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

SEVENTEENTH CONGRESS
rst Regular Session

3969

HOUSE BILL NO.

Introduced by Rep. BERNADETTE HERRERA-DY

EXPLANATORY NOTE

The constitution under Article 11, $

ction 15 of the 1987 Constitution thereof
provides that the State shall protect and promote the right to health of the people and
instill health consciousness among them.

As a partner in promoting people's health, the government must. provide
assistance to private hospitals to ensure their viability and high quality service

Seventy percent (70%) of the country's hospitals are privately owned.
Distributed to the different areas of the country, these institutions provide the
much needed medical services and facilities that government hospitals cannot alone
provide thereby filling a void in the people's health needs

This legislation proposes a Private Hospital Development Plan, which will be
drawn in coordination with the Department of Health, other appropriate government
agencies, and non-government organizations. This plan shall monitor the needs of
private hospitals in terms of facility, equipment, and human resources. It shall also
grant tax incentives to accredited private hospitals.

‘This bill likewise proposes the creation of a Special Private Hospital Fund
that will be sourced from real property taxes paid by private hospitals. The money
collected shall be used to finance the improvement of private hospital facilities and to
assist community-based projects in various localities. This fund shall be managed and
disbursed by the local health board in each municipality or chartered city where the
private hospital is located.



Through this bill, we hope to build a bridge of cooperation between the
government and private hospitals. It shall provide the needed link between the
public's ever growing health care needs and the advanced medical services that can
be provided by private hospitals.

The immediate passage of this bill is therefore requested.

bepaoerte HERRERA-DY



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

SEVENT!
Fi

1 CONGRESS
Regular Session

9
HOUSE BILL no.8969

Introduced by Rep. BERNADETTE HERRERA-DY

AN ACT ESTABLISHING A PRIV.
AND PROVIDING ASSISTANC

1OSPITAL DEVELOPMENT PLAN
PRIVATE HOSPITALS BY GRANTING
OF INCENTIVES

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

CTION 1, Title. - This Act shall be known as the "Private Hospital
Assistance Act of 2016,"

CTION 2. Declaration of Policy - It is the policy of the State to provide
ance to private hospitals to ensure their viability and enable them to continue
giving quality service to the people. Towards this end, a private hospital development
plan shall he promulgated and the private hospital fund established

L. PRIVATE HOSPITAL DEVELOPMENT PLAN

ION 3. The Private Hospital Development Plan, - The Department of
Health in consultation with the other appropriate government agencies, the Philippine
Hospital Association, and non-government organizations, shall draw up a Private
Hospital Development Plan that shall:

1. Assess the prevailing situation in certain localities and identify its needs in
terms of facility, equipment and human resources; provide incentives for,
and establish agreements and linkages with private hospitals and clinics, to
answer these needs;

2. Identify unserved or underserved areas in terms of secondary and tertiary
care where private hospitals can be established and, in collaboration with
other government agencies, provide proper incentives for the same;


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3. Promulgate rules and regulations regarding the number, composition and
other matters relating to the creation of the Private Hospital Board as
provided for in Section 5 of this Act;

stablish guidelines for better coordination and cooperation between
government and private hospital system in the country so as to provide
better quality medical services to more people needing medical attention

I, CREATION OF THE PRIVATE HOSPITAL FUND AND BOARD

SECTION 4. Private Hospital Fund, - All proceeds from the payment of
real property taxes of private hospitals shall accrue to a special Private Hospital Fund
which shall be used for the following purposes:

a) Improvement of hospital facilities to accommodate more service ward
patients; and

b) Financial assistance to community-based health projects in the locality,

SECTION 5, The Private hospital Fund Board. - The private hospital fund
shall be managed and disbursed by a local Board which shall be constituted in each
municipality or chartered city with private hospitals, and shall be composed of:

a) The Mayor of the municipality or chartered city as Chairperson;
b) A director from every private hospital in the municipality or city:
©) ‘The municipal or city health officer:

d) Two (2) representatives of the private sector or non-governmental
organizations,

‘The members of this Board shall be chosen in accordance with implementing
rules and regulations to be issued by the Secretary of Health, The Private Hospital
Board shall adopt its own rules and regulations, which shall enable it to finance the
activities, provided for in Section 4 of this Act.

CTION 6. Audit of the Private Hospital Fund. - The disbursement of the
Private Hospital Fund shall be subject to audit by the Commission on Audit

SECTION 7. Repealing Clause. - Any provision of law, rules and
regulations inconsistent with this Act is hereby repealed or modified accordingly.


SECTION 8. Effeetivity
from its publication in the Official Gazette or in two (2) national newspape!
circulation

Approved,

- This Act shall take effect fifteen (15) days

s of general