violations
stated in (a), (b) and (c) is a ground for the cancellation and revocation of the agency’s registration
or license to operate as an organization or agency, and shall be endorsed to the SEC or the CDA for
its appropriate action.

SEC. 24. Deputation of Intermediaries. ~ Authorized intermediaries may be deputized by the
DSWD to conduct an assessment of the operation of an SWDA and social welfare and development
workers for purposes of registration, licensing, and accreditation. The DSWD shall provide
transportation or subsidy allowance to deputized intermediaries in accordance with the rules and
regulations of the COA. Further, the DSWD shall provide continuous capacity-building activities to
the deputized intermediaries.

For purposes of this Act, intermediaries refer to persons, groups, networks of SWDAs, or LGUs
trained, accredited, and authorized by the DSWD to perform specific functions in the process of
registration, licensing, and accreditation.

SEC. 25. Investigation and Resolution of Complaints. ~ The DSWD shall accept complaints,
investigate and initiate appropriate proceedings on cases involving SWDAs. Upon lawful cause, the
DSWD shall suspend the operations of the SWDA or revoke its registration, license, and accreditation


certificates and close its facilities in coordination with the law enforcement agencies without
prejudice to the filing of criminal or civil ease against erring officials and personnel of the SWDA.

ARTICLE VI

COMPLAINTS AGAINST SOCIAL WELFARE
AND DEVELOPMENT AGENCIES

SEC. 26. Complaints, — In handling complaints against an SWDA for any violation of this Act,
the DSWD may consider _any of the following information to initiate an inquiry or investigation
thereon:

(a) Report of an authorized personnel or office of the DSWD. based on the assessment and
monitoring of the compliance with program and service standards;

(b) Report from an SWDA’s clients or beneficiaries;

(c) Verbal information from a person, group, or organization,

(4) Signed and unsigned letters, documents or reports;

(e) Printed materials or articles in newspapers, magazines and similar publications;

(f) Information sent or received through broadcast or electronic media and information and
communication devices such as text messages, emails and posts in the social media, or

(g) Other sources of information such as minutes of meetings, consultations, and fora.

In the case of a verbal or unsigned complaint, the DSWD shall validate the alleged violations
or actions of the SWDA being reported. If and when validation is not possible, the personnel or office
of the DSWD that received the complaint shall filea __ report on the difficulty to validate the same.
Documented information and printed materials must be evaluated in accordance with the procedures
in handling complaints or information.

SEC. 27. Who May File a Complaint. ~ A complaint against an SWDA may be filed with the
DSWD by any of the following:

(a) Offended party;

(b) Parent or legal guardian of a client,

(c) Ascendant or collateral relative of the client, such as a child within the third degree of
affinity or consanguinity;

(d) Duly authorized officer or social worker of the DSWD;

(e) Officer, social worker, or representative of a registered, licensed, and accredited SWDA;

() Punong Barangay or other local government official; or

(g) Person who has personal knowledge of the acts complained about or reported for action.


SEC. 28, Review Committee. — There shall be a Field Office Review Committee (FORC) and
a Central Office Review Committee (CORC) to handle cases and resolve complaints against SWDAs,
whether they are registered or unregistered, licensed or unlicensed, or: accredited. For complaints and
violations involving any SWDA operating in one or more regions, the FORC that has jurisdiction
over the areas where the cases happened shall have exclusive jurisdiction in handling and resolving
the said complaints or violations, The decisions, orders or findings of the FORC shall be appealable
to the CORC. The CORC may intervene or assist the FORC in handling complaints, if necessary.

The composition of the FORC and the CORC shall be determined by the DSWD: Provided,
That there are two (2) members representing licensed and accredited SWDAs who are themselves
members of the network organized by the DSWD. The representatives must be provided with an
allowance in accordance with the rules and regulations of the COA.

Further, the DSWD shall formulate guidelines on the protocols of handling complaints against
SWDAs, including the terms of reference of the FORC and CORC.

SEC. 29, Procedures. ~The procedures in handling and resolving of complaints and appeals by
the FORC and the CORC shall be made in accordance with the existing rules and procedures of the
DSWD.

SEC. 30.Suspension, Revocation or Closure. ~ The certificates of registration, license to
operate or accreditation issued to a SWDA by the DSWD shall be suspended or revoked if, after due
process, the DSWD finds that the SWDA committed any of the grounds stipulated under Sections 31
and 32 of this Act.

A suspended SWDA shall cease its operation. However, the DSWD may allow it to continue
its operation subject to the following conditions:

(a) If the suspension will cause prejudice to the best interest of a substantial number of
beneficiaries;

(b) If there are no other available registered, licensed, or accredited SWDAs that can
accommodate the beneficiaries of the suspended SWDA;

(©) If the SWDA agrees to be under the close supervision of the DSWD; and

(d) If the SWDA agrees not to accept any additional beneficiaries.

The suspension, revocation of license or closure of an SWDA shall be effected without
prejudice to the filing of criminal or civil case under existing laws.

SEC. 31. Grounds for Suspension. ~The suspension or temporary cessation of operation as an

SWDA may be of any of the following grounds:


(a) Insolvency or inability to continue to support and maintain its operation or to perform the
functions for which it was granted registration and license;

(b) Noncompliance with social case management standards;

(c) Poor sanitation of facilities and surroundings rendering these unfit for clientele,

(d) Violation of the SWDA’s constitution and bylaws;

(e) Failure to submit annual accomplishment and audited financial reports for two (2)
consecutive years;

(f Failure to apply for accreditation or renewal of accreditation after two (2) consecutive
notifications and monitoring or spot visits and technical assistance every six (6) months from the
DSWD or authorized intermediaries; or

(g) Other causes as may be determined by the DSWD.

SEC. 32. Grounds for Revocation of License. — The revocation or cancellation of the
registration, license to operate and ‘accreditation certificates of an SWDA issued by the DSWD may
be of any of the following grounds:

(a) Use of SWDA for immoral purposes such as trafficking, gambling, prostitution, money
laundering, and terrorist financing;

(b) Neglect, exploitation, and abuse of SWDA clients;

(c) Cessation of operation as SWDA;

(d) Mismanagement of funds;

(c) Falsification of the requirements for registration, licensing, and accreditation;

(£) Revocation of its registration from juridical personality by the SEC or other regulatory
agencies;

(g) Noncompliance of SWDAS on the agreed action plan during the accreditation assessment
for two (2) consecutive monitoring visits with interval of six (6) months by the DSWD; or

(h) Other causes as may be determined by the DSWD.

SEC. 33. Delisting of a SWDA. ~ A SWDA with expired registration, license, or accreditation
certificate and which failed to reply or send a letter of intent to renew its registration, license, and
accreditation to the DSWD, after receiving three (3) notices shall be delisted from the DSWD’s roster.

A SWDA whose certificate of registration and license to operate have been revoked shall be
delisted from the roster of registered, licensed, and accredited SWDAs. Likewise, the SWDA that
voluntarily ceases its operation shall be delisted.

SEC. 34. Closure of Unregistered ot Unlicensed SWDAs. — After receipt of two (2) notices

from DSWD requiring them to apply and submit requirements for registration and licensing and to


undergo technical assistance, unregistered or unlicensed SWDAS that continue to engage in social
welfare and development programs and services, either directly or indirectly, shall immediately be
closed upon receipt of an order from the DSWD.

ARTICLE VII
STRENGTHENING THE STANDARDS BUREAU OF DSWD

SEC. 35. Strengthening of the Standards Bureau. — To carry out the provisions of this Act, the
Standards Bureau of the DSWD’s Central Office is hereby strengthened to fulfill the regulatory
service and quality assurance measures provided by the DSWD to the SWDASs intending or
implementing social welfare and development programs and services in the country.

SEC. 36. Organization and Structure. — The Standards Bureau shall upon approval of the
Secretary of the DSWD or any authorized representative of the Secretary be reorganized and set up
to effectively and efficiently implement the regulatory functions of the DSWD in pursuance with this
Act and existing DSWD rules and regulations. The Bureau shall be headed by a Director IV and
assisted by the Director III. Both shall be appointed in accordance with existing rules and regulations
of the CSC and the DSWD. They shall report directly to the DSWD Secretary or any authorized
representative.

SEC. 37. Functions of the Standards Bureau. ~ The Standards Bureau shall perform the
following duties and functions:

(a) Formulate, develop and revise policies and guidelines pertaining to social welfare and
development standards implementation, registration and licensing of SWDAs, accreditation of
service providers and programs and services of SWDAs, regulation of regional and national fund
campaign and duty-free entry of foreign donations and handling of complaints;

(b) Develop strategies which will promote quality social welfare and development programs
and services for the welfare of the beneficiaries,

(©) Register qualified organizations engaged in social welfare and development programs;

(d) License social welfare agencies,

(e) Accredit social welfare and development programs and services of the SWDAs and service
providers;

(f) Manage complaints and information on cases of violations against registered, licensed,
and accredited SWDAs and service providers;

(g) Monitor and provide technical assistance and resource augmentation to field offices,

SWDAs and intermediaries to ensure sustainability of quality service delivery;


(hy Develop and manage information management system relative to standards development,
compliance and monitoring of the registered and licensed SWDAs and accredited service
providers;

(i) Identify other benefits and incentives for registered, licensed, and accredited SWDAs; and

(i) Perform such other acts which are necessary or incidental to the proper exercise of its
functions and duties.

SEC. 38. Divisions of the Standards Bureau. — The Standards Bureau is composed of the
following three (3) divisions with their respective functions:

(a) Standards Development Division (SDD). — The SDD shall set the standards on the
implementation of social welfare and development programs and services, and develop strategies
which will promote quality social welfare and development programs and services for the welfare of
the defined beneficiaries.

(b) Standards Compliance Division (SCD). - The SCD shall process and assess applications
for registration, licensing, and accreditation of SWDAs and service providers, ensure their
compliance to the implementation of the social welfare and development programs and services and
determine the benefits accruing to licensed and accredited service providers and SWDAs. It shall
also fully enforce set regulatory policies to unregistered and unlicensed SWDAs and service
providers with expired registration, license, and accreditation.

(c) Standards Monitoring and Enforcement Division (SMED). — The SMED shall monitor the
sustained compliance of registered, licensed, and accredited SWDAs and service providers to the
minimum standards on the delivery of quality programs and services in consonance with the social
welfare and development programs for the poor, vulnerable, marginalized, disadvantaged, and
underprivileged sectors of the society. The division shall also be responsible for the handling of
complaints.

SEC. 39. Regional Counterpart. — The standards units in all regional offices of the DSWD
shall also be strengthened that shall implement the regulatory services in the region. The head of the
standards unit shall occupy a position not lower than a Social Welfare Officer IV. The regional office
shall also adapt at least the two (2) divisions in the Standards Bureau, namely: the Standards
Compliance Section (SCS) and the Standards Monitoring and Enforcement Section (SMES). The
appropriate number of staff complement of these two (2) sections shall be created in accordance with
isting rules and regulations of the CSC and the DSWD.



SEC. 40. Additional Plantilla Positions. — The number of assigned plantilla positions for the
DSWD Standards Bureau and its regional counterparts shall be increased in order to meet the duties
and functions provided in this Act.

ARTICLE VILL

IMPLEMENTATION OF THE LAW
AND RULE-MAKING AUTHORITY

SEC. 41..mplementing Rules and Regulations. — Within ninety (90) working days from its
effectivity, the Secretary of the DSWD shall, in consultation with the DOF, DOJ, Department of the
Interior and Local Government (DILG), DOLE, DBM, CSC, COA, SEC, Philippine National Police
(PNP), National Bureau of Investigation (NBI), Bureau of Immigration (BI), and other appropriate
government agencies, as well as three (3) representatives from any of the coalition of SWDAs or
social welfare and development workers, shall promulgate the necessary rules and regulations fo
carry out the provisions of this Act.

SEC. 42. Assistance from Law Enforcement Agencies, - Law enforcement agencies such as
the PNP, NBI, and BI shall provide assistance to the DSWD in the enforcement of this Act

SEC. 43. Immunity of Officer or Staff. - The duly authorized officer or staff of the DSWD and
the law enforcement agency involved in the implementation and enforcement of this Act who
acted in accordance with the due process clause of the Constitution shall be exempted from any civil,
criminal, and administrative liability.

ARTICLE IX
FINAL PROVISIONS

SEC. 44, Penalties. — Any person, group, or organization that operates as a SWDA without
the corresponding valid certificate of registration or license to operate issued by the DSWD shall be
penalized with a fine of not less than One hundred thousand pesos (100,000.00) but not more than
Five hundred thousand pesos (P500,000,00) or imprisonment ranging from one (1) year but not more
than three (3) years at the discretion of the court. The penalties imposed are without prejudice to other
penalties such as the seizure of equipment, instruments and other facilities of the SWDA.

If the offender is a corporation, organization, or any similar entity, the officials or employees
thereof who have directly participated in the violation shall be held liable therefore.

If the offender is a foreigner, the offender, after serving the sentence, shall be deported
immediately without further proceedings.


If the offender is a government official or employee of the DSWD or any government agency,
the offender shall be penalized in accordance with civil service rules and regulations.

SEC. 45. Transitory Provision. — All unregistered and unlicensed SWDAs that are currently
operating shall have a period of one (1) year ftom the effectivity of this Act to apply for registration
or license to operate with the DSWD.

‘The DSWD shall notify all registered and licensed SWDAs in writing about the implementation
of this Act within one hundred twenty (120) days from its effectivity. Upon compliance with the
requirements, a new registration or license to operate shall be issued to them.

SEC. 46. Appropriations. — The Secretary of Social Welfare and Development shall include
in the DSWD’s programs the implementation of this Act, the initial funding of which shall be charged
against the current year’s appropriations of the DSWD. Thereafter, the amount necessary for its
continued implementation shall be included in the annual General Appropriations Act.

SEC. 47. Separability Clause. ~ Ifany provision or part of this Act is declared unconstitutional
or invalid, the remaining parts or provisions not affected shall remain in full force and effect.

SEC. 48. Repealing Clause. — All laws, decrees, letters of instruction, executive issuances,
resolutions, orders or parts thereof which are inconsistent with the provisions of this Act are hereby
repealed, modified or amended accordingly.

SEC. 49. Effectivity. — This Act shall take effect fifteen (15) days after its publication in the

Official Gazette or in a newspaper of general circulation

Approved,