House committee approves bill on San Fernando village's IRA

THE House Committee on Local Government approved on Monday, November 22, the bill of Pampanga Third District Representative Aurelio Gonzales Jr. that would entitle Barangay Pulung Bulu in the City of San Fernando to a just share from the national taxes.

Earlier, Gonzales filed House Bill 10383 to push for the congressional creation of Barangay Pulung Bulu and to enable the barangay to have its internal revenue allotment (IRA).

House Bill 10383, titled “An Act Creating a Barangay to be known as Barangay Pulung Bulu in the City of San Fernando, Province of Pampanga,” is expected to correct and remedy “the inequitable” situation of Barangay Pulung Bulu.

“As a distinct and independent barangay created by a local government, Barangay Pulung Bulu has been deprived of its rightful share of the Internal Revenue Allotment (IRA) provided under the Local Government Code,” Gonzales said.

This bill seeks to invoke the Section 6, Article X of the Constitution which states that “local government units shall have a just share, as determined by law, in the national taxes which shall be automatically released to them.”

“Since its creation, the population and the development need of Barangay Pulung Bulu are increasing, but their current fiscal resources are no longer enough to meet these needs,” Gonzales added.

It could be noted that Pulung Bulu has existed through a city ordinance. The village has been formally organized into a barangay for the past 18 years now. However, the barangay does not have its own IRA.

“Barangays created by Congress are entitled to IRA. Barangays created by local government units (LGUs) are not entitled to IRA. The remedy now is to file a bill in Congress for the creation of this barangay and provide its share in the IRA,” Gonzales said.

When approved, Barangay Pulung Bulu will receive its just share from IRA enabling them to effectively enhance and accelerate socio-economic programs, activities and projects, cultural advancement and well-being of the residents in their area, according to Gonzales.

Chairperson Noel Villanueva lauded the initiative of Gonzales to create Barangay Pulung Bulu as enhancing fiscal autonomy of a barangay is integral in the proper exercise of its local government functions.

During the meeting, the Department of Budget and Management reported that there are still around 150 barangays in the country that are deprived of their rightful share of the IRA.

Villanueva encouraged fellow legislators to file bills creating barangays in their locality.

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