3Rapttbli't ot trDe ffibtltpptlies
aBouse ot 3Rerregentattties.
®ue?Im ®ttp, giv€tro givallfld
Nineteenth Congress
Second Regular Session
•.`t   House Bill No. 963 8
Introduced by:
HON. MARISSA "DEL MAR" MAGSIN0
0FW PARTY LIST
EXPLANATORY NOTE
The  barangay  is  the  basic  political  unit  in  the  Philippines  and  has  the  core
function of bridging the government closer to the local communities and constituents.
Today, there are more than 42,000 barangays across our archipelago. With the
Punong  Barclngay  at  its  helm,  together  with  its  council  of Barcrngay  Kagawads and
Sanggum.crng  Jfabcrtoan  officials,  and  other  officers,  barangays  serve  as  the  building
blocks  of  our  country's  decentralized  local  government  system,  enabling  a  more
effective governance at the grassroots level. They also play crucial roles in community
development and in the maintenance of public order and safety,
However, barangay officials are yet to be recognized as government employees,
particularly in reference to membership in the Government Service  Insurance System
(GSIS).
This bill mandates the compulsory coverage of barangay officials in the GSIS with
their respective barangay political units to be deemed as their employers for purposes
of providing for the  employer's  counterpart to their personal  contributions, whether
based on their present allowances or fixed salaries that may be granted by law in the
future. In the implementation of this mandate, the GSIS shall develop and administer a
special social security program for barangay officials taking into account the nature and
character of their employment and/or service.
Moreover, to support funding for the purpose, this bill proposes the provision of
subsidies  by the  National  Government to  barangay  political  units  belonging to  third
(3rd), fourth (4th), fifth (5th, and sixth (6th)  class municipalities, which shall be included


in  the  Local  Government  Support  Fund  in  the  annual  General  Appropriations  Act
Furthermore,   provinces,   cities,   or   municipalities,   subject   to   availability   of  their
respective  funds,  are  also  encouraged  to  subsidize,  in  part  or  full,  the  employer's
counterpart contribution of barangay political units under their respective jurisdictions.
With the proposed measure, barangay officials across the country can qualify for
retirement benefits and loans, such as housing, salary, education, and calamity loans.
Given their contributions to the community as front-liners of government service, it is
high time that we accord them the recognition and benefits the State is supposed to give
to its workers.
For the foregoing reasons, the immediate consideration and approval of this bill
is earnestly urged.
ENWRILuni RISSA "DEL MAR"


3Rcpiib[t't ot trpe aebf(fpp(»es
acotlse ol 3Rerregentottti es
®uc3ott ®ttp, givetro fflali[td
Nineteenth Congress
Second Regular Session
HouseBi|iNo.9638
Introduced by:
HON. MARISSA "DEL MAR" MAGSINO
0FW PARTY LIST
ANACT
MANDATING THE COMPULSORY COVERAGE OF BARANGAY OFFICIALS IN THE
GOVERNMENT SERVICE INSURANCE SYSTEM (GSIS), AMENDING FOR THE
PURPOSE PRESIDENTIAL DECREE NO. 1146, AS AMENDED BY REPUBLIC ACT NO,
8291 ENTITLED `THE GOVERNMENT SERVICE INSURANCE SYSTEM ACT 0F 1997',
AND FOR OTHER PURPOSES
Be it enacted by the Senate and House Of Representatives of the Philippines in Congress
assembled:
Section   1.  Short TI.tJe - This Act shall be known as the `Mandatory GSIS Coverage for
Barangay Officials Act'.
Section     2.   DecJartrfi.on a/Poll.ey -It is hereby declared the  policy of the  State to
promote the welfare of barangay officials who make democracy function and facilitate
the  delivery  of  social  services  to  constituents  in  the  basic  territorial  and  political
subdivision of the government. Towards this end, the State shall ensure that barangay
officials are covered by the insurance and retirement system for government workers
under existing laws.
Section  3.     CoJxpHJsory  Covemge  -  Barangay  officials  shall  be   included   in   the
compulsory  membership  of the  Government  Service  Insurance  System  (GSIS)  under
Section 3 of Presidential Decree No.1146 as amended by Republic Act No. 8291, entitled
the  Government  Service  Insurance  Act  of  1997.  For  purposes  of this  Act,  `barangay
officials' shall refer to elective and appointive positions in the barangay political unit in
accordance with  Section  387 and Section  423  of Republic Act No.  7160,  or the  Local
Government Code of 1991. Their respective barangay political units shall be deemed as
their employers for purposes of this Act, subject to Section 5 of this Act,


The  GSIS  shall  develop  and  administer  a  special  social  security  program  for
barangay officials taking into account the nature and character of their employment:
Provi'ded, That the program may have different contributions and benefits which must
be fair, equitable and actuarially viable.
Section 4.  Section 2(d) of presidential Decree No.1146 as amended by Republic Act No.
8291, is hereby further amended to read as follows:
Section  2. Deflmti.on  a/  rems.-Unless  the  context  otherwise  indicates,  the
following terms shall mean:
(a)        xxxx
XXXX
(d)     EmpJeyee  or Member-  Any  person  receiving  compensation  while  in  the
service   of  an   employer   as   defined   herein,   whether   by   election   or
appointment,  irrespective  of status  of appointment,  including  barangay
[and    Sanggunian]    officials   WIIETHER   OR   NOT   RECEIVING    FIXED
MONTHLY   COMPENSATION:   PRoyJDED,   THAT   IN   THE    CASE    OF
BARANGAY OFFICIALS, THEY SHALL  BE  DEEMED AS SELF-EMPLOYED
MEMBERS FOR PURPOSES OF COMPUTING THEIR CONTRIBUTION TO
THE      SYSTEM:      PROWDED      FtJRT#ER,      THAT      WIIEN      FIXED
COMPENSATION  OR  SALARY  IS  GRANTED  T0  THEM  BY  LAW,  THE
SAME     SHALL     BE     THE     BASIS     OF     COMPUTATION     0F     THEIR
CONTRIBUTION T0 THE SYSTEM.
Sectiron  5.  Subsidy From the National Government and the Local Government Units
fLGUsj  -  The  employer's  counterpart to  the  personal  contributions  of the  barangay
officials  shall  be  charged  to  the  regular  funds  of their  respective  barangay  political
units: ProVI.fed, That barangay political units belonging to third (3rd), fourth (4th), fifth
(5th)  and  sixth   (6th)   class  municipalities  shall  receive  subsidies  from  the  National
Government  to  be  included  in  the  Local  Government  Support  Fund  in  the  annual
General  Appropriations  Act  to  support  the   employer's  counterpart  contributions:
Provi`ded/urther, That provinces, cities, or municipalities, subject to availability of their
respective  funds,  may  also  subsidize,  in  part  or  full,  the  employer's  counterpart
contribution of barangay political units under their respective jurisdictions.
Section 6. £jmlta£I.on a/ the Coverage - Barangay officials who are already enjoying
insurance,   retirement,   disability,   separation,   unemployment  benefits,   health   and
medical insurance from the government shall not be covered by this Act.
Section 7. Implementing Rules and Regulations - W±thing ninety C90) days from the
effectivity of this Act, the GSIS, in coordination and in consultation with the Department
of the Interior and Local Government (DILG), the Department of Finance (DOF), and the


£J.ga  ng  mga  Bamngcly,  shall  promulgate the  rules  and  regulations  necessary for the
effective implementation of this Act.
Section   8. Separabl.JI-ty CrdHse   - If for any reason, any part or provision of this Act
shall be declared or held to be unconstitutional or invalid, the other parts or provisions
hereof which are not affected thereby shall continue to be in full force and effect.
Section    9.    RepcaJing  CJause  -      All  republic  acts,  executive  orders,  rules  and
regulations,  and  other  issuances,  or  parts  thereof,  that  are  inconsistent  with  the
provisions of this Act are hereby repealed or modified accordingly.
Section   10.  E#t?ctl.vl.ty CJaurse -    This Act shall take effect fifteen (15) days after its
publication in the Offlcial Gazette or in at least two (2) national newspapers of general
circulation.
Approved.