Gratuity and Benefits for Medal of Valor Awardees

Awardees receive a lifetime monthly gratuity of 20,000 pesos.
This gratuity is separate from any salary or pension from the government.
Upon an awardee's death, gratuity is shared equally among the surviving spouse (until remarriage) and children (legitimate, adopted, or illegitimate) until age 18 or marriage.
Gratuity is exempt from income tax under the Tax Reform Act of 1997.
Applies also to Medal of Valor awardees integrated into the Philippine National Police (PNP), with appropriations from the PNP budget.
The President, upon recommendations, may adjust the gratuity considering economic factors such as inflation.
Adjustments cannot occur within three years of the Act's effectivity and not more than once every five years thereafter.

Precedence in employment in government agencies or government-owned/controlled corporations, subject to job qualifications.
Priority in government housing program approvals.
Priority and preferential rights in acquiring public lands, pasture leases, and natural resource exploitation.
Access to unsecured loans up to 500,000 pesos from government financial institutions.
Twenty percent discount on transportation, lodging, dining, recreation, medicine purchases, and cultural or amusement events.
Free medical and dental services in hospitals and clinics nationwide, with cost recovery provisions for private establishments.

Medal of Valor awardees and their heirs/beneficiaries are exempt from tuition and matriculation fees in public or private schools and higher education institutions.
Applies to courses including preschool, baccalaureate, and postgraduate studies such as Medicine, Law, Nursing, and allied fields.

Awardees and their children are entitled to a quota in the Philippine Military Academy cadet corps or priority in direct commission, call to active duty, or enlistment in the Armed Forces, subject to qualifications.

Imprisonment of 3 to 6 years and fines of 100,000 to 300,000 pesos for denying awardees or dependents their rights under this Act.
Public officers guilty of such denial face perpetual disqualification from public office and forfeiture of retirement or gratuity benefits, with restitution required for benefits received after the offense.
Corporations or juridical persons are liable, with penalties imposed on responsible officers and possible civil or administrative actions.
Convicted persons are barred from probation benefits under the Probation Law of 1976.

Initial funding charged against the current savings of the Armed Forces of the Philippines (AFP).
If funds are insufficient, benefits are applied uniformly as per available budget.
Subsequent funding to be included in AFP's annual budget.

The Secretary of the Department of National Defense, with other relevant agencies, shall issue rules and regulations to implement the Act’s objectives.
Current recipients of the gratuity are entitled to the additional privileges granted by the Act.

Invalidity of any provision or its application does not affect other provisions or their application to other persons or circumstances.

Presidential Decree No. 1687 and other inconsistent laws or regulations are repealed or amended accordingly.

The Act takes effect fifteen days after its publication in the Official Gazette or in two national newspapers, whichever occurs earlier.