Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

Nineteenth Congress
First Regular Session

House it No, 1812

Introduced by Representative ZALDY “SECOY” S. VILLA

—

AN ACT :
AMENDING SECTION 8 OF REPUBLIC ACT NO. 6713, ALSO KNOWN AS THE
CODE OF CONDUCT AND ETHICAL STANDARDS FOR PUBLIC OFFICIALS
AND EMPLOYEES PROVIDING FOR STATEMENTS AND DISCLOSURE.

EXPLANATORY NOTE
The 1987 Philippine Constitution Section 17 Article 11, provides:

A public officer or employee shall, upon assumption of office and as often
thereafter as may be required by law, submit a declaration under oath of
his assets, liabilities, and net worth. In the case of the President, the Vice-
President, the Members of the Cabinet, the Congress, the Supreme Court,
the Constitutional Commissions and other constitutional offices, and
officers of the armed forces with general or flag rank, the declaration shall
be disclosed to the public in the manner provided by law.

Republi¢ Act No, 6713 also known as the Code of Conduct and Ethical Standards for Public
Officials mandates all government officials and employees, regardless of their salary grades,
to use a uniform SALN form.

No less|than the Supreme Court! emphasizéd the importance of complying with the
constitutional mandate to submit the SALN form. It serves as monitoring the income and
lifestyle of officials and employees in the government in compliance with the Constitutional
policy to eradicate corruption, promote transparency in government, and ensure that all
government employees and officials lead just and modest lives. Hence, there is a need to
amend the law by requiring public officials to use a more detailed SALN form, which will
require the declaration of the gifts received, financial transactions and travels for the year.

Transparency curbs corruption. There is a need for this measure in order to reflect the true
°

wealth ofa government official. This bill further provides that for purpose of computing the

Flores v. Montemayor, GR No. 170146, 25 August 2010.



declarant’s net worth, the current fair market value of the real property indicated in the tax
declaration of the real property concerned shall be used.

In view of the foregoing the passage of this measure is earnestly sought.

ZA) ‘OY” S. VILLA



| Republic of the Philippines
HOUSE OF REPRESENTATIVES
Quezon City

Nineteenth Congress
| First Regular Session

HOUSE BILL NO. 1812

| Introduced by Representative ZALDY “JECOY” S. VILLA

AN ACT

AMENDING SECTION 8 OF REPUBLIC ACT NO. 6713, ALSO KNOWN AS THE

copDi
AND

/E OF CONDUCT AND ETHICAL STANDARDS FOR PUBLIC OFFICIALS
IPLOYEES PROVIDING FOR STATEMENTS AND DISCLOSURE

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

SECTION 1. Section 8 RA 6713 is hereby amended to read as follows

Section 8. Statements and Disclosure. ~ Public officials and employees have an obligation
to accomplish and submit declarations under oath of, and the public has the right to know,
their assets, liabilities, net worth and financial and business interests including those of their
spouses and of unmarried children under eighteen (18) years of age living in their
households.

Only

in fare circumstances, when the financial interest of a spouse or child meets all three

standards listed below, may file or omit disclosure of an asset:

ay

Q)

QB)

(A)

the item is the sole interest or responsibility of the spouse or child, and the reporting
individual has no knowledge of the item;

the| item was not in any way, past or present, derived from the income, assets, or
activities of the reporting individual; and

the reporting individual neither derives, nor expects to derive, any financial or
economic benefits from the item.

Statements of Asset and Liabilities and Financial Disclosure. — All public officials
arid employees, except those who serve in a harmony capacity, laborers and casual
or temporary workers, shall file under oath their Statement of Assets, Liabilities and
‘Net Worth and a Disclosure of Business Interests and Financial Connections and
those of their spouses and unmarried children under eighteen (18) years of age living
in|their households.



The two documents shall contain information on the following:

(a) real property, its improvements, acquisition costs, assessed value and
current fair market value;

(b) personal property and acquisition cost;

(c) all other assets such as investments, cash on hand or in banks, stocks,
bonds, and the like;

(d) liabilities; and

(e) all business interest and financial connections.
‘The documents must be filed:

(a) within thirty (30) days after assumption of office;
(b) on or before April 30, of every year thereafter; and

(c) within thirty (30) days after separation from the service.

All public officials and employees required under this section to file the aforesaid document
shall also execute, within thirty (30) days from the date of their assumption of office, the

neces:

authority in favor of the Ombudsman to obtain from all appropriate government.

agencies, including the Bureau of Internal Revenue, such documents as may show their
assets, liabilities, net worth, and also their business interests and financial connections in
previous years, including, if possible, the year when they first assumed any office in the
Government.

‘The current fair market value of the real property indicated in the tax declaration of the real
property| concerned shall be used as basis for computing the net worth.

Husband and wife who are both public officials or employees may file the required
statements jointly or separately.

The Statements of Assets, Liabilities and Net Worth and the Disclosure of Business Interests
and Financial Connections shall be filed by:

(1) Constitutional and national elective officials, with the national office of the

Ombudsman;

(2) Senators and Congressmen, with the Secretaries of the Senate and the House of

Representatives, respectively; Justices, with the Clerk of Court of the Supreme
Court; Judges, with the Court of Administrator, and all national executive officials
ith the Office of the President.



(3) Regional and local officials and employees, with the Deputy Ombudsman in their
respective regions;

(4) Officers of the armed forces from the rank of colonel or naval captain, with the
Office of the President, and those below said ranks, with the Deputy Ombudsman in
their respective regions, and

(5) |All other public officials and employees, defined in Republic Act No. 3019, as

amended, with the Civil Service Commission.

Public officials with salary grade 27 and above (officers who are under the jurisdiction of
the Sandiganbayan) or heads of office should use a more detailed SALN form, which
includes the following:

1. gifts — indicate the identity of the source, a brief description, and the value of the
ifs.

2 francial transactions such as, but not limited to, sale, donation, assignment,
cluding the date and amount of transaction.

3. travels — report all travel and travel-related reimbursements from a single source and
onnected to official business with information on the source, dates, purpose of the
ravel and itinerary.

SECTION 2. Separability Clause. — If any provision or part hereof is held invalid or
unconstitutional, the remainder of the law of the provision not otherwise affected shall
remain valid and subsisting,

SECTION 3. Repealing Clause. - Any law, presidential decree or issuance, executive
order, letter of instruction, administrative order, rule or regulation contrary to or inconsistent
with the provisions of this Act is hereby repealed, modified or amended accordingly.

SECTION 4. Liectivity Clause. — This act shall take effect fifteen (15) days after its
publication in at least two (2) newspaper of general circulation.

|
Approved.