Coverage
- Applies to all local government personnel employed full-time or part-time.
- Includes permanent, temporary, casual employees and contractual personnel considered regular employees.
- Eligible personnel must have valid appointments in specific LGUs and be employed as of the milestone anniversary.
Exemptions
- Employees under preventive suspension or formally charged with administrative cases until exoneration.
- Employees with pending criminal or administrative cases related to official duties.
- Employees penalized beyond reprimand in connection with work offenses within the last five years before the milestone.
- Those absent without leave (AWOL) as of the milestone date.
- Personnel no longer serving in the LGU at the time of the milestone or initial bonus payment.
- Consultants, experts, student laborers, apprentices, contract laborers, mail contractors, and those paid by honoraria such as barangay officials.
Rules and Regulations
- LGUs cover Provinces, Cities, Municipalities, and Barangays.
- Founding year based on authentic documents or enabling laws.
- Milestone counting starts from original founding or separate creation in case of splits.
- For merged LGUs, milestone counting begins from the merger date.
- Anniversary Bonus granted only on milestone years: 15th and every 5 years thereafter.
- Employees must have rendered at least one-year service in the LGU at milestone date.
- Initial 1997 grant only for the latest milestone; no retroactive payments.
- Bonus payment capped at P3,000 per employee, subject to fund availability; lower rates allowed if uniformly applied.
- No other bonuses or allowances related to LGU anniversaries permitted.
Funding Source
- Anniversary Bonus funded solely from LGU funds.
- Subject to budget limitations under RA 7160.
Responsibility of LGU Heads
- Provincial Governors, City/Municipal Mayors, Barangay Chairmen held liable for non-compliance.
- Personal liability for unauthorized bonus payments and obligation to recover excess payments.
Saving Clause
- Uncovered cases to be submitted to the Secretary of Budget and Management for evaluation and resolution.
Effectivity
- Circular effective immediately upon issuance on March 3, 1997.