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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City, Metro Manila 
EIGHTEENTH CONGRESS 
2nd Regular Session 
House Bill No. ________ 
Introduced by Representatives LORD ALLAN JAY Q. VELASCO, FERDINAND 
MARTIN G. ROMUALDEZ, ERIC GO YAP, and JOSEPH STEPHEN S. PADUANO 
EXPLANATORY NOTE 
In 2018, Congress passed Joint Resolution No. 01 authorizing the increase in base pay 
of the military and uniformed personnel (MUP) in the government. President Rodrigo Roa 
Duterte, recognizing the critical role of our MUP's in maintaining national security and peace 
and order and their exposure to high-risk environments in the performance of duty, signed 
the Joint Resolution on January 1, 2018. The Joint Resolution also suspends the indexation of 
the pension of retired MUP with the base pay increase of those in the active service. The 
suspension was lifted on January 1, 2019, resulting in the 2018 pension differential. 
The 2018 pension differentials for MUP remain outstanding as of this fiscal year.  
Hence, this bill seeks to appropriate the sum of Fifty-Four Billion and Six Hundred Million 
Pesos (P54,600,000,000.00) as a supplemental budget for the unpaid pension differentials of 
retired MUP's under the Pension and Gratuity Fund (PGF).   
The passage of this measure will ensure the final settlement of the long-overdue 
pension differential of retired military and uniformed personnel (MUP) of the Armed Forces 
of the Philippines as well as the retired uniformed personnel of the Philippine National 
Police, Bureau of Fire Protection, Bureau of Jail Management and Penology, Philippine Coast 
Guard and National Mapping and Resource Information Authority. 
March 25, 2021
11:28 AM
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In view of the foregoing, approval of this bill is earnestly sought. 
LORD ALLAN JAY Q. VELASCO 
ERIC GO YAP 


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Republic of the Philippines 
HOUSE OF REPRESENTATIVES 
Quezon City, Metro Manila 
EIGHTEENTH CONGRESS 
2nd Regular Session 
House Bill No. _________ 
Introduced by Representatives LORD ALLAN JAY Q. VELASCO, FERDINAND 
MARTIN G. ROMUALDEZ, ERIC GO YAP, and JOSEPH STEPHEN S. PADUANO 
AN ACT 
APPROPRIATING THE SUM OF FIFTY-FOUR BILLION AND SIX  
HUNDRED MILLION PESOS (P54,600,000,000.00)  
AS SUPPLEMENTAL BUDGET FOR THE PENSION AND GRATUITY FUND 
Be it enacted by the Senate and House of Representatives of the Philippines in Congress 
assembled: 
SECTION 1. Supplemental Appropriations.  The sum of Fifty-Four Billion and 
Six Hundred Million Pesos (P54,600,000,000.00) is hereby appropriated out of any 
funds in the National Treasury of the Philippines not otherwise appropriated, as 
additional funding and budgetary requirements for the FY 2021 Budget. 
SEC. 2. Funding and Budgetary Requirements for Pension and Gratuity 
Fund. – The amount appropriated herein shall be used for the payment of pension 
arrears of the retired Military Uniformed Personnel of the Armed Forces of the 
Philippines (AFP) Philippine National Police (PNP), Bureau of Fire Protection (BFP),  
Philippine Coast Guard (PCG), and National Mapping and Resource Information 
Authority (NAMRIA). 
SEC. 3. Use and Release of Funds. – The amount appropriated shall be released 
by the Department of Budget and Management (BDM) to the Department of National 
Defense (Armed Forces of the Philippines), Department of Interior and Local 
Government (Philippine National Police; Bureau of Fire Protection; and Bureau of Jail 
Management and Penology), Department of Transportation (Philippine Coast Guard), 
and Department of Environment and Natural Resources (National Mapping and 
Resource Information Authority), in accordance with budgeting, accounting and 
auditing laws, rules and regulations. 
SEC. 4. Applicability of General and Special Provisions in the FY 2021 General 
Appropriations Act. – The amount herein appropriated shall be used for the purpose 
indicated and subject to the relevant special and general provisions under Republic 
Act No. 11518 or the FY 2021 General Appropriations Act (GAA). 
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SEC. 5. Availability of Appropriations. – The appropriations authorized in this 
Act shall be available for release and obligation for the purpose specified from the 
date of the effectivity of this Act until fully spent. 
 
SEC. 6. Transparency Provisions. – The concerned agencies shall ensure the 
details of the fund distribution are included as part of the information posted on their 
transparency seals. 
 
SEC. 7. Separability Clause. – If for any reason or reasons, any part of this Act 
shall be declared as unconstitutional or invalid, the other parts of provisions hereof 
which are not affected thereby shall continue to be in full force and effect. 
 
SEC. 8. Effectivity. – This Act shall take effect immediately upon its 
publication. 
 
 
 
Approved,