TWENTIETH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
SENATE
s. NO. 726
. . 
:Ji ll
25 JUL 21 A10 30
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Rl;.Ci.:vi I. 
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Introduced by Senator FRANCIS N. PANGILINAN
AN ACT
CREATING A SYSTEM OF PARTNERSHIP BETWEEN LOCAL GOVERNMENTS 
AND CIVIL SOCIETY ORGANIZATIONS THROUGH THE ESTABLISHMENT OF 
A PEOPLE'S COUNCIL IN EVERY LOCAL GOVERNMENT UNIT, 
PRESCRIBING ITS POWERS AND FUNCTIONS
EXPLANATORY NOTE
Republic Act No. 7160, otherwise known as the Local Government Code of 1991 
(LGC), fully recognizes the vital role of people's organizations, non-government 
organizations, and the private sector in the arduous task of nation-building. It is the 
policy of the state "to conduct periodic consultations with appropriate local 
government units, nongovernmental and people's organizations, and other concerned 
sectors of the community before any project or program is implemented."
Unfortunately, more than two decades after the passage of the LGC, the 
participation of people's organizations, non-government organizations, and the private 
sector in nation-building has yet to be institutionalized. Whether ordinary citizens or 
government officials, nation building is everyone's job. This Bill allows the citizenry to 
actively participate in government process, paving the way for the government to 
better serve the needs of its people.


In view of the foregoing, the passage of this bill is earnestly sought.
FRANCI
ANGILINAN
Senator


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TWENTIETH CONGRESS OF THE ) 
REPUBLIC OF THE PHILIPPINES ) 
First Regular Session 
)
25 JUL 21 A10 31
SENATE
S. No. 726
RKh! ,; :
Introduced by Senator FRANCIS N. PANGILINAN
AN ACT
CREATING A SYSTEM OF PARTNERSHIP BETWEEN LOCAL GOVERNMENTS 
AND CIVIL SOCIETY ORGANIZATIONS THROUGH THE ESTABLISHMENT OF 
A PEOPLE'S COUNCIL IN EVERY LOCAL GOVERNMENT UNIT, PRESCIRIBING 
ITS POWERS AND FUNCTIONS
Be it enacted by the Senate and the House of Representatives of the Philippines in 
Congress assembled:
SECTION 1. Short Title. - This Act shall be known as the "The People 
Empowerment Act."
Sec. 2. Declaration of Policy. - It is the policy of the State to ensure participation 
of citizens in all avenues of local governance. Likewise, the State acknowledges the 
value of creating a mechanism where its citizen's views and opinions in different areas 
of governance may be heard and considered. Furthermore, pursuant to Article II, 
Section 23 of the Constitution, the State recognizes the value of non-governmental, 
community-based, or sectoral organizations in nation building and creating an avenue 
to ensure their growth and development. The state also recognizes that partnerships 
with People's Organizations and Civil Society Organizations will spur development in 
local government units (LGUs) as envisioned by the Local Government Code of 1991.
Sec. 3. Definition of Terms - For purposes of this Act:
(a) The term Civil Society Organization or CSO refers to any organized 
citizens' group including People's Organizations and Non-Government Organizations 
(NGOs) such as community groups, labor unions, indigenous groups, charitable 
organizations, faith-based organizations, professional associations, and foundations;


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(b) 
The term LocalSanggunian refers to the applicable local legislative body, 
specifically either the Sangguniang Panglungsod for cities or the Sangguniang Bayan 
for municipalities;
(c) 
The term People's Organization or PO 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. Registration of CSOs. - Any CSO in active operation for at least one year 
may be registered in their respective city or municipality where they conduct their 
operations and where majority of their members reside. Registration will be approved 
by the Local Sanggunian, upon submission or compliance of the following 
requirements:
(a) 
Proof of existence and operation in the city or municipality they are 
applying in for at least one year prior to filing the application for registration;
(b) 
Proof of activities held in pursuit of development objectives or of 
organizational activities concluded;
(c) 
Program of activities planned for one year following the date of 
application for registration;
(d) 
Copies of its constitution, by-laws and/or articles of incorporation;
(e) 
Lists of its officers and members in good standing and their respective 
addresses;
(0 Financial statements and declaration to register and participate under 
this Act.
A CSO whose application for registration has been approved shall be issued a 
certificate of registration containing, among others, the terms and conditions for the 
maintenance of its registered status.
The Local Sanggunian, however, may from time to time, and in consultation with 
the Local People's Council, impose such other requirements and conditions for 
registration as it may deem appropriate to best adhere to the principles of this Act.


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Any CSO already accredited by the LGU prior to the effectivity of this Act need
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not register for purposes of this Act, unless its accreditation has in the meantime been
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withdrawn.
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Sec. 5. Registration Deemed Inactive. - A registered CSO is required to submit,
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by January 31 of every year, a list of accomplishments of the previous year and its
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plans for the current year. Any CSO who fails to comply for two (2) consecutive years,
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shall automatically have its registration deemed inactive.
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Any CSO whose registration has been deemed inactive may not avail of the rights
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and privileges of registered CSOs contained in Section 7 of this Act. A CSO may
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reactivate its registration upon submission of the documents it lacks.
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Sec. 6. Committee on Registration of CSOs. - There shall be a Committee on
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Registration of CSOs in each Local Sanggunian of all cities and municipalities. It Is
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mandated to perform the following functions:
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(a) Receive and process applications for registration;
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(b) Monitor compliance with the conditions for registration; and
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(c) Initiate legislative measures for the effective performance of its tasks.
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The Local People's Council, once formally organized, shall be entitled to a two-
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seat representation in the Committee.
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Sec. 7. Rights and Priviieges of Registered CSOs. - Registered CSOs may enjoy
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the following rights and privileges:
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(a) 
Enter into joint ventures or other forms of undertaking with Local
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Sanggunian to engage in the delivery of certain basic services, capacity-building, and
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livelihood projects;
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(b) 
Develop local enterprises designed to improve productivity and income,
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diversity agriculture, spur rural industrialization, promote ecological balance, and
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enhance the economic and social well-being of the people within the framework of
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equitable and sustainable development;
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(c) 
Receive assistance from the Local Sanggunian for economic, socially-
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oriented, environmental, good governance, or cultural projects to be implemented
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within their territorial jurisdiction;
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(d) 
Join and become part of the Local People's Council.


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Sec. 8. Creation of Local People's Councils. -A Local People's Council, composed 
of accredited CSOs, shall be created. For its purpose, the Committee on Registration 
of each Local Sanggunian shall, not later than ninety (90) days from the effectivity of 
this Act, call for a convention of all accredited CSOs to facilitate the formal organization 
of the Local People's Council. Thereafter, such group shall file a petition for 
recognition with the Local Sanggunian.
A Local People's Council shall be formally created upon approval by the Local 
Sanggunian of the petition for recognition.
Sec. 9. Structure and Rules of the Local People's Council. - Each Local People's 
Council shall determine its own organizational structures and internal rules, but shall 
at all times provide for adequate consultation mechanisms for purposes of obtaining 
the views and suggestions of all political parties or movements, government 
employees' organizations, other non-accredited but legitimate CSOs, and accredited 
CSOs which are not members of the Council; Provided, that no political part, 
government employees' organization or non-registered CSOs may be nominated by 
the Council for membership in the LGU's special bodies nor may they be granted the 
rights and privileges of accredited CSOs under this Act.
Sec. 10. Recognition of the Local People's Council by the Local Sanggunian. - 
Only one Local People's Council shall be recognized by each Local Sanggunian. The 
Local Sanggunian is mandated to award recognition to a People's Council within thirty 
(30) days from the filing of a petition for recognition.
Sec. 11. Withdrawing Recognition of the Local People's Council. - The Local 
Sanggunian may withdraw the recognition granted to the Local People's Council only 
upon action of a petitioner and based on the following grounds:
(a) 
That the Local People's Council allowed itself or any of its member 
organizations to engage primarily in, or to be used primarily for, partisan political 
activities;
(b) 
Other grounds to be provided for in the Implementing Rules and 
Regulations of this Act.
The Local Sanggunian shall not have jurisdiction over internal and/or inter- 
organizational conflicts within the Local People's Council.


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Sec. 12. Powers and Responsibilities of the Local People's Council. - Upon 
recognition, the Local People's Council may, in accordance with its policies and internal 
rules, exercise the following powers and responsibilities:
(a) 
Elect or appoint, from among its member organizations. Its 
representatives to all LGU bodies, boards, councils, committees, task forces special 
government bodies and other similar work groups which the laws may hereinafter 
create. Member organizations elected or appointed to represent the Local People's 
Council shall have the sole prerogative to choose, from among their bona fide 
members, the persons who shall sit in the boards, councils, committees, task forces 
and/or special bodies concerned. Unless otherwise provided herein, such 
representatives shall not exceed twenty-five (25) percent of the membership of the 
board, council, committee, task force or special body;
(b) 
Participation of the Local People's Council or any of its member 
organization in the conception, implementation and evaluation of government 
activities and functions shall be without compensation or remuneration. The LGU, 
however, shall provide for the necessary office spaces, facilities and/or equipment for 
said participation of the Council;
(c) 
Representatives of the Local People's Council may observe, vote and 
participate in the deliberation, conceptualization, implementation and evaluation of 
projects, activities and programs of the LGU, propose legislations and participate and 
vote at the committee level of the Local Sanggunian;
(d) 
The Local People's Council shall also elect a representative for the 
provincial level.
Sec. 13. Creadon of a Provincial People's Council. - A Provincial People's Council 
shall be created and recognized by the Sangguniang Panlalawigan. The Provincial 
People's Council shall be composed of all representatives to the provincial level from 
the Local People's Councils within the province's jurisdiction.
The Provincial People's Council shall elect, from within its ranks, a representative 
who will sit on the Sanggunian Panlalawigan and shall exercise the duties and powers 
of a Provincial Board member.
Sec. 14. Non-Partisan Nature of the Local and Provincial People's Council. - The 
Local or Provincial People's Council shall not engage in, or allow itself or its member
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organizations to be used for purposes of partisan politics and shall adopt such 
measures to ensure that It is adequately shielded from any political partisanship or 
influence.
For purposes of this Act, partisan politics shall refer to any activity statement or 
manifestation which solely or primarily serves to campaign for or against any particular 
political party or any candidates for any elective public office.
Sec. 15. Amendment of the Composition ofLGUs. - The existing composition of 
the committees, boards, councils, task forces, special bodies of all LGUs are hereby 
amended and modified to accommodate the membership and participation therein of 
the Local People's Council or its representatives as herein mandated.
Sec. 16. Right to Seif-Organization. - Pursuant to Article XIII, Section 15 of the 
Constitution, CSOs are recognized as independent and autonomous self-help 
organizations. They are encouraged to organize into formal cooperatives, labor union, 
interest groups, non-government organizations, sectoral organizations and/or people's 
organization in furtherance of their constitutionally mandated role of enabling the 
people to pursue and protect, within the democratic framework, their legitimate and 
collective interests and aspirations through peaceful and lawful means.
Furthermore, the Department of Local and Interior Governance (DILG) and LGUs 
are mandated to assist, and support efforts of the people towards self-organization to 
address their common concerns, to promote their common welfare, and/or to serve 
their localities or their communities and interests.
Sec. 17. Funding. - The funds needed for the capacity building of CSOs shall be 
included in the annual budget of the DILG. The funds needed for the capacity building 
of CSOs shall be included in the annual budget of the DILG. The funds necessary for 
the maintenance and operational expenses of Local People's Council, in relation to 
participation in local governance, shall be included in the annual budgets of respective 
LGUs.
Sec. 18. Information Boards And Suggestion Boxes. - Information boards and 
suggestion boxes shall be provided, maintained and controlled by the LGU in each 
barangay, at the public plazas, city hall compound, public markets, schools, 
government offices, and at such public places accessible to the people, which boards


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and boxes shall be other than those maintained by the barangays and the national 
government, and shall be controlled solely by the LGU.
LGUs are mandated to respond within fifteen (15) working days to the 
suggestions filed by citizens in suggestion boxes.
Sec. 19. Implementing Rules and Regulations. - Within one hundred twenty 
(120) days from the effectivity of this Act, the DILG, LGUs, in consultation with CSOs 
that have experience working with LGUs, shall determine effective ways and methods 
for the implementation of this Act and craft the implementing rules and regulations of 
this Act.
Sec. 20. Separability Clause. -If any provision of this Act is declared invalid or 
unconstitutional, the other provisions not affected by such declaration shall remain in 
full force and effect.
Sec. 21. Repealing Clause. - All laws, executive orders, administrative orders, 
and rules and regulations inconsistent with this Act are hereby repealed or amended 
accordingly.
Sec. 22. Effectivity Clause. - This Act shall take effect fifteen (15) days after its 
complete publication in the Official Gazette or in two (2) newspapers of general 
circulation.
Approved,