SEVENTEENTH CONGRESS OF THE ) REPUBLIC OF THE PHILIPPINES )Third Regular Session )

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'19 JAN 29 P3:l1

S E N A T E S.B.No. 2 1 9 0

REC

Introduced by Senator Aquilino “Koko” Pimentel III

AN ACTAMENDING SECTION 285 OF REPUBLIC ACT NO. 7160,

OTHERWISE KNOWN AS THE LOCAL GOVERNMENT CODE OF 1991, TO ALLOW BARANGAYS CREATED BY LOCAL

GOVERNMENT UNITS THAT HAVE EXISTED FOR AT LEAST TEN (10) YEARS TO RECEIVE THEIR JUST SHARE IN THE

INTERNAL REVENUE ALLOTMENT

EXPLANATORY NOTE

Article X, Section 6 of the 1987 Constitution provides that the local government units shall have a just share, as determined by law, in the national taxes which shall be automatically released to them.

Section 285 of Republic Act No. 7160, as amended, otherwise known as the Local Government Code of 1991 (LGC), provides for the share of barangays existing prior to the effectivity of the LGC in the internal revenue allotment (IRA). It further provides that the financial requirements of barangays created by local government units (LGU) after the effectivity of the LGC shall be the responsibility of the LGU concerned.

As a result, barangays that were created by the Sangguniang Panlalawigan or the Sangguniang Panlimgsod after the effectivity of the LGC and pursuant to Sections 6 and 385 thereof, receive smaller funding