Press Release
October 27, 2010


As the Barangay Elections wind down to a close, Senator Edgardo J. Angara renews his call to improve the flow of resources and funding to the country's smallest political unit.

"Our barangays are very important units of the local government, since they have direct ties to our communities. They need sufficient funding to be able to perform their duties and provide basic services to their inhabitants," said Angara.

Senate Bill No. 2039 of the 15th Congress, also known as the FIFTY PERCENT (50%) SHARE IN THE COMMUNITY TAX, seeks to hasten the process of allocating funds to the barangay through retaining half of the collected community tax.

Section 164 of the Local Government Code of 1991 provides that barangays are entitled to a share of up to fifty percent (50%) of its community tax collection. In practice, however, the the city or municipality would hand over the said funds usually after a long waiting period and only when the barangay asks for it.

"The system we have now where the barangay needs to ask the higher government for its share is very inefficient. This causes delays in the barangay's projects and services, and results in a generally poor opinion towards the leaders of the community," he lamented.

This bill seeks to correct the situation by amending Section 164, so that the barangay treasurer would ba able to automatically keep their 50% share of the community tax collected and remit the remaining funds to the city or municipality after the end of the month.

During the 14th Congress, this bill (then called Automatic Retention by the Barangay Share in the Community Tax) was referred to the Committee on Local Government and the Committee of Ways and Means after the First Reading. It was then refiled in the beginning of the 15th Congress and is awaiting discussion.

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