PRESS

>

REPUBLIC OF THE PHILIPPINES iS pe ‘CEIVED *
HOUSE OF REPRESENTATIVES = fore DEC 0 5 zu”
: Quezon City
EIGHTEENTH CONGRESS
First Regular Session

House Bill No._9735

Introduced by Pangasinan Fifth District Representative
HON. RAMON V. GUICO II

EXPLANATORY NOTE

In 2018, the Commission on Population (POPCOM) had revealed that the Philippines is moving
toward an increasingly aging population. POPCOM projections showed that by the end of 2018, there
were more or less 8,013,059 Filipinos over the age of 60, which is 8.2% of the national population. The
Philippine Statistics Authority likewise projects that the country’s aging population will triple to 22.6
million by 2045.

This growing trend is bringing to fore a unique challenge to the government, that is, to better
secure to the elderly a decent standard of living. Towards this ideal, the 1987 Constitution secured the
right of the elderly to social security reflected in relevant laws such as Republic Act No. 10645 and
Republic Act No. 9994. R.A. 9994 or the Expanded Senior Citizens in particular is considered a
progressive legislation, which featured a 20% discount and VAT-exemption on medical-related
expenses, transportation, and food, among others. It also provided for a social pension for indigent
senior citizens amounting to P500.00 a month.

In particular, the Social Pension Program is important because a sizeable number of Filipinos
are not eligible to receive social pension from SSS, GSIS, and other pension funds. Illustratively, only
29% of senior citizens are receiving pensions. This lack of coverage is primarily due to the fact that
most Filipinos are informally employed or do not have sufficient sources of income to sustain their
pension plans. Furthermore, pension alone does not guarantee income security, especially with the
rising prices of basic commodities.

Moreover, from an initial 134,000 beneficiaries in 2011, the social pension program by the year
2017 has reached about 2.8 million or 33% of indigent senior citizens. Combined with the 29% pension
coverage of the SSS, GSIS, and other pension funds, there remains about 38% or 3 million senior
citizens without any form of pension.

To address this coverage gap, it would be best to expand the coverage of the social pension
program to all senior citizens without social pension. The present system of identifying indigent senior
citizens is highly inaccurate because the household data used does not sufficiently reflect the real
vulnerabilities of senior citizens. There have been instances, as observed by implementers and senior
citizens themselves that a relatively well-off elderly receives pension supposedly for indigent ones. The
excessively subjective definition of being an “indigent senior citizen” exposes the program’s design to
clientelism and corruption. To avoid this, the criteria for the coverage of the social pension must be
simple and clear.


Moreover, a measly sum of P500.00 is not enough to cover for the expenses of being an elderly
person in the country. Basic necessities including medicines are costly and will certainly degrade the
quality of life for such persons. Numerous senior citizens are also living alone without support from
their children or other relatives while some, even at such an advanced age, continue to have
dependents. It is therefore necessary that we at least accord to them at least P2500.00 to help support
them.

In view of the foregoing, immediate passage of this bill is earnestly sought.

N

Rep. Rampn V. Gi bits


REPUBLIC OF THE PHILIPPINES
HOUSE OF REPRESENTATIVES
‘ ‘Quezon City

EIGHTEENTH CONGRESS
First Regular Session

House Bill No._ 9735

Introduced by Pangasinan Fifth District Representative
HON. RAMON V. GUICO III

AN ACT
INCREASING THE MONTHLY SOCIAL PENSION OF INDIGENT SENIOR CITIZENS
AMENDING FOR THIS PURPOSE REPUBLIC ACT NO. 7432, AS AMENDED BY
REPUBLIC ACT NOS. 9257 AND 9994, OTHERWISE KNOWN AS THE “EXPANDED
SENIOR CITIZENS ACT OF 2010”

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

SECTION 1. Section 2 of Republic Act No. 7432, as amended by Republic Act Nos. 9257 and
9994, otherwise known as the “Expanded Senior Citizens Act of 2010” is hereby amended to read as
follows:

“Sec. 2. Definition of Terms. — For the purposes of this Act, these terms are defined as
follows:

“Sox

[(h) indigent senior citizens refers to any elderly who is frail, sickly, or with disability,
and without pension or permanent source of income, compensation or financial
assistance from his/her relatives to support his/her basic needs, as determined by the
Department of Social Welfare and Development (DSWD) in consultation with the
National Coordinating and Monitoring Board.]

(H) SOCIAL PENSION REFERS TO THE MONETARY GRANT FROM THE
GOVERNMENT TO SUPPORT THE DAILY SUBSISTENCE AND MEDICAL
NEEDS OF SENIOR CITIZENS WHICH SHALL AMOUNT TO NO LESS
‘THAN TWO THOUSAND FIVE HUNDRED PESOS (P2,500.00) PER MONTH.”

SEC. 2. Section 5 of Republic Act No. 7342, as amended, is hereby further amended to read as
follows:

“Sec. 5. Government Assistance. — The government shall provide the following:

“Soo


“(h) Additional Government Assistance
“(1) Social Pension

“[Indigent] ALL senior citizens, WITHOUT PENSION FROM THE SOCIAL
SECURITY SYSTEM, GOVERNMENT SERVICE INSURANCE SYSTEM, AND
OTHER PUBLIC OR PRIVATE SOCIAL PROTECTION SYSTEM shall be
entitled to a monthly SOCIAL PENSION AMOUNTING TO NO LESS THAN
TWO THOUSAND FIVE HUNDRED PESOS (P2,500.00) to [augment] SUPPORT
[the] THEIR daily subsistence and medical needs [of senior citizens, subject to a review
every two (2) years by Congress, in consultation with the DSWD].

“THE DSWD, IN CONSULTATION WITH THE DEPARTMENT OF BUDGET
AND MANAGEMENT (DBM), INCLUDING OTHER RELEVANT
STAKEHOLDERS SHALL REVIEW AND WHEN NECESSARY, ADJUST THE
AMOUNT OF SOCIAL PENSION EVERY THREE (3) YEARS AFTER THE
EFFECTIVITY OF THIS ACT, TAKING INTO ACCOUNT THE VARIOUS
NEEDS OF SENIOR CITIZENS AND RELEVANT ECONOMIC INDICATORS,
AS REPORTED AND PUBLISHED BY PERTINENT GOVERNMENT
AGENCIES OR AUTHORITIES: PROVIDED, THAT THE SOCIAL PENSION
SHALL NOT BE LESS THAN THE AMOUNT INITIALLY SPECIFIED IN THIS
ACT.

“THE COVERAGE OF THE SOCIAL PENSION PROGRAM SHALL ALSO BE
SUBJECT TO REVIEW BY THE DSWD, IN CONSULTATION WITH THE
DBM AND OTHER RELEVANT STAKEHOLDERS, AND WHEN NECESSARY,
ADJUSTED TO INCLUDE THOSE WHO ARE RECEIVING BELOW BASIC
PENSION AND THOSE WHO HAVE DEPENDENTS.

Xxx.

SEC. 3. Repealing Clause-—All laws, decrees, executive orders or parts thereof inconsistent
with the provisions of this Act is hereby repealed or modified accordingly.

SEC. 4. Separability Clause-—If any part or provision of this Act is declared invalid or
unconstitutional, the other parts not otherwise affected shall remain in full effect and force.

SEC. 5. Effectivity.—This Act shall take effect fifteen (15) days after its publication in the
Official Gazette or at least two newspapers of general circulation.

Approved,