Republic of the Philippines 
House of Representatives 
Quezon City, Metro Manila 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL No. _______ 
---------------------------------------------------------------------------------------------------------------- 
Introduced by HONORABLE ERNESTO “ERNIX” M. DIONISIO, JR. 
---------------------------------------------------------------------------------------------------------------- 
AN ACT FOSTERING THE PARTICIPATION OF FILIPINOS IN THE PREPARATION OF 
THE ANNUAL NATIONAL BUDGET, PROVIDING EFFECTIVE MECHANISMS 
THEREFORE, AND FOR OTHER PURPOSES 
EXPLANATORY NOTE 
National budget is very vital in the development of society. It is also what enables the 
government to perform its functions. The determination of what and how much the national 
budget is a crucial decision to make as it affects how the government can function and thus 
affects the welfare of the people.  
A big weight hinges upon the appropriation of what the national budget comprises and 
its amount. The national budget determines what projects or what sector will be focused on 
by the government.  
According to the 1987 Constitution, it is the president who shall submit a bill before the 
Congress, which shall be the basis of the general appropriations bills for the budget of 
expenditures and sources of financing1. 
However, the 1987 Constitution, also provides that the Philippines is a democratic and 
republican state and that sovereignty resides in the people and all government authority 
emanates from them2.  
Hence, this bill aims to address the lack of power by the people to participate in the 
preparation of the national budget. Through the Civil Society Organizations (CSOs), the bill 
aims to make it mandatory for the people to have a voice with regard to the deliberation and 
process of appropriating the national budget. 
In view of the foregoing, the passage of this bill is highly sought. 
1 Section 22, Article VII, 1987 Constitution. 
2 Section 1, Article II, 1987 Constitution. 
October 7, 2022
4:44 pm
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Republic of the Philippines 
House of Representatives 
Quezon City, Metro Manila 
NINETEENTH CONGRESS 
First Regular Session 
HOUSE BILL No. _______ 
---------------------------------------------------------------------------------------------------------------- 
Introduced by HONORABLE ERNESTO “ERNIX” M. DIONISIO, JR. 
---------------------------------------------------------------------------------------------------------------- 
AN ACT FOSTERING THE PARTICIPATION OF FILIPINOS IN THE PREPARATION OF 
THE ANNUAL NATIONAL BUDGET, PROVIDING EFFECTIVE MECHANISMS 
THEREFORE, AND FOR OTHER PURPOSES 
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 “People’s Participation 
in the National Budget Act” 
Sec. 2. Declaration of Policy. – The State recognizes the role of Civil Society 
Organizations (CSOs) in contributing to the welfare and improvement of the country.  
It is hereby the declared policy of the State that in the interest of transparency, a 
comprehensive process of consultation must be established to allow the participation 
of CSOs in the preparation of the annual national budget, to ensure that the 
appropriations address the actual needs of the citizens.  
Sec. 3. Definition of Terms. – For purposes of this Act, the following terms are 
defined as follows: 
a)
“Budget Call” - refers to the budget document issued by
the Department of Budget and Management (DBM) and sent to
all NGAs and GOCCs which contain the policy guidelines and
procedures in the preparation of the annual budget, including the
budget preparation calendar for any given year. The issuance of
a budget call is the beginning of the budget preparation phase.
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b)  
“Civil Society Organizations (CSOs)” - shall include non-
government organizations (NGOs), cause-oriented groups, 
people’s organizations, cooperatives, trade unions, professional 
associations, 
faith-based 
organizations, 
media 
groups, 
indigenous peoples movements, foundations, and other citizen 
groups legally formed primarily for social and economic 
development, which monitor government projects, engage in 
policy discussions, and actively participate in collaborative 
activities with the Government. 
  
c)  
“Conflict of Interest” - refers to a situation which occurs 
when a CSO or any of its key officers are involved in multiple 
interests which would prevent an impartial or unbiased attitude 
towards their participation in the national budget process. 
  
d)   
“Constructive Engagement” - refers to a partnership 
between the Government and counterpart CSOs marked by 
sustained dialogue towards problem solving while respecting and 
retaining the focus on assertion for reforms. 
  
e)  
“Government-Owned or Controlled Corporation (GOCC)” - 
refers to any agency organized as a stock or non-stock 
corporation, vested with function relating to public needs whether 
governmental or proprietary in nature, and owned by the 
Government of the Republic of the Philippines directly or through 
its instrumentalities, either wholly, or where applicable as in the 
case of stock corporations, to the extent of at least a majority of 
its outstanding capital stock. 
  
f)  
“National Government Agency (NGA)” - refers to a unit of 
the National Government, including the Judiciary, both Houses of 
Congress, and the Constitutional Commissions and Offices. 
  
g)   
“Participatory Mechanism” - refers to the means by which 
CSOs may participate meaningfully and effectively in the 
government process of formulating an annual national budget that 
is responsive to the needs of the different sectors in our society. 
  
Sec. 4. Coverage. – This Act shall apply to all NGAs and GOCCs whose budget 
is included in the Annual General Appropriations Act. 
  
Sec. 5. Accreditation to Submit Proposals for the National Budget. – In 
order to participate in the budget preparations, CSOs must be accredited before the 
NGA or GOCC concerned. 


  
The application for accreditation for the Senate, the House of Representatives, 
the Judiciary, and the Constitutional Commissions and Offices shall be filed at the 
Office of the Secretary, the Secretary-General, the Supreme Court Clerk of Court, and 
the Office of the Chairman, respectively. 
  
The application for accreditation for other NGAs and GOCCs may be filed at 
their respective regional or central offices. The application form shall be prescribed by 
each office, and shall be accompanied by the following documents: 
  
a)  
Letter of Intent 
b)  
Articles of Incorporation and By-laws of the CSO; 
c)  
Certificate of Registration and/or other such similar 
documents, issued by the appropriate NGA tasked to register 
CSOs, such as, but not limited to, the Securities and Exchange 
Commission, Bureau of Labor Relations, Insurance Commission, 
and the Cooperative Development Authority; 
d)  
List of officers, directors, trustees, and members; 
e)  
Duly audited financial statements for the past three (3) 
years showing the assets and liabilities of the organization; 
f)   
Full disclosure of the sources of funds, as well as full 
disclosure of service contracts with other NGAs, CSOs, private 
corporations, and other engagements which may result in a 
conflict of interest. 
  
Upon approval of the application, the head of the concerned NGA or GOCC 
shall issue the certificate of accreditation. Said certificate shall be valid for three (3) 
years from the date of issuance; Provided, the certificate of accreditation issued by the 
Senate and the House of Representatives, shall only be valid for the entire term of 
Congress under which such certificate was issued. 
  
No application shall be disapproved, except upon due notice and hearing. The 
decision of the head of the concerned NGA or GOCC shall be rendered within thirty 
(30) calendar days from the time of receipt of the application. Failure to act on the 
application shall be deemed an automatic approval of the application for accreditation 
of the concerned CSO and the issuance of a certificate of accreditation shall 
necessarily ensue. 
  
Sec. 6. CSO Participation. – All NGAs and GOCCs shall be required to 
formulate and adopt guidelines in outlining the mechanism for the accreditation and 
active participation of the COS in the preparation of the annual national budget. The 
DBM shall ensure that the NGA or GOCC has complied with the abovementioned 
requirement. 
  


Accredited CSOs, through their duly authorized representatives, shall be 
allowed to participate thru submission of proposals and/or position papers regarding 
the proposed budget of NGAs and GOCCs. CSOs may be invited as resource persons 
in the budget hearings to be conducted by the appropriate Committees of each House 
of Congress, pursuant to the guidelines that shall be issued by both Houses of 
Congress.  
 
Sec. 7. Privileges and Incentives. – An accredited CSO shall enjoy the 
following privileges and incentives: 
  
a)  
To receive notices and participate as a resource person, 
through its duly authorized representatives, in any regular and 
consultative public meetings, hearings, conferences, and 
dialogues on matters related to the preparation of the annual 
national budget; 
  
b)  
To have access to copies of the budget proposals 
submitted by the NGAs or by the GOCCs to the DBM upon 
approval of their request; 
  
c)  
To provide position papers, or its alternative or proposed 
budget, to the DBM on the budget proposal of the NGAs or of the 
GOCCs, submitted pursuant to the budget call; 
  
e)  
To have access to issuances such as, but not limited to 
policy orders, circulars, and memoranda that are related to the 
budget upon approval of their request; 
  
f)   
To have access to the documents prepared by the DBM 
submitted to Congress by the President as a basis for the General 
Appropriations Bill, as required under Sec. 22, Article VII of the 
Constitution upon approval of their request; 
  
g)  
To present written proposals on projects and activities of 
the government entities whose budget is under deliberation; and 
  
h)  
To have access to stenographic notes, minutes, and 
committee reports released by both Houses, including the 
bicameral conference committee report. 
  
Sec. 8. Notice to CSOs. – Notice to CSOs may be sent through their declared 
email, or through facsimile machine, postal mail, and by posting physically at the office 
of the NGA or GOCC concerned or at their official website; Provided, in the case of 
public consultative meetings, hearings, conferences, and dialogues notice shall be 


given at least fifteen (15) calendar days prior to said meeting, except in emergency 
cases where strict compliance  would cause undue delay to the holding of the meeting. 
  
Any of the said modes of sending notices shall be deemed compliance to the 
requirements under Section 7(a) of this Act. 
  
Sec. 9. Conflict of Interest. -- It is the responsibility of the CSO to inform the 
NGA or GOCC of any potential conflict of interest in their work with the concerned 
agency, if and when such a situation arises. However, if the NGA or GOCC deems 
that the CSO has a conflict of interest with the work of such NGA or GOCC, the latter 
shall give the applicant-CSO an opportunity to explain and prove that such alleged 
conflict of interest does not exist. 
 
A finding that a CSO has failed to disclose a conflict of interest after the 
issuance of their certificate of accreditation shall be meted with an automatic 
cancellation of their certificate.  
  
Sec. 10. Cancellation of Accreditation. – Upon receipt of a verified complaint 
in writing, which charges the holder of a certificate of accreditation of having procured 
their certificate of accreditation by fraud or deceit, the Head of the NGA or GOCC shall 
notify and serve a copy of the complaint to the CSO concerned, who shall be given an 
opportunity to be heard. Inaction by the NGA or GOCC on the said complaint within 
thirty (30) working days from the receipt of such complaint shall be deemed a dismissal 
of the complaint against the CSO involved. Any decision shall be final and 
unappealable. 
  
Any pending matter on the accreditation of a CSO shall not prevent any public 
consultation from being held for as long as the requirement for CSO participation in 
the budget consultations is met. 
  
Sec. 11. Non-Accredited CSOs. – Non-accredited CSOs may still participate 
in the budget process by submitting position papers for the consideration of the NGA 
or GOCC, and by attending and observing public consultations. They may, 
nevertheless, be invited to expound on their critique or proposals when the NGA or 
GOCC deems it fit. Nothing in this Act shall be construed to deprive non-accredited 
CSOs the rights, privileges, and incentives accorded to them by the Constitution, 
existing laws, and issuances. 
  
Sec. 12. Public and Timely Disclosure of Budget Documents and Related 
Data. – In order for CSOs to participate in an informed manner, the NGA or GOCC 
shall make public either on their official websites, or other public posting areas, budget 
documents to which CSOs shall have access, as provided for under Section 7 of this 
Act. 
  


Sec. 13. Separability Clause. –  If any provision of this Act shall be declared 
invalid or unconstitutional, the remaining part or provisions not otherwise affected shall 
remain in force. 
  
Sec. 14. Repealing Clause. –  Any law, decree, ordinance, administrative 
circular, or other issuance not consistent with any provision of this Act is hereby 
amended, repealed, or modified accordingly. 
  
Sec. 15. Effectivity Clause. –  This Act shall take effect fifteen (15) days after 
its publication in the Official Gazette or in a newspaper of general circulation. 
  
Approved,