TWENTIETH CONGRESS OF THE ) REPUBLIC OF THE PHILIPPINES First Regular Session AUG -7 P4:18 SENAT 127 S.B. No. _ RICH Introduced by SENATOR IMEE R. MARCOS AN ACT INCREASING THE AUTHORIZED EXPENSES OF CANDIDATES AND POLITICAL PARTIES, AMENDING FOR THE PURPOSE SECTION 13 OF REPUBLIC ACT NO. 7166, ENTITLED, "AN ACT PROVIDING FOR SYNCHRONIZED NATIONAL AND LOCAL ELECTIONS AND FOR ELECTORAL REFORMS, AUTHORIZING APPROPRIATIONS THEREFOR, AND FOR OTHER PURPOSES" EXPLANATORY NOTE More than three decades have passed since the enactment of Republic Act (RA) No. 7166, also known as "An Act Providing for Synchronized National and Local Elections and for Electoral Reforms, Authorizing Appropriations Therefor, and for Other Purposes", which sets the allowable campaign expenses for candidates and political parties. Over this period, the country has seen a 396% rise in the cost of goods and services, making it increasingly difficult for candidates to stay within the spending limits prescribed by law. The cost of campaign materials, printing, advertising, transportation, and other operational needs has significantly increased. To illustrate, the purchasing power of Php 1 in 1991 is now equal to Php 4.96. Given the outdated nature of the current expenditure limits, there is a pressing need to revise and increase the allowable campaign spending limits. Doing so will not only benefit candidates by allowing them to run more effective campaigns but will also serve the public by enhancing voter education and raising awareness about candidates' backgrounds and platforms. Additionally, the bill seeks to correct the terminology in the last paragraph of
Section 13 of RA No. 7166, replacing the outdated term "gift tax" with the more
accurate "donor's tax" in line with the National Internal Revenue Code, as amended. In light of these considerations, the immediate passage of this proposed measure is respectfully sought. Incé h. Marca IMEER. MARCOST
TWENTIETH CONGRESS OF THE ) REPUBLIC OF THE PHILIPPINES First Regular Session 25 AUG -7 P4:18 SENATE S.B. No. 1127 Introduced by SENATOR IMEE R. MARCOS AN ACT INCREASING THE AUTHORIZED EXPENSES OF CANDIDATES AND POLITICAL PARTIES, AMENDING FOR THE PURPOSE SECTION 13 OF REPUBLIC ACT NO. 7166, ENTITLED, "AN ACT PROVIDING FOR SYNCHRONIZED NATIONAL AND LOCAL ELECTIONS AND FOR ELECTORAL REFORMS, AUTHORIZING APPROPRIATIONS THEREFOR, AND FOR OTHER PURPOSES" Be it enacted by the Senate and House of Representatives of the Philippines in Congress assembled:
SECTION 1. Section 13 of Republic Act No. 7166 is hereby amended to read as
follows: "SECTION 13. Authorized Expenses of Candidates and Political Parties. - The aggregate amount that a candidate or registered political OR SECTORAL party, ORGANIZATION, OR COALITION OF PARTIES may spend for election campaign shall be as follows: (a) For candidates. - [Fen pesos (P10.00)] FORTY-FIVE PESOS (P 45.00) for President and Vice-President; FOR SENATORIAL CANDIDATES AND PARTY-LISTS GROUPS, FOURTEEN PESOS (P 14.00); and for other candidates, [Three Pesos (P3.00)] FORTY-FIVE PESOS (P 45.00) for every voter currently registered in the constituency where he filed his certificate of candidacy: Provided, That a candidate without any political party and without support from any political party may be allowed to spend [Five Pesos (P5.00)] FIFTY-FIVE PESOS (P 55.00) for every such voter; [and] PROVIDED, FURTHER, THAT IF THE AUTHORIZED EXPENSE IS LESS THAN FIVE HUNDRED THOUSAND PESOS (P 500,000) AFTER MULTIPLYING THE PRESCRIBED AMOUNT PER VOTER TO THE TOTAL NUMBER OF REGISTERED VOTERS IN A CANDIDATE'S CONSTITUENCY, THE CANDIDATE SHALL HAVE THE OPTION OF SPENDING MORE THAN THE
PRESCRIBED AMOUNT BUT IN NO CASE SHALL THE TOTAL AMOUNT EXCEED FIVE HUNDRED THOUSAND PESOS (P 500,000). (b) For political parties NOT PARTICIPATING IN PARTY-LIST ELECTIONS. - [Five pesos (P5.00)] TWENTY-THREE PESOS (P 23.00) for every voter currently registered in the constituency or constituencies where it has official candidates[-]; Any provision of law to the contrary notwithstanding, any contribution in cash or in kind to any candidate, [or] political party, [or] coalition of parties, SECTORAL PARTY, OR SECTORAL ORGANIZATION for campaign purposes, duly reported to the Commission shall not be subject to the payment of any [gift tax] DONOR'S TAX: PROVIDED, FURTHER, THAT UNUTILIZED OR EXCESS CAMPAIGN FUNDS SHALL BE SUBJECT TO INCOME TAX, UNLESS THE CANDIDATE, POLITICAL PARTY, OR PARTY-LIST GROUP RETURNS THE UNUTILIZED OR EXCESS CAMPAIGN FUNDS TO ONE OR MORE DONORS: PROVIDED, FINALLY, THAT EVERY PERSON MAKING ELECTION CONTRIBUTIONS NOT EXCEEDING TEN THOUSAND PESOS (P 10,000) SHALL BE EXEMPT FROM THE REPORTORIAL REQUIREMENT IMPOSED IN THE PRECEDING SECTION OF THIS CODE. HOWEVER, THE CANDIDATE, PARTY-LIST GROUP, OR POLITICAL PARTY RECEIVING SUCH CONTRIBUTION SHALL STILL INCLUDE SUCH DE MINIMIS CONTRIBUTION IN ITS RECORD OF CONTRIBUTIONS AS MENTIONED IN SECTION 106 (B) OF BATAS PAMBANSA BILANG 881. EVERY SIX (6) YEARS FROM THE EFFECTIVITY OF THIS ACT, THE COMMISSION, IN CONSULTATION WITH THE DEPARTMENT OF ECONOMIC PLANNING AND DEVELOPMENT AND THE PHILIPPINE STATISTICS AUTHORITY, SHALL REVIEW AND, IF NECESSARY, RECOMMEND TO CONGRESS NEW AMOUNTS OF AUTHORIZED EXPENSES UNDER THIS SECTION BASED ON THE OFFICIAL CONSUMER PRICE INDEX."
SEC. 2. Separability Clause. - Should any part of this Act be declared
unconstitutional, the other parts not affected thereby shall remain valid and effective.
SEC. 3. Repealing Clause. - All laws, decrees, orders, and issuances, or portions
thereof, which are inconsistent with the provisions of this Act, are hereby repealed, amended, or modified accordingly.
SEC. 4. Effectivity. - This Act shall take effect fifteen (15) days after its
publication in two (2) newspapers of general circulation. Approved,