EXECUTIVE ORDER NO.

292 INSTITUTING THE "ADMINISTRATIVE CODE OF 1987" WHEREAS, the Administrative Code currently in force was first forged in 1917 when the relationshi !etween the eo le and the government was defined !y the colonial order then revailing" WHEREAS, efforts to achieve an integrative and over#all recodification of its rovisions resulted in the Administrative Code of 197$ which, however, was never u!lished and later e% ressly re ealed" WHEREAS, the effectiveness of the &overnment will !e enhanced !y a new Administrative Code which incor orates in a unified document the ma'or structural, functional and rocedural rinci les and rules of governance" and WHEREAS, a new Administrative Code will !e of o timum !enefit to the eo le and &overnment officers and em loyees as it em!odies changes in administrative structures and rocedures designed to serve the eo le" ()W, *HERE+)RE, ,, C)RA-)( C. A/0,(), 1resident of the 1hili ines, !y virtue of the owers vested in me !y the Constitution, do here!y romulgate the Administrative Code of 19$7, as follows2 INTRODUCTORY PROVISIONS Secti ! 1. Title. # *his Act shall !e 3nown as the 4Administrative Code of 19$7.4 Secti ! 2. General Terms Defined. # 0nless the s ecific words of the te%t, or the conte%t as a whole, or a articular statute, shall re5uire a different meaning2 617 &overnment of the Re u!lic of the 1hili ines refers to the cor orate governmental entity through which the functions of government are e%ercised throughout the 1hili ines, including, save as the contrary a ears from the conte%t, the various arms through which olitical authority is made effective in the 1hili ines, whether ertaining to the autonomous regions, the rovincial, city, munici al or !arangay su!divisions or other forms of local government. 687 (ational &overnment refers to the entire machinery of the central government, as distinguished from the different forms of local governments. 697 :ocal &overnment refers to the olitical su!divisions esta!lished !y or in accordance with the Constitution. 6;7 Agency of the &overnment refers to any of the various units of the &overnment, including a de artment, !ureau, office, instrumentality, or government#owned or controlled cor orations, or a local government or a distinct unit therein. 6<7 (ational Agency refers to a unit of the (ational &overnment. 6=7 :ocal Agency refers to a local government or a distinct unit therein.

677 >e artment refers to an e%ecutive de artment created !y law. +or ur oses of ?oo3 ,@, this shall include any instrumentality, as herein defined, having or assigned the ran3 of a de artment, regardless of its name or designation. 6$7 ?ureau refers to any rinci al su!division or unit of any de artment. +or ur oses of ?oo3 ,@, this shall include any rinci al su!division or unit of any instrumentality given or assigned the ran3 of a !ureau, regardless of actual name or designation, as in the case of de artment#wide regional offices. 697 )ffice refers, within the framewor3 of governmental organiAation, to any ma'or functional unit of a de artment or !ureau including regional offices. ,t may also refer to any osition held or occu ied !y individual ersons, whose functions are defined !y law or regulation. 61B7 ,nstrumentality refers to any agency of the (ational &overnment, not integrated within the de artment framewor3 vested within s ecial functions or 'urisdiction !y law, endowed with some if not all cor orate owers, administering s ecial funds, and en'oying o erational autonomy, usually through a charter. *his term includes regulatory agencies, chartered institutions and government#owned or controlled cor orations. 6117 Regulatory agency refers to any agency e% ressly vested with 'urisdiction to regulate, administer or ad'udicate matters affecting su!stantial rights and interests of rivate ersons, the rinci al owers of which are e%ercised !y a collective !ody, such as a commission, !oard or council. 6187 Chartered institution refers to any agency organiAed or o erating under a s ecial charter, and vested !y law with functions relating to s ecific constitutional olicies or o!'ectives. *his term includes the state universities and colleges and the monetary authority of the State. 6197 &overnment#owned or controlled cor oration refers to any agency organiAed as a stoc3 or non#stoc3 cor oration, vested with functions relating to u!lic needs whether governmental or ro rietary in nature, and owned !y the &overnment directly or through its instrumentalities either wholly, or, where a lica!le as in the case of stoc3 cor orations, to the e%tent of at least fifty#one 6<17 er cent of its ca ital stoc32 1rovided, *hat government# owned or controlled cor orations may !e further categoriAed !y the >e artment of the ?udget, the Civil Service Commission, and the Commission on Audit for ur oses of the e%ercise and discharge of their res ective owers, functions and res onsi!ilities with res ect to such cor orations. 61;7 4)fficer4 as distinguished from 4cler34 or 4em loyee4, refers to a erson whose duties, not !eing of a clerical or manual nature, involves the e%ercise of discretion in the erformance of the functions of the government. When used with reference to a erson having authority to do a articular act or erform a articular function in the e%ercise of governmental ower, 4officer4 includes any government em loyee, agent or !ody having authority to do the act or e%ercise that function. 61<7 4Em loyee4, when used with reference to a erson in the u!lic service, includes any erson in the service of the government or any of its agencies, divisions, su!divisions or instrumentalities. "OO# I

SOVEREIGNTY AND GENERA$ ADMINISTRATION CHAPTER 1 THE NATIONA$ TERRITORY Secti ! %. What Comprises National Territory. # *he national territory com rises the 1hili ine archi elago, with all the islands and waters em!raced therein, and all other territories over which the 1hili ines has sovereignty or 'urisdiction, consisting of its terrestrial, fluvial, and aerial domains, including its territorial sea, the sea!ed, the su!soil, the insular shelves, and other su!marine areas. *he waters around, !etween, and connecting the islands of the archi elago, regardless of their !readth and dimensions, form art of the internal waters of the 1hili ines. Secti ! &. Territorial Subdivision of the Philippines . # *he territorial and olitical su!divisions of the 1hili ines are the autonomous regions, rovinces, su! rovinces, cities, munici alities and !arangays. CHAPTER 2 THE PEOP$E Secti ! '. Who are Citizens . # *he following are the citiAens of the 1hili 617 *hose who are citiAens of the 1hili ines2

ines at the time of the ado tion of the Constitution" ines"

687 *hose whose fathers or mothers are citiAens of the 1hili

697 *hose !orn !efore Canuary 17, 1979, of +ili ino mothers, who elect 1hili ine citiAenshi , unless !y the act or omission they are deemed, under the law, to have renounced it. 6;7 *hose who are naturaliAed in accordance with law. Secti ! (. Effect of arria!e. # CitiAens of the 1hili ines who marry aliens shall retain their citiAenshi , unless !y their act or omission they are deemed, under the law, to have renounced it. Secti ! 7. (atural#!orn CitiAen. # (atural#!orn citiAens are those who are citiAens of the 1hili ines from !irth without having to erform any act to ac5uire or erfect their 1hili ine citiAenshi . *hose who elect 1hili ine citiAenshi in accordance with the Constitution shall !e deemed natural#!orn citiAens. Secti ! 8. "oss or #eac$uisition of Citizenship . # 1hili the manner rovided !y law. ine citiAenshi may !e lost or reac5uired in

Secti ! 9. Dual %lle!iance. # >ual allegiance is inimical to the national interest and shall !e dealt with !y law. CHAPTER % STATE IMMUNITY FROM SUIT Secti ! 1). Non&suability of the State. # (o suit shall lie against the State e%ce t with its consent as rovided !y law. Secti ! 11. The State's #esponsibility for %cts of %!ents . #

617 *he State shall !e legally !ound and res onsi!le only through the acts erformed in accordance with the Constitution and the laws !y its duly authoriAed re resentatives. 687 *he State shall not !e !ound !y the mista3es or errors of its officers or agents in the e%ercise of their functions. CHAPTER & NATIONA$ SYM"O$S AND OFFICIA$ $ANGUAGES Secti ! 12. National (la!. # 617 *he flag of the 1hili ines shall !e red, white and !lue, with a sun and three stars, as consecrated and honored !y the eo le and recogniAed !y law. 687 *he custody, ceremonial use, occasion and manner of dis lay, and the ro er care and dis osition of the flag shall !e governed !y a ro riate rules and regulations. Secti ! 1%. (ational Anthem. # 0ntil otherwise rovided !y law, the musical arrangement and com osition of Culian +eli e is ado ted as the national anthem. ,t shall !e sung or layed u on the o ening or start of all state cele!rations or gatherings and on such other occasions as may !e rescri!ed !y a ro riate rules and regulations. Secti ! 1&. %rms and Great Seal of the #epublic of the Philippines . # 617 *he Arms shall have aleways of two 687 ieces, aAure and gules" a chief argent studded with three mullets e5uidistant from each other" and, in oint of honor, ovoid argent over all the sun rayonnant with eight minor and lesser rays. ?eneath shall !e a scroll with the words 4Re u!lic of the 1hili ines, 4 or its e5uivalent in the national language, inscri!ed thereon. 687 *he &reat Seal shall !e circular in form, with the arms as descri!ed in the receding aragra h, !ut without the scroll and the inscri tion thereon, and surrounding the whole, a dou!le marginal circle within which shall a ear the words 4Re u!lic of the 1hili ines,4 or its e5uivalent in the national language. +or the ur ose of lacing the &reat Seal, the color of the arms shall not !e deemed essential. Secti ! 1'. )se and Custody of Great Seal. # *he &reat Seal shall !e affi%ed to or laced u on all commissions signed !y the 1resident and u on such other official documents and a ers of the Re u!lic of the 1hili ines as may !e re5uired !y custom and usage. *he 1resident shall have custody of the &reat Seal. Secti ! 1(. %rms* Seals and +anners of Government ,ffices. # *he various offices of government may ado t a ro riate coats#of#arms, seals and !anners. Secti ! 17. ,fficial "an!ua!es. # 0ntil otherwise rovided !y law, 1ili ino and English shall !e the official languages. CHAPTER ' OPERATION AND EFFECT OF $A*S

Secti ! 18. When "a-s Ta.e Effect. # :aws shall ta3e effect after fifteen 61<7 days following the com letion of their u!lication in the )fficial &aAette or in a news a er of general circulation, unless it is otherwise rovided. Secti ! 19. Prospectivity. # :aws shall have ros ective effect unless the contrary is e% ressly rovided. Secti ! 2). /nterpretation of "a-s and %dministrative /ssuances. # ,n the inter retation of a law or administrative issuance romulgated in all the official languages, the English te%t shall control, unless otherwise s ecifically rovided. ,n case of am!iguity, omission or mista3e, the other te%ts may !e consulted. Secti ! 21. No /mplied #evival of #epealed "a-.# When a law which e% ressly re eals a rior law itself re ealed, the law first re ealed shall not !e there!y revived unless e% ressly so rovided. Secti ! 22. #evival of "a- /mpliedly #epealed. # When a law which im liedly re eals a rior law is itself re ealed, the rior law shall there!y !e revived, unless the re ealing law rovides otherwise. Secti ! 2%. /!norance of the "a-. # ,gnorance of the law e%cuses no one from com liance therewith. CHAPTER ( OFFICIA$ GA+ETTE Secti ! 2&. Contents. # *here shall !e u!lished in the )fficial &aAette all legislative acts and resolutions of a u!lic nature" all e%ecutive and administrative issuances of general a lication" decisions or a!stracts of decisions of the Su reme Court and the Court of A eals, or other courts of similar ran3, as may !e deemed !y said courts of sufficient im ortance to !e so u!lished" such documents or classes of documents as may !e re5uired so to !e u!lished !y law" and such documents or classes of documents as the 1resident shall determine from time to time to have general a lication or which he may authoriAe so to !e u!lished. *he u!lication of any law, resolution or other official documents in the )fficial &aAette shall !e rima facie evidence of its authority.
la-phi0.net

Secti ! 2'. Editin! and Publications. # *he )fficial &aAette shall !e edited in the )ffice of the 1resident and u!lished wee3ly in 1ili ino or in the English language. ,t shall !e sold and distri!uted !y the (ational 1rinting )ffice which shall rom tly mail co ies thereof to su!scri!ers free of ostage. CHAPTER 7 REGU$AR HO$IDAYS AND NATION*IDE SPECIA$ DAYS Secti ! 2(. #e!ular 1olidays and Nation-ide Special Days. # 1. 0nless otherwise modified !y law, order or roclamation, the following regular holidays and s ecial days shall !e o!served in this country2
6A7 Regular Holidays

(ew DearEs >ay Faundy *hursday &ood +riday Araw ng Gagitingan 6?ataan and Corregidor >ay7 :a!or >ay ,nde endence >ay (ational Heroes >ay ?onifacio >ay Christmas >ay RiAal >ay 6?7 (ationwide S ecial >ays All Saints >ay :ast >ay of the Dear

Canuary 1 Fova!le date Fova!le date A ril 9 Fay 1 Cune 18 :ast Sunday of August (ovem!er 9B >ecem!er 8< >ecem!er 9B

(ovem!er 1 >ecem!er 91

687 *he terms 4legal or regular holiday4 and 4s ecial holiday4, as used in laws, orders, rules and regulations or other issuances shall !e referred to as 4regular holiday4 and 4s ecial day4, res ectively.
la-phi0.net

Secti ! 27. "ocal Special Days. # *he 1resident may roclaim any local s ecial day for a articular date, grou or lace. Secti ! 28. Pretermission of 1oliday. # Where the day, or the last day, for doing any act re5uired or ermitted !y law falls on a regular holiday or s ecial day, the act may !e done on the ne%t succeeding !usiness day.
la-phi0.net

CHAPTER 8 $EGA$ *EIGHTS MEASURES AND PERIOD Secti ! 29. ,fficial )se of etric System. # *he metric system of weights and measures shall !e used in the 1hili ines for all roducts, articles, goods, commodities, materials, merchandise, utilities, services, as well as for commercial transactions li3e contracts, agreements, deeds and other legal instruments u!licly and officially attested, and for all official documents. )nly weights and measures of the metric system shall !e officially sealed and licensed. Secti ! %). andatory Nation&-ide )se. # *he metric system shall !e fully ado ted in all agricultural, commercial, industrial, scientific and other sectors. 1ersons or entities allowed under e%isting laws to use the English system or other standards and weights are given until the date to !e fi%ed !y the Fetric System ?oard to ado t the metric system.

Secti ! %1. "e!al Periods. # 4Dear4 shall !e understood to !e twelve calendar months" 4month4 of thirty days, unless it refers to a s ecific calendar month in which case it shall !e com uted according to the num!er of days the s ecific month contains" 4day,4 to a day of twenty#four hours" and 4night,4 from sunset to sunrise. CHAPTER 9 GENERA$ PRINCIP$ES GOVERNING PU"$IC OFFICERS Secti ! %2. Nature of Public ,ffice. # 1u!lic office is a u!lic trust. 1u!lic officers and em loyees must at all times !e accounta!le to the eo le, serve them with the utmost res onsi!ility, integrity, loyalty and efficiency, act with atriotism and 'ustice, and lead modest lives. Secti ! %%. Policy on Chan!e of Citizenship. # 1u!lic officers and em loyees owe the Senate and the Constitution allegiance at all times, and any u!lic officer or em loyee who see3s to change his citiAenshi or ac5uire the status of an immigrant of another country during his tenure shall !e dealt with !y law. Secti ! %&. Declaration of %ssets* "iabilities and Net Worth. # A u!lic officer or em loyee shall u on assum tion of office and as often thereafter as may !e re5uired !y law, su!mit a declaration under oath of his assets, lia!ilities, and net worth. Secti ! %'. Ethics in Government. # All u!lic officers and em loyees shall !e !ound !y a Code of Ethics to !e romulgated !y the Civil Service Commission. Secti ! %(. /nhibition %!ainst Purchase of Property at Ta2 Sale. # (o officer or em loyee of the government shall urchase directly or indirectly any ro erty sold !y the government for the non# ayment of any ta%, fee or other u!lic charge. Any such urchase !y an officer or em loyee shall !e void. Secti ! %7. Po-ers /ncidental to Ta.in! of Testimony. # When authority to ta3e testimony or receive evidence is conferred u on any administrative officer or any non#'udicial erson, committee, or other !ody, such authority shall include the ower to administer oaths, summon witnesses, and re5uire the roduction of documents !y a su! oena duces tecum. Secti ! %8. "iability of Superior ,fficers. # 617 A u!lic officer shall not !e civilly lia!le for acts done in the erformance of his official duties, unless there is a clear showing of !ad faith, malice or gross negligence. 687 Any u!lic officer who, without 'ust cause, neglects to erform a duty within a eriod fi%ed !y law or regulation, or within a reasona!le eriod if none is fi%ed, shall !e lia!le for damages to the rivate arty concerned without re'udice to such other lia!ility as may !e rescri!ed !y law. 697 A head of a de artment or a su erior officer shall not !e civilly lia!le for the wrongful acts, omissions of duty, negligence, or misfeasance of his su!ordinates, unless he has actually authoriAed !y written order the s ecific act or misconduct com lained of. Secti ! %9. "iability of Subordinate ,fficers. #(o su!ordinate officer or em loyee shall !e civilly lia!le for acts done !y him in good faith in the erformance of his duties. However, he shall !e lia!le

for willful or negligent acts done !y him which are contrary to law, morals, u!lic olicy and good customs even if he acted under orders or instructions of his su eriors. CHAPTER 1) OFFICIA$ OATHS Secti ! &). ,aths of ,ffice for Public ,fficers and Employees. # All u!lic officers and em loyees of the government including every mem!er of the armed forces shall, !efore entering u on the discharge of his duties, ta3e an oath or affirmation to u hold and defend the Constitution" that he will !ear true faith and allegiance to it" o!ey the laws, legal orders and decrees romulgated !y the duly constituted authorities" will well and faithfully discharge to the !est of his a!ility the duties of the office or osition u on which he is a!out to enter" and that he voluntarily assumes the o!ligation im osed !y his oath of office, without mental reservation or ur ose of evasion. Co ies of the oath shall !e de osited with the Civil Service Commission and the (ational Archives. Secti ! &1. ,fficers %uthorized to %dminister ,ath. # 617 *he following officers have general authority to administer oath2 (otaries u!lic, mem!ers of the 'udiciary, cler3s of courts, the Secretary of the either House of the Congress of the 1hili ines, of de artments, !ureau directors, registers of deeds, rovincial governors and lieutenant#governors, city mayors, munici al mayors and any other officer in the service of the government of the 1hili ines whose a ointment is vested in the 1resident. 687 )aths may also !e administered !y any officer whose duties, as defined !y law or regulation, re5uire resentation to him of any statement under oath.. Secti ! &2. Duty to %dminister ,ath. # )fficers authoriAed to administer oaths, with the e%ce tion of notaries u!lic, munici al 'udges and cler3s of court, are not o!liged to administer oaths or e%ecute certificates save in matters of official !usiness" and with the e%ce tion of notaries u!lic, the officer erforming the service in those matters shall charge no fee, unless s ecifically authoriAed !y law. CHAPTER 11 OFFICIA$ REPORTS Secti ! &%. %nnual #eports. # *he heads of the several !ranches, su!divisions, de artment and agencies or instrumentalities of the &overnment shall re are and su!mit annual re orts to the 1resident on or !efore the first day of Culy 1 of each year. Secti ! &&. Contents of #eports. # *he contents of the annual re orts shall !e rescri!ed !y law or, in the a!sence thereof, !y e%ecutive order. Secti ! &'. Special #eports. # Each chief of ?ureau or other officer of the government shall ma3e such s ecial re orts concerning the wor3 of his ?ureau or )ffice as may from time to time !e re5uired of him !y the 1resident of the 1hili ines or Head of >e artment. Secti ! &(. Deposit -ith %rchives. # )fficial co ies of annual re orts shall !e de osited with the (ational Archives and shall !e o en to u!lic ins ection. CHAPTER 12 PU"$IC CONTRACTS AND CONVEYANCES

Secti ! &7. Contracts and Conveyances. # Contracts or conveyances may !e e%ecuted for and in !ehalf of the &overnment or of any of its !ranches, su!divisions, agencies, or instrumentalities, including government#owned or controlled cor orations, whenever demanded !y the e%igency or e%igencies of the service and as long as the same are not rohi!ited !y law. Secti ! &8. ,fficial %uthorized to Convey #eal Property. # Whenever real ro erty of the &overnment is authoriAed !y law to !e conveyed, the deed of conveyance shall !e e%ecuted in !ehalf of the government !y the following2 617 +or ro erty !elonging to and titled in the name of the Re u!lic of the 1hili ines, !y the 1resident, unless the authority therefor is e% ressly vested !y law in another officer. 687 +or ro erty !elonging to the Re u!lic of the 1hili ines !ut titled in the name of any olitical su!division or of any cor orate agency or instrumentality, !y the e%ecutive head of the agency or instrumentality. Secti ! &9. %uthority to Convey other Property. # Whenever ro erty other than real is authoriAed to !e conveyed, the contract or deed shall !e e%ecuted !y the head of the agency with the a roval of the de artment head. Where the o erations of the agency regularly involve the sale or other dis osition of ersonal ro erty, the deed shall !e e%ecuted !y any officer or em loyee e% ressly authoriAed for that ur ose. Secti ! '). Conveyance of National Government Property to "ocal Governments . # When the real ro erty !elonging to the (ational &overnment is needed for school ur oses, or other official use !y any local government, the 1resident shall authoriAe its transfer, and the de artment head or other authority concerned shall e%ecute in favor of the local government the necessary deed of conveyance !y way of gift, sale, e%change, or otherwise, and u on such terms as shall !e for the interest of the arties concerned. (othing herein rovided shall !e deemed to authoriAe the conveyance of unreserved u!lic land, friar land or any real ro erty held !y the &overnment in trust or for a s ecial ur ose defined !y law. Secti ! '1. E2ecution of Contracts. # 617 Contracts in !ehalf of the Re u!lic of the 1hili ines shall !e e%ecuted !y the 1resident unless authority therefor is e% ressly vested !y law or !y him in any other u!lic officer. 687 Contracts in !ehalf of the olitical su!divisions and cor orate agencies or instrumentalities shall !e a roved !y their res ective governing !oards or councils and e%ecuted !y their res ective e%ecutive heads. "OO# II DISTRI"UTION OF PO*ERS OF GOVERNMENT CHAPTER 1 "ASIC PRINCIP$ES AND PO$ICIES Secti ! 1. Guidin! Principles and Policies in Government. # &overnmental ower shall !e e%ercised in accordance with the following !asic rinci les and olicies2

617 *he 1hili ines is a democratic and re u!lican State. Sovereignty resides in the eo le and all government authority emanates from them. 687 *he State values the dignity of every human erson and guarantees full res ect for human rights. 697 Civilian authority is, at all times, su reme over the military. 6;7 *he State shall ensure the autonomy of local governments. 6<7 *he territorial and olitical su!divisions of the Re u!lic of the 1hili ines are the rovinces, cities, munici alities, and !arangays. *here shall !e autonomous regions, in accordance with the Constitution, in Fuslim Findanao and the Cordilleras as may !e rovided !y law. 6=7 *he se aration of Church and State shall !e inviola!le. 677 *he right of the eo le and their organiAations to effective and reasona!le artici ation at all levels of social, olitical, and economic decision#ma3ing shall not !e a!ridged. *he State shall, !y law, facilitate the esta!lishment of ade5uate consultation mechanisms. 6$7 *he owers e% ressly vested in any !ranch of the &overnment shall not !e e%ercised !y, nor delegated to, any other !ranch of the &overnment, e%ce t to the e%tent authoriAed !y the Constitution. CHAPTER 2 $EGIS$ATIVE PO*ER Secti ! 2. Seat of "e!islative Po-er. # *he legislative ower shall !e vested in the Congress of the 1hili ines which shall consist of a Senate and a House of Re resentatives, e%ce t to the e%tent reserved to the eo le !y the Constitutional rovision on initiative and referendum. Secti ! %. /nhibitions %!ainst embers of Con!ress. #

617 (o Senator or Fem!er of the House of Re resentatives may hold any other office or em loyment in the &overnment, or any su!division agency, or instrumentality thereof, including government#owned or controlled cor orations or their su!sidiaries, during his term without forfeiting his seat. (either shall he !e a ointed to any office which may have !een created or the emoluments thereof increased during the term for which he was elected. 687 (o Senator or Fem!er of the House of Re resentatives may ersonally a ear as counsel !efore any court of 'ustice or !efore the Electoral *ri!unals, or 5uasi#'udicial and other administrative !odies. (either shall he, directly or indirectly, !e interested financially in any contract with, or in any franchise or s ecial rivilege granted !y the &overnment, or any su!division, agency or instrumentality thereof including any government#owned or controlled cor oration, or its su!sidiary, during his term of office. He shall not intervene in any matter !efore any office of the &overnment for his ecuniary !enefit or where he may !e called u on to act on account of his office. Secti ! &. Electoral Tribunal. # *he Senate and the House of Re resentatives shall each have an Electoral *ri!unal which shall !e the sole 'udge of all contests relating to the election, returns, and

5ualifications of their res ective Fem!ers. Each Electoral *ri!unal shall !e com osed of nine 697 Fem!ers, three 697 of whom shall !e Custices of the Su reme Court to !e designated !y the Chief Custice, and the remaining si% 6=7 shall !e Fem!ers of the Senate or the House of Re resentatives, as the case may !e, who shall !e chosen on the !asis of ro ortional re resentation from the olitical arties and the arties or organiAations registered under the arty#list system re resented therein. *he senior Custice in the Electoral *ri!unal shall !e its Chairman. Secti ! '. Commission on %ppointments. # *here shall !e a Commission on A ointments consisting of the 1resident of the Senate, as e% officio Chairman, and twelve 6187 Senators and twelve 6187 Fem!ers of the House of Re resentatives, elected !y each House on the !asis of ro ortional re resentation from the olitical arties and arties or organiAations registered under the arty#list system re resented therein. *he Chairman of the Commission shall not vote, e%ce t in case of a tie. *he Commission shall act on all a ointments su!mitted to it within thirty 69B7 session days of the Congress from their su!mission. *he Commission shall rule !y a ma'ority vote of all its Fem!ers. Secti ! (. "e!islative /nvesti!ation. # *he Senate or the House of Re resentatives or any of its res ective committees may conduct in5uiries in aid of legislation in accordance with its duly u!lished rules of rocedure. *he rights of ersons a earing in or affected !y such in5uiries shall !e res ected. Secti ! 7. %ppearance of 1eads of Departments. # *he heads of de artments may u on their own initiative, with the consent of the 1resident, or u on the re5uest of either House, as the rules of each House shall rovide, a ear !efore and !e heard !y such House on any matter ertaining to their de artments. Written 5uestions shall !e su!mitted to the 1resident of the Senate or the S ea3er of the House of Re resentatives at least three 697 days !efore their scheduled a earance. ,nter ellations shall not !e limited to written 5uestions, !ut may cover matters related thereto. When the security of the State or the u!lic interest so re5uires and the 1resident so states in writing, the a earance shall !e conducted in e%ecutive session. Secti ! 8. /nitiative and #eferendum. # *he Congress shall, as early as ossi!le, rovide for a system of initiative and referendum and the e%ce tions therefrom, where!y the eo le can directly ro ose and enact laws or a rove or re'ect any act or law or art thereof assed !y the Congress or local legislative !ody after the registration of a etition therefor signed !y at least ten 61B7 er centum of the total num!er of registered voters, of which every legislative district must !e re resented !y at least three 697 er centum of the registered voters thereof. Secti ! 9. 1ower to 1ro ose Constitutional Amendments. # 617 Any amendment to, or revision of the Constitution may !e ro osed !y2 6a7 *he Congress, u on a vote of three#fourths 69H;7 of all its Fem!ers" or 6!7 a constitutional convention. *he Congress may, !y a vote of two#thirds 68H97 of all its Fem!ers, call a constitutional convention, or !y a ma'ority vote of all its Fem!ers, su!mit to the electorate the 5uestion of calling such a convention. 687 Amendments to the Constitution may li3ewise !e directly ro osed !y the eo le through initiative u on a etition of at least twelve 6187 er centum of the total num!er of registered voters, of which every legislative district must !e re resented !y at least three 697 er centum of the registered voters therein. (o amendments under this aragra h shall !e authoriAed within five years following the ratification of the 19$7 Constitution nor oftener than once every five years thereafter. *he Congress shall rovide for the im lementation of the e%ercise of this right.

Secti ! 1). @alidity of Constitutional Amendments. # 617 Any amendment to or revision of the Constitution ro osed !y Congress or a constitutional convention shall !e valid when ratified !y a ma'ority of the votes cast in a le!iscite which shall !e held not earlier than si%ty days 6=B7 nor later than ninety days 69B7 after the a roval of such amendment or revision. 687 Any amendment to or revision of the Constitution directly ro osed !y the eo le through initiative shall !e valid when ratified !y a ma'ority of the votes cast in a le!iscite which shall !e held not earlier than si%ty days 6=B7 nor later than ninety days 69B7 after the certification !y the Commission on Elections of the sufficiency of the etition. CHAPTER % EXECUTIVE PO*ER Secti ! 11. E%ercise of E%ecutive 1ower. # *he E%ecutive ower shall !e vested in the 1resident. Secti ! 12. The 3ice&President. # *here shall !e a @ice#1resident who shall have the same 5ualifications and term of office and !e elected with and in the same manner as the 1resident. He may !e removed from office in the same manner as the 1resident. *he @ice#1resident may !e a confirmation. ointed as a Fem!er of the Ca!inet. Such a ointment re5uires no

Secti ! 1%. 3acancy in ,ffice of the President. # ,n case of death, ermanent disa!ility, removal from office, or resignation of the 1resident, the @ice#1resident shall !ecome the 1resident to serve the une% ired term. ,n case of death, ermanent disa!ility, removal from office, or resignation of !oth the 1resident and @ice#1resident, the 1resident of the Senate or, in case of his ina!ility, the S ea3er of the House of Re resentatives, shall then act as 1resident until the 1resident or @ice#1resident shall have !een elected and 5ualified. *he Congress shall, !y law, rovide who shall serve as 1resident in case of death, ermanent disa!ility, or resignation of the Acting 1resident. He shall serve until the 1resident or @ice#1resident shall have !een elected and 5ualified, and !e su!'ect to the same restrictions of owers and dis5ualifications as the Acting 1resident. Secti ! 1&. 3acancy in ,ffice of the 3ice&President. # Whenever there is a vacancy in the )ffice of the @ice#1resident during the term for which he was elected, the 1resident shall nominate a @ice# 1resident from among the Fem!ers of the Senate and the House of Re resentatives who shall assume office u on confirmation !y a ma'ority vote of all the Fem!ers of !oth Houses of the Congress, voting se arately. Secti ! 1'. /nhibitions %!ainst E2ecutive ,fficials. # *he 1resident, @ice#1resident, the Fem!ers of the Ca!inet, and their de uties or assistants shall not, unless otherwise rovided in this Constitution, hold any other office or em loyment during their tenure. *hey shall not, during said tenure, directly or indirectly ractice any other rofession, artici ate in any !usiness, or !e financially interested in any contract with, or in any franchise, or s ecial rivilege granted !y the &overnment or any su!division, agency, or instrumentality thereof, including government#owned or controlled cor orations or their su!sidiaries. *hey shall strictly avoid conflicts of interest in the conduct of their office.

*he s ouse and relatives !y consanguinity or affinity within the fourth civil degree of the 1resident shall not during his tenure !e a ointed as Fem!ers of the Constitutional Commissions, or the )ffice of the )m!udsman, or as Secretaries, 0ndersecretaries, chairmen or heads of !ureaus or offices, including government#owned or controlled cor orations and their su!sidiaries. CHAPTER & ,UDICIA$ PO*ER Secti ! 1(. 4udicial Po-er. # *he 'udicial ower shall !e vested in one 617 Su reme Court, and in such lower courts as may !e esta!lished !y law. Such lower courts include the Court of A eals, Sandigan!ayan, Court of *a% A eals, Regional *rial Courts, ShariEs >istrict Courts, Fetro olitan *rial Courts, Funici al *rial Courts and Funici al Circuit *rial Courts, and ShariEa Circuit Courts and they shall continue to e%ercise their res ective 'urisdiction until otherwise rovided !y law. Cudicial ower includes the duty of the courts of 'ustice to settle actual controversies involving rights which are legally demanda!le and enforcea!le, and, in cases rescri!ed !y law, to determine whether or not there has !een a grave a!use of discretion amounting to lac3 or e%cess of 'urisdiction on the art of any !ranch or instrumentality of the &overnment. Secti ! 17. Composition of the Supreme Court. # *he Su reme Court shall !e com osed of a Chief Custice and fourteen Associate Custices. ,t may sit en !anc or in its discretion, in divisions of three, five or seven Fem!ers. Secti ! 18. 4urisdiction and Po-ers of Supreme Court. # *he Su reme Court shall have the following owers2 617 E%ercise original 'urisdiction over cases affecting am!assadors, other u!lic ministers and consuls, and over etitions for certiorari, rohi!ition, mandamus, 5uo warranto, and ha!eas cor us. 687 Review, revise, reverse, modify, or affirm on a eal or certiorari as the law or the Rules of Court may rovide, final 'udgments and orders of lower courts in2 6a7 All cases in which the constitutionality or validity of any treaty, international or e%ecutive agreement, law, residential decree, roclamation, order, instruction, ordinance, or regulation is in 5uestion. 6!7 All cases involving the legality of any ta%, im ost, assessment, or toll, or any enalty im osed in relation thereto. 6c7 All cases in which the 'urisdiction of any lower court is in issue. 6d7 All criminal cases in which the enalty im osed is reclusion er etua or higher. 6e7 All cases in which only an error or 5uestion of law is involved. 697 Assign tem orarily 'udges of lower courts to other stations as u!lic interest may re5uire. Such tem orary assignment shall not e%ceed si% 6=7 months without the consent of the 'udge concerned. 6;7 )rder a change of venue or lace of trial to avoid a miscarriage of 'ustice.

6<7 1romulgate rules concerning the rotection and enforcement of constitutional rights, leading, ractice, and rocedure in all courts, the admission to the ractice of law, the ,ntegrated ?ar, and legal assistance to the under rivileged. Such rules shall rovide a sim lified and ine% ensive rocedure for the s eedy dis osition of cases, shall !e uniform for all courts of the same grade" and shall not diminish, increase, or modify su!stantive rights. Rules of rocedure of s ecial courts and 5uasi#'udicial !odies shall remain effective unless disa roved !y the Su reme Court. 6=7 A law. oint all officials and em loyees of the Cudiciary in accordance with the Civil Service

Secti ! 19. %pportionment of 4urisdiction. # Congress shall define, rescri!e and a ortion the 'urisdiction of the various courts !ut may not de rive the Su reme Court of its 'urisdiction enumerated in the immediately receding section. (either shall a law !e assed increasing its a ellate 'urisdiction as therein s ecified without its advice and concurrence. (o law shall !e assed reorganiAing the Cudiciary when it undermines the security of tenure of its Fem!ers. Secti ! 2). %dministrative Supervision.# *he Su reme Court shall have administrative su ervision over all courts and the ersonnel thereof. Secti ! 21. 4udicial and +ar Council. # 617 A Cudicial and ?ar Council is here!y created under the su ervision of the Su reme Court com osed of the Chief Custice as e% officio Chairman, the Secretary of Custice, and a re resentative of the Congress as e% officio Fem!er, a re resentative of the ,ntegrated ?ar, a rofessor of law, a retired Fem!er of the Su reme Court, and a re resentative of the rivate sector. 687 *he regular mem!ers of the Council shall !e a ointed !y the 1resident for a term of four 6;7 years with the consent of the Commission of A ointments. )f the Fem!ers first a ointed, the re resentative of the ,ntegrated ?ar shall serve for four 6;7 years, the rofessor of law for three 697 years, the retired Custice for two 687 years, and the re resentative of the rivate sector for one 617 year. 697 *he Cler3 of the Su reme Court shall !e the Secretary e% officio of the Council and shall 3ee a record of its roceedings. 6;7 *he regular Fem!ers of the Council shall receive such emoluments as may !e determined !y the Su reme Court. *he Su reme Court shall rovide in its annual !udget the a ro riations for the Council. 6<7 *he Council shall have the rinci al function of recommending a ointees to the Cudiciary. ,t may e%ercise such other functions and duties as the Su reme Court may assign to it. Secti ! 22. %ppointment of embers of 4udiciary. # *he Fem!ers of the Su reme Court and 'udges of lower courts shall !e a ointed !y the 1resident from a list of at least three 697 nominees re ared !y the Cudicial and ?ar Council for every vacancy. Such a ointments need no confirmation.

+or the lower courts, the 1resident shall issue the a su!mission of the list.

ointments within ninety 69B7 days from the

Secti ! 2%. Prohibition %!ainst Performin! 5uasi&4udicial or %dministrative (unctions. # *he Fem!ers of the Su reme Court and of other courts esta!lished !y law shall not !e designated to any agency erforming 5uasi#'udicial or administrative functions. CHAPTER ' CONSTITUTIONA$ COMMISSIONS Secti ! 2&. Constitutional Commissions. # *he Constitutional Commissions, which shall !e inde endent, are the Civil Service Commission, the Commission on Elections, and the Commission on Audit. Secti ! 2'. /nhibitions %!ainst Constitutional Commissioners. # (o mem!er of a Constitutional Commission shall, during his tenure, hold any other office or em loyment. (either shall he engage in the ractice of any rofession or in the active management or control of any !usiness which in anyway may !e affected !y the functions of his office, nor shall he !e financially interested, directly or indirectly, in any contract with, or in any franchise or rivilege granted !y the &overnment, any of its su!divisions, agencies, or instrumentalities, including government#owned or controlled cor orations or their su!sidiaries. Secti ! 2(. (iscal %utonomy. # *he Constitutional Commissions shall en'oy fiscal autonomy. *he a roved annual a ro riations shall !e automatically and regularly released. Secti ! 27. Promul!ation of #ules. # Each Commission en !anc may romulgate its own rules concerning leadings and ractice !efore it or !efore any of its offices. Such rules however shall not diminish, increase, or modify su!stantive rights. Secti ! 28. Decisions by the Constitutional Commissions.# Each Commission shall decide, !y a ma'ority vote of all its Fem!ers, any case or matter !rought !efore it within si%ty 6=B7 days from the date of its su!mission for decision or resolution. A case or matter is deemed su!mitted for decision or resolution u on the filing of the last leading, !rief, or memorandum re5uired !y the rules of the Commission or !y the Commission itself. 0nless otherwise rovided !y the Constitution or !y law, any decision, order, or ruling of each Commission may !e !rought to the Su reme Court on certiorari !y the aggrieved arty within thirty 69B7 days from recei t of a co y thereof. CHAPTER ( OTHER "ODIES Secti ! 29. ,ther +odies. # *here shall !e in accordance with the Constitution, an )ffice of the )m!udsman, a Commission on Human Rights, an inde endent central monetary authority, and a national olice commission. :i3ewise, as rovided in the Constitution, Congress may esta!lish an inde endent economic and lanning agency.
la-phi0.net

"OO# III OFFICE OF THE PRESIDENT Tit-e I

PO*ERS OF THE PRESIDENT CHAPTER 1 PO*ER OF CONTRO$ Secti ! 1. Po-er of Control. # *he 1resident shall have control of all the e%ecutive de artments, !ureaus, and offices. He shall ensure that the laws !e faithfully e%ecuted. CHAPTER 2 ORDINANCE PO*ER Secti ! 2. E2ecutive ,rders. # Acts of the 1resident roviding for rules of a general or ermanent character in im lementation or e%ecution of constitutional or statutory owers shall !e romulgated in e%ecutive orders. Secti ! %. %dministrative ,rders. # Acts of the 1resident which relate to articular as ect of governmental o erations in ursuance of his duties as administrative head shall !e romulgated in administrative orders. Secti ! &. Proclamations. # Acts of the 1resident fi%ing a date or declaring a status or condition of u!lic moment or interest, u on the e%istence of which the o eration of a s ecific law or regulation is made to de end, shall !e romulgated in roclamations which shall have the force of an e%ecutive order. Secti ! '. emorandum ,rders. # Acts of the 1resident on matters of administrative detail or of su!ordinate or tem orary interest which only concern a articular officer or office of the &overnment shall !e em!odied in memorandum orders. Secti ! (. emorandum Circulars. # Acts of the 1resident on matters relating to internal administration, which the 1resident desires to !ring to the attention of all or some of the de artments, agencies, !ureaus or offices of the &overnment, for information or com liance, shall !e em!odied in memorandum circulars. Secti ! 7. General or Special ,rders. # Acts and commands of the 1resident in his ca acity as Commander#in#Chief of the Armed +orces of the 1hili ines shall !e issued as general or s ecial orders. CHAPTER % PO*ER OVER A$IENS Secti ! 8. Po-er to Deport. # *he 1resident shall have the ower to de ort aliens su!'ect to the re5uirements of due rocess. Secti ! 9. Po-er to Chan!e Non&/mmi!rant Status of %liens. # *he 1resident, su!'ect to the rovisions of law, shall have the ower to change the status of non#immigrants !y allowing them to ac5uire ermanent residence status without necessity of visa. Secti ! 1). Po-er to Countermand Decisions of the +oard of Commissioners of the +ureau of /mmi!ration. # *he decision of the ?oard of Commissioners which has 'urisdiction over all de ortation cases shall !ecome final and e%ecutory after thirty 69B7 days from romulgation, unless within such eriod the 1resident shall order the contrary.

Secti ! 11. Po-er over %liens under the General Principles of /nternational "a-. # *he 1resident shall e%ercise with res ect to aliens in the 1hili ines such owers as are recogniAed !y the generally acce ted rinci les of international law. CHAPTER & PO*ERS OF EMINENT DOMAIN. ESCHEAT. $AND RESERVATION AND RECOVERY OF I$$/ GOTTEN *EA$TH Secti ! 12. Po-er of Eminent Domain. # *he 1resident shall determine when it is necessary or advantageous to e%ercise the ower of eminent domain in !ehalf of the (ational &overnment, and direct the Solicitor &eneral, whenever he deems the action advisa!le, to institute e% ro riation roceedings in the ro er court. Secti ! 1%. Po-er to Direct Escheat or #eversion Proceedin!s. # *he 1resident shall direct the Solicitor &eneral to institute escheat or reversion roceedings over all lands transferred or assigned to ersons dis5ualified under the Constitution to ac5uire land. Secti ! 1&. Po-er to #eserve "ands of the Public and Private Domain of the Government. # 617 *he 1resident shall have the ower to reserve for settlement or u!lic use, and for s ecific u!lic ur oses, any of the lands of the u!lic domain, the use of which is not otherwise directed !y law. *he reserved land shall thereafter remain su!'ect to the s ecific u!lic ur ose indicated until otherwise rovided !y law or roclamation" 687 He shall also have the ower to reserve from sale or other dis osition and for s ecific u!lic uses or ur oses, any land !elonging to the rivate domain of the &overnment, or any of the +riar :ands, the use of which is not otherwise directed !y law, and thereafter such land shall !e used for the ur oses s ecified !y such roclamation until otherwise rovided !y law. Secti ! 1'. Po-er over /ll&!otten Wealth. # *he 1resident shall direct the Solicitor &eneral to institute roceedings to recover ro erties unlawfully ac5uired !y u!lic officials or em loyees, from them or from their nominees or transferees. Within the eriod fi%ed in, or any e%tension thereof authoriAed !y, the Constitution, the 1resident shall have the authority to recover ill#gotten ro erties amassed !y the leaders and su orters of the revious regime and rotect the interest of the eo le through orders of se5uestration or freeAing of assets or accounts. CHAPTER ' PO*ER OF APPOINTMENT Secti ! 1(. Po-er of %ppointment. # *he 1resident shall e%ercise the ower to a as rovided for in the Constitution and laws. Secti ! 17. 1ower to ,ssue *em orary >esignation. # 617 *he 1resident may tem orarily designate an officer already in the government service or any other com etent erson to erform the functions of an office in the e%ecutive !ranch, a ointment to which is vested in him !y law, when2 6a7 the officer regularly a ointed to the oint such officials

office is una!le to erform his duties !y reason of illness, a!sence or any other cause" or 6!7 there e%ists a vacancy" 687 *he erson designated shall receive the com ensation attached to the osition, unless he is already in the government service in which case he shall receive only such additional com ensation as, with his e%isting salary, shall not e%ceed the salary authoriAed !y law for the osition filled. *he com ensation here!y authoriAed shall !e aid out of the funds a ro riated for the office or agency concerned. 697 ,n no case shall a tem orary designation e%ceed one 617 year. CHAPTER ( GENERA$ SUPERVISION OVER $OCA$ GOVERNMENTS Secti ! 18. General Supervision ,ver "ocal Governments . # *he 1resident shall e%ercise general su ervision over local governments. CHAPTER 7 OTHER PO*ERS Secti ! 19. Po-ers )nder the Constitution. # *he 1resident shall e%ercise such other owers as are rovided for in the Constitution. Secti ! 2). #esidual Po-ers. # 0nless Congress rovides otherwise, the 1resident shall e%ercise such other owers and functions vested in the 1resident which are rovided for under the laws and which are not s ecifically enumerated a!ove, or which are not delegated !y the 1resident in accordance with law. Tit-e II ORGANI+ATION CHAPTER 8 ORGANI+ATION OF THE OFFICE OF THE PRESIDENT Secti ! 21. ,r!anization. # *he )ffice of the 1resident shall consist of the )ffice of the 1resident 1ro er and the agencies under it. Secti ! 22. ,ffice of the President Proper. # 617 *he )ffice of the 1resident 1ro er shall consist of the 1rivate )ffice, the E%ecutive )ffice, the Common Staff Su ort System, and the 1residential S ecial AssistantsHAdvisers System" 687 *he E%ecutive )ffice refers to the )ffices of the E%ecutive Secretary, >e uty E%ecutive Secretaries and Assistant E%ecutive Secretaries" 697 *he Common Staff Su ort System em!races the offices or units under the general categories of develo ment and management, general government administration and internal administration" and

6;7 *he 1resident S ecial AssistantsHAdvisers System includes such s ecial assistants or advisers as may !e needed !y the 1resident. Secti ! 2%. The %!encies under the ,ffice of the President. # *he agencies under the )ffice of the 1resident refer to those offices laced under the chairmanshi of the 1resident, those under the su ervision and control of the 1resident, those under the administrative su ervision of the )ffice of the 1resident, those attached to it for olicy and rogram coordination, and those that are not laced !y law or order creating them under any s ecific de artment. Tit-e III FUNCTIONS CHAPTER 9 FUNCTIONS OF THE DIFFERENT OFFICES IN THE OFFICE OF THE PRESIDENT PROPER A / PRIVATE OFFICE Secti ! 2&. (unctions of the Private ,ffice. # *he 1rivate )ffice shall rovide direct services to the 1resident and shall for this ur ose attend to functions and matters that are ersonal or which ertain to the +irst +amily. " / THE EXECUTIVE OFFICE Secti ! 2'. Declaration of Policy. # *he E%ecutive )ffice shall !e fully res onsive to the s ecific needs and re5uirements of the 1resident to achieve the ur oses and o!'ectives of the )ffice. Secti ! 2(. The E2ecutive Secretary* the >e uty E%ecutive Secretaries, and the Assistant E%ecutive Secretaries. # *he E%ecutive )ffice shall !e headed !y the E%ecutive Secretary who shall !e assisted !y one 617 or more >e uty E%ecutive Secretaries and one 617 or more Assistant E%ecutive Secretaries. Secti ! 27. (unctions of the E2ecutive Secretary. # *he E%ecutive Secretary shall, su!'ect to the control and su ervision of the 1resident, carry out the functions assigned !y law to the E%ecutive )ffice and shall erform such other duties as may !e delegated to him. He shall2 617 >irectly assist the 1resident in the management of the affairs ertaining to the &overnment of the Re u!lic of the 1hili ines" 687 ,m lement residential directives, orders and decisions" 697 >ecide, for and in !ehalf of the 1resident, matters not re5uiring ersonal residential attention" 6;7 E%ercise su ervision and control over the various units in the )ffice of the 1resident 1ro er including their internal administrative re5uirements" 6<7 E%ercise su ervision, in !ehalf of the 1resident, over the various agencies under the )ffice of the 1resident"

6=7 A oint officials and em loyees of the )ffice of the 1resident whose a not vested in the 1resident" 677 1rovide overall coordination in the o eration of the E%ecutive )ffice" 6$7 >etermine and assign matters to the a

ointments are

ro riate units in the )ffice of the 1resident"

697 Have administrative res onsi!ility for matters in the )ffice of the 1resident coming from the various de artments and agencies of government" 61B7 E%ercise rimary authority to sign a ers 4?y authority of the 1resident4, attest e%ecutive orders and other residential issuances unless attestation is s ecifically delegated to other officials !y him or !y the 1resident" 6117 >etermine, with the 1residentEs a roval, the a ro riate assignment of offices and agencies not laced !y law under any s ecific e%ecutive de artment" 6187 1rovide consultative, research, fact#finding and advisory service to the 1resident" 6197 Assist the 1resident in the erformance of functions ertaining to legislation" 61;7 Assist the 1resident in the administration of s ecial ro'ects" 61<7 *a3e charge of matters ertaining to rotocol in State and ceremonial functions" 61=7 1rovide secretarial and clerical services for the 1resident, the Ca!inet, the Council of State, and other advisory !odies to the 1resident 6177 1romulgate such rules and regulations necessary to carry out the o!'ectives, olicies and functions of the )ffice of the 1resident 1ro er" 1. 1erform such other functions as the 1resident may direct. C / COMMON STAFF SUPPORT SYSTEM Secti ! 28. (unctions of the Common Staff Support System. # *he various staff units in the )ffice of the 1resident 1ro er shall form a common staff su ort system and shall !e organiAed along the various tas3s of the )ffice namely2 617 *he Ca!inet Secretariat which shall assist the 1resident in the esta!lishment of agenda to ics for the Ca!inet deli!eration, or facilitate the discussion of ca!inet meetings. ,t shall have such organiAation, owers and functions as are rescri!ed !y law" 687 *he 1residential Fanagement Staff 61FS7 which shall !e the rimary governmental agency directly res onsi!le to the )ffice of the 1resident for roviding staff assistance in the 1residential e%ercise of overall management of the develo ment rocess. ,t shall have such organiAation, owers and functions as are rescri!ed !y law" 697 &eneral &overnment Administration Staff which shall rovide the 1resident with staff su ort on matters concerning general government administration relative to the o erations

of the national government including the rovision of legal services, administrative services, staff wor3 on olitical and legislative matters, information and assistance to the general u!lic, measures toward resolution of com laints against u!lic officials and em loyees !rought to the attention of the )ffice of the 1resident and such other matters as the 1resident may assign" 6;7 ,nternal Administrative Staff which shall render au%iliary and su internal administration of the )ffice of the 1resident. D / PRESIDENTIA$ ASSISTANT0ADVISERS SYSTEM Secti ! 29. (unctions of Presidential %ssistants6%dvisers Systems. # *he S ecial AssistantsHAdvisers System shall rovide advisory or consultative services to the 1resident in such fields and under such conditions as the 1resident may determine. CHAPTER 1) FUNCTIONS OF THE AGENCIES UNDER THE OFFICE OF THE PRESIDENT Secti ! %). (unctions of %!encies )nder the ,ffice of the President. # Agencies under the )ffice of the 1resident shall continue to o erate and function in accordance with their res ective charters or laws creating them, e%ce t as otherwise rovided in this Code or !y law. Secti ! %1. Continuin! %uthority of the President to #eor!anize his ,ffice. # *he 1resident, su!'ect to the olicy in the E%ecutive )ffice and in order to achieve sim licity, economy and efficiency, shall have continuing authority to reorganiAe the administrative structure of the )ffice of the 1resident. +or this ur ose, he may ta3e any of the following actions2 617 Restructure the internal organiAation of the )ffice of the 1resident 1ro er, including the immediate )ffices, the 1residential S ecial AssistantsHAdvisers System and the Common staff Su ort System, !y a!olishing, consolidating or merging units thereof or transferring functions from one unit to another" 687 *ransfer any function under the )ffice of the 1resident to any other >e artment or Agency as well as transfer functions to the )ffice of the 1resident from other >e artments and Agencies" and 697 *ransfer any agency under the )ffice of the 1resident to any other de artment or agency as well as transfer agencies to the )ffice of the 1resident from other de artments or agencies. "OO# IV THE EXECUTIVE "RANCH CHAPTER 1 THE DEPARTMENTS Secti ! 1. Purpose and Number of Departments. # *he E%ecutive ?ranch shall have such >e artments as are necessary for the functional distri!ution of the wor3 of the 1resident and for the erformance of their functions. ort services for the

Secti ! 2. Declaration of Policy. # 617 *he >e artments shall !e organiAed and maintained to insure their ca acity to lan and im lement rograms in accordance with esta!lished national olicies" 687 ?ureaus and offices shall !e grou ed rimarily on the !asis of ma'or functions to achieve sim licity, economy and efficiency in government o erations and minimiAe du lication and overla ing of activities" and 697 *he functions of the different >e artments shall !e decentraliAed in order to reduce red ta e, free central officials from administrative details concerning field o erations, and relieve them from unnecessary involvement in routine and local matters. Ade5uate authority shall !e delegated to su!ordinate officials. Administrative decisions and actions shall, as much as feasi!le, !e at the level closest to the u!lic. Secti ! %. Department Proper. # 617 0nless otherwise rovided in this Code or !y law, the >e artment ro er shall include the )ffice of the Secretary and the staff consist of the Secretary and the 0ndersecretary or 0ndersecretaries, together with the ersonnel in their immediate offices" 687 Every Secretary shall !e assisted !y such num!er of 0ndersecretaries as may !e rovided for !y this Code or !y law" *he 0ndersecretary shall erform the functions as rovided in Cha ter 8 of this ?oo3" 697 Whenever necessary, Assistant Secretary osition or ositions may !e created to form art of the >e artment ro er" and 6;7 ,n the a!sence of s ecial rovisions, the ma'or staff units of each de artment shall !e the services which shall include2 the 1lanning Service, the +inancial and Fanagement Service, the Administrative Service, and when necessary, the *echnical and :egal Services. Secti ! &. 4urisdiction over +ureaus* ,ffices* #e!ulatory %!encies and Government Corporations. # Each >e artment shall have 'urisdiction over !ureaus, offices, regulatory agencies, and government# owned or controlled cor orations assigned to it !y law, in accordance with the a lica!le relationshi as defined in Cha ter 7, $, and 9 of this ?oo3. Secti ! '. %ssi!nment of ,ffices and %!encies. # *he 1resident shall, !y e%ecutive order, assign offices and agencies not otherwise assigned !y law to any de artment, or indicate to which de artment a government cor oration or !oard may !e attached. CHAPTER 2 SECRETARIES. UNDERSECRETARIES. AND ASSISTANT SECRETARIES Secti ! (. %uthority and #esponsibility of the Secretary. # *he authority and res onsi!ility for the e%ercise of the mandate of the >e artment and for the discharge of its owers and functions shall !e vested in the Secretary, who shall have su ervision and control of the >e artment. Secti ! 7. Po-ers and (unctions of the Secretary. # *he Secretary shall2

617 Advise the 1resident in issuing e%ecutive orders, regulations, roclamations and other issuances, the romulgation of which is e% ressly vested !y law in the 1resident relative to matters under the 'urisdiction of the >e artment" 687 Esta!lish the olicies and standards for the o eration of the >e artment ursuant to the a roved rograms of governments" 697 1romulgate rules and regulations necessary to carry out de artment o!'ectives, olicies, functions, lans, rograms and ro'ects" 6;7 1romulgate administrative issuances necessary for the efficient administration of the offices under the Secretary and for ro er e%ecution of the laws relative thereto. *hese issuances shall not rescri!e enalties for their violation, e%ce t when e% ressly authoriAed !y law" 6<7 E%ercise disci linary owers over officers and em loyees under the Secretary in accordance with law, including their investigation and the designation of a committee or officer to conduct such investigation" 6=7 A oint all officers and em loyees of the >e artment e%ce t those whose a ointments are vested in the 1resident or in some other a ointing authority" 1rovided, however, that where the >e artment is regionaliAed on a de artment#wide !asis, the Secretary shall a oint em loyees to ositions in the second level in the regional offices as defined in this Code" 677 E%ercise 'urisdiction over all !ureaus, offices, agencies and cor orations under the >e artment as are rovided !y law, and in accordance with the a lica!le relationshi s as s ecified in Cha ters 7, $, and 9 of this ?oo3" 6$7 >elegate authority to officers and em loyees under the SecretaryEs direction in accordance with this Code" and 697 1erform such other functions as may !e rovided !y law. Secti ! 8. Submission of Performance Evaluation #eports. # *he Secretary shall formulate and enforce a system of measuring and evaluating eriodically and o!'ectively the erformance of the >e artment and su!mit the same annually to the 1resident. Secti ! 9. Submission of +ud!et Estimates. # *he Secretary shall re are and su!mit to the 1resident through the >e artment of ?udget and Fanagement an estimate of the necessary e% enditures of the de artment during the ne%t fiscal year, on the !asis of the re orts and estimates su!mitted !y !ureaus and officers under him. Secti ! 1). Po-ers and Duties of the )ndersecretary. # *he 0ndersecretary shall2 617 Advise and assist the Secretary in the formulation and im lementation of de artment o!'ectives and olicies" 687 )versee all the o erational activities of the de artment for which he shall !e res onsi!le to the Secretary"

697 Coordinate the rograms and ro'ects of the de artment and !e res onsi!le for its economical, efficient and effective administration" 6;7 Serve as de uty to the Secretary in all matters relating to the o erations of the de artment" 6<7 *em orarily discharge the duties of the Secretary in the latterEs a!sence or ina!ility to discharge his duties for any cause or in case of vacancy of the said office, unless otherwise rovided !y law. Where there are more than one 0ndersecretary, the Secretary shall allocate the foregoing owers and duties among them. *he 1resident shall li3ewise ma3e the tem orary designation of Acting Secretary from among them" and 6=7 1erform such other functions and duties as may !e rovided !y law. Secti ! 11. Duties and (unctions of the %ssistant Secretary. # *he Assistant Secretary shall erform such duties and functions as may !e rovided !y law or assigned to him !y the Secretary. CHAPTER % DEPARTMENT SERVICES Secti ! 12. Department Services. # E%ce t as otherwise rovided !y law, each >e artment shall have >e artment Services which shall include the 1lanning Service, the +inancial and Fanagement Service, the Administrative Service, and whenever necessary the *echnical and :egal Services. Secti ! 1%. Plannin! Service. # *he 1lanning Service shall rovide the de artment with economical, efficient and effective services relating to lanning, rogramming, and ro'ect develo ment, and discharge such other functions as may !e rovided !y law. Where the wor3 of the de artment does not call for su!stantial lanning and rogramming, the 1lanning Service shall !e constituted as a single unit without su!divisions. Where su!stantial rimary data#gathering is essential to the o erations of the de artment, a statistical unit may !e constituted as art of a technical service. Secti ! 1&. (inancial and ana!ement Services. # *he +inancial and Fanagement Services shall advise and assist the Secretary on financial and management matters and shall erform such other functions as may !e rovided !y law. Secti ! 1'. %dministrative Service. # *he Administrative Service shall rovide the >e artment with economical, efficient and effective services relating to ersonnel, legal assistance, information, records, delivery and recei t of corres ondence, su lies, e5ui ment, collections, dis!ursement, security and custodial wor3. ,t shall also erform such other functions as may !e rovided !y law. Secti ! 1(. Technical Service. # Whenever necessary, one or more technical services shall !e esta!lished to ta3e charge of technical staff activities essential to a de artment and which cannot !e allocated to the three other services or to the !ureaus. Secti ! 17. "e!al Service. # A :egal Service shall !e rovided where the o erations of the de artment involve su!stantial legal wor3, in which case the Administrative Service shall not have a :egal >ivision. *he :egal Service shall rovide legal advice to the de artment" inter ret laws and rules affecting the o eration of the de artment" re are contracts and instruments to which the de artment is a arty, and inter ret rovisions of contracts covering wor3 erformed for the de artment !y rivate entities" assist in the romulgation of rules governing the activities of the de artment" re are comments on ro osed legislation concerning the de artment" answer legal

5ueries from the u!lic" assist the Solicitor &eneral in suits involving the >e artment or its officers, or em loyees or act as their rinci al counsel in all actions ta3en in their official ca acity !efore 'udicial or administrative !odies" and erform such other functions as may !e rovided !y law. Where the wor3load of the de artment does not warrant a :egal Service or a :egal >ivision, there shall !e one or more legal assistants in the )ffice of the Secretary. CHAPTER & "UREAUS Secti ! 18. +ureaus in General. # 617 A ?ureau is any rinci al su!division of the de artment erforming a single ma'or function or closely related functions. ?ureaus are either staff or line. 687 Each !ureau shall !e headed !y a >irector who may have one or more Assistant >irectors as rovided !y law" and 697 Each !ureau may have as many divisions as are rovided !y law for the economical, efficient and effective erformance of its functions. Secti ! 19. Staff +ureau. # 617 A staff !ureau shall rimarily erform olicy, rogram develo ment and advisory functions. 687 *he >irector of a staff !ureau shall2 6a7 Advise and assist the )ffice of the Secretary on matters ertaining to the ?ureauEs area of s ecialiAation" 6!7 1rovide consultative and advisory services to the regional offices of the de artment" 6c7 >evelo lans, rograms, o erating standards, and administrative techni5ues for the attainment of the o!'ectives and functions of the !ureau" and 6d7 1erform such other duties as may !e rovided !y law. 697 *he staff !ureau shall avail itself of the lanning, financial and administrative services in the de artment ro er. *he !ureau may have a se arate administrative division, if circumstances so warrant. Secti ! 2). "ine +ureau. # 617 A line !ureau shall directly im lement rograms ado ted ursuant to de artment olicies and lans. 687 *he >irector of a line !ureau shall2

6a7 E%ercise su ervision and control over all division and other units, including regional offices, under the !ureau" 6!7 Esta!lish olicies and standards for the o erations of the !ureau ursuant to the lans and rograms of the de artment" 6c7 1romulgate rules and regulations necessary to carry out !ureau o!'ectives, olicies and functions" and 6d7 1erform such other duties as may !e rovided !y law. 1. *he line !ureau may have staff units, as may !e necessary, corres onding to the services of the de artment ro er. ,f the !ureau is small, only a single unit erforming com!ined staff functions may !e rovided. CHAPTER ' FIE$D OFFICES Secti ! 21. #e!ional ,ffices. # Regional )ffices shall !e esta!lished according to law defining field service areas. *he administrative regions shall !e com osed of a (ational Ca ital Region and Regions , to I,,. 1rovincial and district offices may !e esta!lished only !y law whenever necessary. Secti ! 22. /nte!ration of (ield Service. # E%ce t as otherwise rovided !y law and when the needs of the service so re5uire, the de artment or agency shall organiAe an integrated regional office on a de artment or agency#wide !asis. Secti ! 2%. %dministration of #e!ional ,ffice. # *he regional office shall !e headed !y a Regional >irector who may !e assisted !y one 617 Assistant Regional >irector, e%ce t as may otherwise !e rovided !y law. *he Regional >irector shall !e res onsi!le for de artment or agency functions erformed in the region under his 'urisdiction. Secti ! 2&. Supervision of #e!ional ,ffices. # 617 Whenever the function or activity of a de artment or agency re5uires central or interregional action, the function may !e erformed !y the regional offices under the su ervision and control of the de artment ro er or line !ureau concerned. 687 *he staff !ureau or division shall erform rimarily advisory or au%iliary functions and e%ercise in !ehalf of the de artment or agency functional su ervision over the regional offices. *his shall include authority to develo and set down standards, olicies and rocedures to !e im lemented !y o erating units, and to evaluate continuously such im lementation for the ur ose of recommending or when authoriAed, ta3ing corrective measures. Secti ! 2'. ,r!anization of #e!ional ,ffices. # Regional offices organiAed on a de artment wide !asis shall have units or ersonnel in which the functional areas of the staff !ureaus and services in the de artment shall !e re resented. Regional offices of a line !ureau may have units or ersonnel in which the functional areas of the rimary units of the !ureau are re resented. Related functions of regional units shall !e consolidated. Secti ! 2(. (unctions of a #e!ional ,ffice. #

617 A regional office shall2 6a7 ,m lement laws, olicies, lans, rograms, rules and regulations of the de artment or agency in the regional area" 6!7 1rovide economical, efficient and effective service to the eo le in the area" 6c7 Coordinate with regional offices of other de artments, !ureaus and agencies in the area" 6d7 Coordinate with local government units in the area" and 6e7 1erform such other functions as may !e rovided !y law. 687 >istrict offices may !e esta!lished only in cases of clear necessity. Secti ! 27. Duties of a #e!ional Director. # *he Regional >irector shall2 617 ,m lement laws, olicies, rules and regulations within the res onsi!ility of the agency" 687 ,m lement agency rograms in the region" 697 E%ercise the management functions of lanning organiAing, directing and controlling 6;7 A oint ersonnel to ositions in the first level and casual and seasonal em loyees" and e%ercise disci linary actions over them in accordance with the Civil Service :aw" 6<7 A rove sic3, vacation and maternity leaves of a!sence with or without ay, for a eriod not !eyond one year" 6=7 1re are and su!mit !udget ro osals for the region to the central office, administer the !udget of the regional office, authoriAe dis!ursement of funds ursuant to a roved financial and wor3 rograms, and administer the !udget control machinery in the region" 677 A rove re5uisition for su lies, materials and e5ui ment, as well as !oo3s and eriodicals, and other items for the region, in accordance with the a roved su ly rocurement rogram" 6$7 (egotiate and enter into contracts for services or furnishing su lies, materials and e5ui ment to the regional office involving an amount not e%ceeding fifty thousand esos 61<B,BBB.BB7 within a given 5uarter, rovided that authority in e%cess of fifty thousand esos 61<B,BBB.BB7 may !e further authoriAed !y the ro er de artment or agency head" 697 A 61B7 A rove claims for !enefits under e%isting laws" rove re5uests for overtime services"

6117 1romote coordination among the regional offices, and !etween his regional office and local government units in the region"

6187 1rovide house3ee ing services for the regional office" 6197 A rove a lication of ersonnel for ermission to teach, e%ercise a rofession, or engage in !usiness outside of office hours in accordance with standards and guidelines of the Civil Service Commission" 61;7 ,ssue travel vouchers authoriAing em loyees to travel on official !usiness within the region for a eriod not e%ceeding thirty days" 61<7 A rove attendance of ersonnel in conferences, seminars, and non#degree training rograms within the region" 61=7 AuthoriAe the allocation of funds to rovincialHdistrict offices" and 6177 1erform such other duties and functions as may !e rovided !y law or further delegated !y the head of agency or other ro er authorities concerned. Secti ! 28. Review of Acts of Regional >irector. # (othing in the receding Section shall !e construed as a limitation on the ower of the Secretary to review and modify, alter or reverse any action of the Regional >irector, or to initiate romotions and transfers of ersonnel from one region to another. CHAPTER ( PO*ERS AND DUTIES OF HEADS OF "UREAUS OR OFFICES Secti ! 29. Po-ers and Duties in General. # *he head of !ureau or office shall !e its chief e%ecutive officer. He shall e%ercise overall authority in matters within the 'urisdiction of the !ureau, office or agency, including those relating to its o erations, and enforce all laws and regulations ertaining to it. Secti ! %). %uthority to %ppoint and Discipline. # *he head of !ureau or office shall a oint ersonnel to all ositions in his !ureau or office, in accordance with law. ,n the case of the line !ureau or office, the head shall also a oint the second level ersonnel of the regional offices, unless such ower has !een delegated. He shall have the authority to disci line em loyees in accordance with the Civil Service :aw. Secti ! %1. Duties of %ssistant 1eads and Subordinates. # 617 Assistant heads and other su!ordinates in every !ureau or office shall erform such duties as may !e re5uired !y law or regulations, or as may !e s ecified !y their su eriors not otherwise inconsistent with law" 687 *he head of !ureau or office may, in the interest of economy, designate the assistant head to act as chief of any division or unit within the organiAation, in addition to his duties, without additional com ensation" and 697 ,n the a!sence of s ecial restriction rescri!ed !y law, nothing shall revent a su!ordinate officer or em loyee from !eing assigned additional duties !y ro er authority, when not inconsistent with the erformance of the duties im osed !y law.

Secti ! %2. %ctin! 1ead of +ureau or ,ffice. # ,n case of the a!sence or disa!ility of the head of a !ureau or office, his duties shall !e erformed !y the assistant head. When there are two or more assistant heads, the Secretary shall ma3e the designation. ,n the a!sence of an assistant head, the Secretary may designate any officer or em loyee of the !ureau or office as acting head without additional com ensation. Secti ! %%. Performance of Duties of Subordinate ,fficers Temporarily %bsent. # ,n case of the tem orary a!sence or disa!ility of any su!ordinate officer or em loyee in any !ureau or office, its head may, su!'ect to e%isting laws, rules and regulations, designate any other su!ordinate officer or em loyee within the organiAation to erform tem orarily the duties of the a!sent or disa!led erson. Secti ! %&. (illin! of 3acancies. # @acancies caused !y death, resignation or removal of any officer or su!ordinate may !e tem orarily filled in the same manner as in the case of tem orary a!sence or disa!ility. *he vacancies shall not !e filled !y ermanent a ointment, until the e% iration of any leave allowa!le to the redecessor, unless the e%igencies of the service re5uire that the a ointment !e made immediately. Secti ! %'. Po-er to #e$uire +onds. # 617 *he head of each !ureau or office shall, consistent with law, rules and regulations, rescri!e the form and fi% the amount of all !onds e%ecuted !y rivate arties to the government under the laws ertaining to his !ureau or office. He shall ass on the sufficiency of the security and retain ossession of the !ond. 687 When it a ears that any such !ond is insufficient, the head may re5uire additional security. He may withdraw the rivilege secured !y the !ond u on failure of the arty to give additional security within the eriod fi%ed in the notice, !ut such an action shall !e without re'udice to the lia!ility of any erson or ro erty already o!ligated. Secti ! %(. %uthority to Prescribe (orms and /ssue #e!ulations. # 617 *he head of a !ureau or office shall rescri!e forms and issue circulars or orders to secure the harmonious and efficient administration of his !ureau or office and to carry into full effect the laws relating to matters within his 'urisdiction. 1enalties shall not !e rescri!ed in any circular or order for its violation, e%ce t as e% ressly allowed !y law" 687 Heads of !ureaus or offices are authoriAed to issue orders regarding the administration of their internal affairs for the guidance of or com liance !y their officers and em loyees" 697 Regional directors are authoriAed to issue circulars of urely information or im lementing nature and orders relating to the administration of the internal affairs of regional offices and units within their su ervision" and 6;7 ,ssuances under aragra hs 687 and 697 hereof shall not re5uire, for their effectivity, a roval !y the Secretary or other authority. Secti ! %7. %nnual #eports. # 617 All heads of !ureaus or offices of the national government shall render annual re orts to their res ective Secretaries on or !efore the last day of +e!ruary of each year.

687 *he re orts shall contain concise statements of accom lishments and assessment of the rogress attained in terms of a roved rograms and ro'ects, including ertinent financial statements on e% enditures incurred in their im lementation during the calendar year. ?road recommendations and lans for underta3ing wor3 during the ensuing eriod shall !e included together with matters s ecifically re5uired !y law or regulation to !e incor orated therein. CHAPTER 7 ADMINISTRATIVE RE$ATIONSHIP Secti ! %8. Definition of %dministrative #elationship. # 0nless otherwise e% ressly stated in the Code or in other laws defining the s ecial relationshi s of articular agencies, administrative relationshi s shall !e categoriAed and defined as follows2 617 Su ervision and Control. # Su ervision and control shall include authority to act directly whenever a s ecific function is entrusted !y law or regulation to a su!ordinate" direct the erformance of duty" restrain the commission of acts" review, a rove, reverse or modify acts and decisions of su!ordinate officials or units" determine riorities in the e%ecution of lans and rograms" and rescri!e standards, guidelines, lans and rograms. 0nless a different meaning is e% licitly rovided in the s ecific law governing the relationshi of articular agencies, the word 4control4 shall encom ass su ervision and control as defined in this aragra h. 687 Administrative Su ervision. # 6a7 Administrative su ervision which shall govern the administrative relationshi !etween a de artment or its e5uivalent and regulatory agencies or other agencies as may !e rovided !y law, shall !e limited to the authority of the de artment or its e5uivalent to generally oversee the o erations of such agencies and to insure that they are managed effectively, efficiently and economically !ut without interference with day#to#day activities" or re5uire the su!mission of re orts and cause the conduct of management audit, erformance evaluation and ins ection to determine com liance with olicies, standards and guidelines of the de artment" to ta3e such action as may !e necessary for the ro er erformance of official functions, including rectification of violations, a!uses and other forms of maladministration" and to review and ass u on !udget ro osals of such agencies !ut may not increase or add to them" 6!7 Such authority shall not, however, e%tend to2 617 a ointments and other ersonnel actions in accordance with the decentraliAation of ersonnel functions under the Code, e%ce t a eal is made from an action of the a ointing authority, in which case the a eal shall !e initially sent to the de artment or its e5uivalent, su!'ect to a eal in accordance with law" 687 contracts entered into !y the agency in the ursuit of its o!'ectives, the review of which and other rocedures related thereto shall !e governed !y a ro riate laws, rules and regulations" and 697 the ower to review, reverse, revise, or modify the decisions of regulatory agencies in the e%ercise of their regulatory or 5uasi#'udicial functions" and 6c7 0nless a different meaning is e% licitly rovided in the s ecific law governing the relationshi of articular agencies, the word 4su ervision4 shall encom ass administrative su ervision as defined in this aragra h. 697 Attachment. # 6a7 *his refers to the lateral relationshi !etween the de artment or its e5uivalent and the attached agency or cor oration for ur oses of olicy and rogram coordination. *he coordination may !e accom lished !y having the de artment re resented in the governing !oard of the attached agency or cor oration, either as chairman or as a

mem!er, with or without voting rights, if this is ermitted !y the charter" having the attached cor oration or agency com ly with a system of eriodic re orting which shall reflect the rogress of rograms and ro'ects" and having the de artment or its e5uivalent rovide general olicies through its re resentative in the !oard, which shall serve as the framewor3 for the internal olicies of the attached cor oration or agency" 6!7 Fatters of day#to#day administration or all those ertaining to internal o erations shall !e left to the discretion or 'udgment of the e%ecutive officer of the agency or cor oration. ,n the event that the Secretary and the head of the !oard or the attached agency or cor oration strongly disagree on the inter retation and a lication of olicies, and the Secretary is una!le to resolve the disagreement, he shall !ring the matter to the 1resident for resolution and direction" 6c7 &overnment#owned or controlled cor orations attached to a de artment shall su!mit to the Secretary concerned their audited financial statements within si%ty 6=B7 days after the close of the fiscal year" and 6d7 1ending su!mission of the re5uired financial statements, the cor oration shall continue to o erate on the !asis of the receding yearEs !udget until the financial statements shall have !een su!mitted. Should any government#owned or controlled cor oration incur an o eration deficit at the close of its fiscal year, it shall !e su!'ect to administrative su ervision of the de artment" and the cor orationEs o erating and ca ital !udget shall !e su!'ect to the de artmentEs e%amination, review, modification and a roval. CHAPTER 8 SUPERVISION AND CONTRO$ Secti ! %9. Secretary's %uthority. # 617 *he Secretary shall have su ervision and control over the !ureaus, offices, and agencies under him, su!'ect to the following guidelines2 6a7 ,nitiative and freedom of action on the art of su!ordinate units shall !e encouraged and romoted, rather than curtailed, and reasona!le o ortunity to act shall !e afforded those units !efore control is e%ercised" 6!7 With res ect to functions involving discretion, e% erienced 'udgment or e% ertise vested !y law u on a su!ordinate agency, control shall !e e%ercised in accordance with said law" and 6c7 With res ect to any regulatory function of an agency su!'ect to de artment control, the authority of the de artment shall !e governed !y the rovisions of Cha ter 9 of this !oo3. 687 *his Cha ter shall not a ly to chartered institutions or government#owned or controlled cor orations attached to the de artment. Secti ! &). Dele!ation of %uthority. # *he Secretary or the head of an agency shall have authority over and res onsi!ility for its o eration. He shall delegate such authority to the !ureau and regional directors as may !e necessary for them to im lement lans and rograms ade5uately. >elegated authority shall !e to the e%tent necessary for economical, efficient and effective im lementation of

national and local rograms in accordance with olicies and standards develo ed !y each de artment or agency with the artici ation of the regional directors. *he delegation shall !e in writing" shall indicate to which officer or class of officers or em loyees the delegation is made" and shall vest sufficient authority to ena!le the delegate to discharge his assigned res onsi!ility. Secti ! &1. "ine +ureau %uthority. # 617 :ine !ureaus of a de artment shall e%ercise su ervision and control over their regional and other field offices. *hey shall !e directly res onsi!le for the develo ment and im lementation of lans and rograms within their res ective functional s ecialiAations" and 687 *he regional and other field offices shall constitute the o erating arms of the !ureau concerned for the direct im lementation of the lans and rograms drawn u in accordance with a roved olicies and standards. As counter arts of the !ureau in the region, they shall underta3e !ureau o erations within their res ective 'urisdictions, and !e directly res onsi!le to their !ureau director. CHAPTER 9 RE$ATIONSHIPS OF GOVERNMENT/O*NED OR CONTRO$$ED CORPORATIONS AND REGU$ATORY AGENCIES TO THE DEPARTMENT Secti ! &2. Government&,-ned or Controlled Corporations . # &overnment#owned or controlled cor orations shall !e attached to the a ro riate de artment with which they have allied functions, as hereinafter rovided, or as may !e rovided !y e%ecutive order, for olicy and rogram coordination and for general su ervision rovided in ertinent rovisions of this Code. ,n order to fully rotect the interests of the government in government#owned or controlled cor orations, at least one#third 61H97 of the mem!ers of the ?oards of such cor orations should either !e a Secretary, or 0ndersecretary, or Assistant Secretary. Secti ! &%. #e!ulatory %!encies. # 617 A regulatory agency shall !e su!'ect to the administrative su ervision of the de artment under which they are laced, e%ce t when they are government cor orations in which case they shall !e governed !y the rovisions of the receding section" 687 *he heads of regulatory agencies shall su!mit annually, for the a roval of the Secretary concerned, their !udgets and wor3 lans which shall !e the !asis of their day#to#day o erations" and 697 *he regulatory agencies may avail themselves of the common au%iliary and management services of the de artment as may !e convenient and economical for their o erations. CHAPTER 1) APPOINTMENTS AND 1UA$IFICATIONS Secti ! &&. %ppointment of Secretaries. # *he Secretaries of >e artments shall !e a ointed !y the 1resident with the consent of the Commission on A ointments, at the !eginning of his term of office, and shall hold office, unless sooner removed, until the e% iration of his term of office, or until their successors shall have !een a ointed and 5ualified.

Secti ! &'. 5ualifications of Secretaries. # *he Secretaries shall !e citiAens of the 1hili not less than twenty#five years of age.

ines and

Secti ! &(. %ppointments of )ndersecretaries and %ssistant Secretaries. # *he 0ndersecretaries and Assistant Secretaries of >e artments shall, u on the nomination of the Secretary of the >e artment concerned, !e a ointed !y the 1resident. Secti ! &7. %ppointment to other Senior Positions and their E$uivalents. # >irectors and Assistant >irectors of ?ureaus, Regional and Assistant Regional >irectors, >e artment Service Chiefs, and their E5uivalents shall !e a ointed !y the 1resident in accordance with law, rules and regulations. Secti ! &8. Dis$ualification of the spouse and relatives of the President. # *he s ouse and relatives !y consanguinity or affinity within the fourth civil degree of the 1resident shall not during his tenure !e a ointed as Secretaries, 0ndersecretaries, Chairmen or heads of !ureaus or offices including government#owned or controlled cor orations and their su!sidiaries. Secti ! &9. /nhibitions %!ainst 1oldin! ore than T-o Positions . # Even, if allowed !y law or !y the rimary functions of his osition, a mem!er of the Ca!inet, undersecretary, assistant secretary or other a ointive official of the E%ecutive >e artment may, in addition to his rimary osition, hold not more than two ositions in the government and government#owned cor orations and receive the corres onding com ensation therefor2 1rovided, that this limitation shall not a ly to ad hoc !odies or committees, or to !oards, councils or !odies of which the 1resident is the Chairman. ,f a Secretary, 0ndersecretary, Assistant Secretary or other a ointive official of the E%ecutive >e artment holds more ositions than what is allowed in the receding aragra h, he must relin5uish the e%cess ositions in favor of a su!ordinate official who is ne%t in ran3, !ut in no case shall any official hold more than two ositions other than his rimary osition. CHAPTER 11 ADMINISTRATIVE ISSUANCES Secti ! '). General Classification of /ssuances. # *he administrative issuances of Secretaries and heads of !ureaus, offices or agencies shall !e in the form of circulars or orders. 617 Circulars shall refer to issuances rescri!ing olicies, rules and regulations, and rocedures romulgated ursuant to law, a lica!le to individuals and organiAations outside the &overnment and designed to su lement rovisions of the law or to rovide means for carrying them out, including information relating thereto" and 687 )rders shall refer to issuances directed to articular offices, officials, or em loyees, concerning s ecific matters including assignments, detail and transfer of ersonnel, for o!servance or com liance !y all concerned. Secti ! '1. Numberin! System of /ssuances. # Every circular or order issued ursuant to the receding section shall ro erly !e identified as such and chronologically num!ered. Each class of issuance shall !egin with num!er 1 of each calendar year . Secti ! '2. ,fficial "o!boo.. # Each de artment, !ureau, office or agency shall 3ee and reserve a log!oo3 in which shall !e recorded in chronological order, all final official acts, decisions, transactions or contracts, ertaining to the de artment, !ureau, office or agency. Whenever the erformance of an official act is in issue, the date and the time record in the log!oo3 shall !e

controlling. *he log!oo3 shall !e in the custody of the chief Administrative )fficer concerned and shall !e o en to the u!lic for ins ection. Secti ! '%. Government&-ide %pplication of the Classification of /ssuances. # 617 *he Records Fanagement and Archives )ffice in the &eneral Services Administration shall rovide such assistance as may !e necessary to effect general adherence to the foregoing classification of issuances, including the conduct of studies for develo ing su!# classifications and guidelines to meet eculiar needs" and 687 All administrative issuances of a general or ermanent character shall !e com iled, inde%ed and u!lished ursuant to the rovisions of this Code. CHAPTER 12 MISCE$$ANEOUS RECEIPTS Secti ! '&. Char!es for Property Sold or Services #endered7 #efunds. # 617 +or services re5uired !y law to !e rendered for a fee, for su lies furnished, or articles of any 3ind sold to other divisions of the government or to any erson, the head of !ureau, office or agency may, u on a roval of the Secretary charge and collect the cost of the service, su lies, or articles or other rate in e%cess of cost rescri!ed !y law or a roved !y the same authority. +or local governments, the rate, e%ce t where otherwise rescri!ed !y law, shall !e affi%ed at cost or at such other reasona!le rate in e%cess of cost !y the !oards or councils concerned" 687 *he officer authoriAed to fi% the amount to !e aid for service rendered and su lies or articles furnished or sold may recommend that the whole or art of any sum so aid !e refunded, u on a roval of the Commission on Audit. Secti ! ''. Disposition of iscellaneous +ureau #eceipts. # ,n the a!sence of s ecial rovision, money collected for ro erty sold or service rendered, and all other recei ts or earnings of !ureaus, offices, and agencies not derived from ta%ation, shall accrue to the general una ro riated funds of the (ational &overnment. Secti ! '(. Printin! of Studies and #esearches. # With the a roval of the Secretary, a !ureau, office, or agency may rint its studies, researches and similar materials for distri!ution at cost to the u!lic. *he Secretary may authoriAe the rinting or re rinting of the said materials !y rivate ersons for sale to the u!lic u on ayment of such royalties as may !e fi%ed !y him, which shall accrue to the general fund. CHAPTER 1% CONTRACTS Secti ! '7. Conveyances and Contracts to -hich the Government is a Party. # Any deed, instrument or contract conveying the title to real estate or to any other ro erty the value of which does not e%ceed fifty million esos 61<B,BBB,BBB7 awarded through u!lic !idding, and five million esos 61<,BBB,BBB7 awarded through negotiation, shall !e e%ecuted and signed !y the res ective Secretary on !ehalf of the &overnment of the 1hili ines. Where the value of the ro erty e%ceeds the aforesaid ceilings, such deed, instrument or contract shall !e e%ecuted and signed !y the 1resident of the 1hili ines on !ehalf of the &overnment.

Secti ! '8. Ceilin! for /nfrastructure Contracts. # *he following shall !e the ceilings for all civil wor3s, construction and other contracts for infrastructure ro'ects, including su ly contracts for said ro'ects, awarded through u!lic !idding or through negotiation, which may !e a roved !y the Secretaries of 1u!lic Wor3s and Highways, *rans ortation and Communications, :ocal &overnment with res ect to Rural Road ,m rovement 1ro'ect, and governing !oards of government#owned or controlled cor orations2
Awarded through 1u!lic ?idding a. !. c. d. Secretary of 1u!lic Wor3s and Highways Secretary of *rans ortation and Communications Secretary of :ocal &overnment with res ect to the Rural Road ,m rovement 1ro'ect &overnment ?oards of ,nfra# structure Cor orations 6(ational 1ower Cor oration, (ational ,rrigation Administration, Fetro olitan Waterwor3s and Sewerage System, (ational Housing Authority, 1hili ine 1ort Authority, (ational Electrification Administration, E% ort 1rocessing -one Authority, 1hili ine (ational Railways, :ocal Water 0tilities Administration, :ight Rail *ransit Authority and 1hili ine (ational )il Com any7 &overning ?oards of (on#,nfrastructure Cor orations 11BB Fil. 1BB Fil. 1BB Fil. <B Fil. Awarded through (egotiation 11B Fil. 1B Fil. 8 Fil. < Fil.

e.

7.< Fil.

1 Fil.

Save as rovided for a!ove, the a roval ceilings assigned to the de artmentsHagencies involved in national infrastructure and construction ro'ects shall remain at the levels rovided in e%isting laws, rules and regulations. Secti ! '9. Contracts for %pproval by the President. # Contracts for infrastructure ro'ects, including contracts for the su ly of materials and e5ui ment to !e used in said ro'ects, which involve amounts a!ove the ceilings rovided in the receding section shall !e a roved !y the 1resident2 1rovided, *hat the 1resident may, when conditions so warrant, and u on recommendation of the (ational Economic and >evelo ment Authority, revise the aforesaid ceilings of a roving authority. Secti ! (). %pproval of Consultancy Contracts. # All urely consultancy contracts relating to infrastructure ro'ects, regardless of amount, shall !e a roved !y the Secretaries concerned, in accordance with the &uidelines on the Hiring of Consultants to !e romulgated !y the (ational Economic and >evelo ment Authority2 1rovided, *hat the (ational Economic and >evelo ment Authority shall !e furnished !y the de artments, agencies or government cor orations concerned, co ies of all consultancy contracts entered into !y them involving an amount in e%cess of 11 million for monitoring ur oses. Secti ! (1. Dele!ation of %uthority to Governin! +oards of Government Corporations. # *he Secretaries are authoriAed to delegate to the governing !oards of government#owned or controlled cor orations which are attached to or are under the administrative su ervision of their res ective

de artments, the authority to a rove contracts for infrastructure ro'ects entered into !y said cor orations involving amounts which are !eyond the ceiling rovided for government cor orations under Section <7 hereof !ut which are within the a roving authority of the Secretaries under the said Section. ,n the case of government cor orations which are attached to or under the )ffice of the 1resident, the delegation shall !e made !y the E%ecutive Secretary. Secti ! (2. Public +iddin! of Contracts7 E2ceptions. # As a general rule, contracts for infrastructure ro'ects shall !e awarded after o en u!lic !idding to !idders who su!mit the lowest res onsiveHevaluated !ids. ) en 1u!lic ?idding shall !e conducted among re5ualified contractors in accordance with laws, rules and regulations not inconsistent with the rovisions of this Cha ter. *he award of such contracts through negotiations shall only !e allowed !y the Secretary or &overning ?oard of the Cor oration concerned within the limits as stated in Section <7 hereof in the following cases2 a. ,n times of emergencies arising from natural calamities where immediate action is necessary to revent imminent loss of life or ro erty, in which case, direct negotiation or sim lified !idding may !e underta3en" !. +ailure to award the contract after com etitive u!lic !idding for valid cause or causes, in which case, sim lified !idding may !e underta3en" and c. Where the construction ro'ect covered !y the contract is ad'acent or contiguous to an on# going ro'ect and it could !e economically rosecuted !y the same contractor, in which case, direct negotiation may !e underta3en with the said contractor at the same unit rices and contract conditions, less mo!iliAation costs, rovided that he has no negative sli age and has demonstrated a satisfactory erformance. )therwise, the contract shall !e awarded through u!lic !idding. Secti ! (%. Contracts for Community Employment and Development Pro!ram Pro8ects. # Contracts covering ro'ects under the Community Em loyment and >evelo ment 1rogram of the government shall !e awarded through o en u!lic !idding2 1rovided, *hat the invitation to !id for the said ro'ects shall !e advertised at least once within one wee3 in a news a er of local circulation within the rovince where the ro'ect is situated, through osting of notices in the remises of the munici alH rovincial office, and through other forms of media, such as radio and television2 1rovided, further, *hat the deadline for su!mission of !ids for ro'ects costing not more than 11 million each may !e shortened to one wee3 after the date of such invitation, osting of notices or advertisement through other forms of media. Secti ! (&. Constitution of the Pre$ualification* +ids* and %-ards Committee. # Each de artment, office or agency shall have in its head office or in its im lementing offices a 1re5ualification, ?ids and Awards Committee which shall !e res onsi!le for the conduct of re5ualification of contractors, !iddings, evaluation of !ids and recommending awards of contracts. Each 1re5ualification, ?ids and Awards Committee shall !e com osed of the following2 a. A Chairman 6regular7 who should at least !e a third ran3ing official of the de artmentHagencyHim lementing )ffice" !. An E%ecutive )fficer and Secretary 6regular7 who is a :egal )fficer of the de artmentHofficeHim lementing office" c. A *echnical Fem!er 6regular7 to !e designated !y the Secretary or the head of the officeHagencyHim lementing office"

d. *wo mem!ers 6 rovisional7 with e% erience in the ty e of ro'ect to !e !idded and in ro'ect management, duly designated !y the Secretary or the head of the officeHim lementing office on a ro'ect#to# ro'ect !asis" and e. A re resentative from at least one of the following organiAations who shall !e a non#voting mem!er2 1. 1hili 8. 1hili ine ,nstitute of Civil Engineers ine Contractors Association ines, ,nc.

9. (ational Confederation of Contractors Associations of the 1hili ;. 1hili ine ,nstitute of Certified 1u!lic Accountants

*he re resentation in the 1re5ualification, ?ids and Awards Committee of the a!ove#mentioned rivate organiAations shall !e made as follows2 1. >uring the re5ualification stage, the re resentative to !e invited shall come from the 1hili ine ,nstitute of Certified 1u!lic Accountants" and 8. ,n the !idding, !id evaluation and award stages, a re resentative each from the 1hili ine ,nstitute of Certified 1u!lic Accountants and from the 1hili ine Contractors Association or the (ational Confederation of Contractors Associations of the 1hili ines, ,nc. shall !e invited as non#voting mem!ers of the 1re5ualification, ?ids and Awards Committee without re'udice to inviting another re resentativeHs from any of the other organiAations mentioned a!ove. Secti ! ('. A roval of other ty es of &overnment Contracts. # All other ty es of government contracts which are not within the coverage of this Cha ter shall, in the a!sence of a s ecial rovision, !e e%ecuted with the a roval of the Secretary or !y the head of the !ureau or office having control of the a ro riation against which the contract would create a charge. Such contracts shall !e rocessed and a roved in accordance with e%isting laws, rules and regulations. CHAPTER 1& CONTROVERSIES AMONG GOVERNMENT OFFICES AND CORPORATIONS Secti ! ((. 1o- Settled. # All dis utes, claims and controversies, solely !etween or among the de artments, !ureaus, offices, agencies and instrumentalities of the (ational &overnment, including government#owned or controlled cor orations, such as those arising from the inter retation and a lication of statutes, contracts or agreements, shall !e administratively settled or ad'udicated in the manner rovided in this Cha ter. *his Cha ter shall, however, not a ly to dis utes involving the Congress, the Su reme Court, the Constitutional Commissions, and local governments. Secti ! (7. Disputes /nvolvin! 5uestions of "a-. # All cases involving only 5uestions of law shall !e su!mitted to and settled or ad'udicated !y the Secretary of Custice as Attorney#&eneral of the (ational &overnment and as e% officio legal adviser of all government#owned or controlled cor orations. His ruling or decision thereon shall !e conclusive and !inding on all the arties concerned.

Secti ! (8. Disputes /nvolvin! 5uestions of (act and "a-. # Cases involving mi%ed 5uestions of law and of fact or only factual issues shall !e su!mitted to and settled or ad'udicated !y2 617 *he Solicitor &eneral, if the dis ute, claim or controversy involves only de artments, !ureaus, offices and other agencies of the (ational &overnment as well as government# owned or controlled cor orations or entities of whom he is the rinci al law officer or general counsel" and 687 *he Secretary of Custice, in all other cases not falling under aragra h 617. Secti ! (9. %rbitration. # *he determination of factual issues may !e referred to an ar!itration anel com osed of one re resentative each of the arties involved and resided over !y a re resentative of the Secretary of Custice or the Solicitor &eneral, as the case may !e. Secti ! 7). %ppeals. # *he decision of the Secretary of Custice as well as that of the Solicitor &eneral, when a roved !y the Secretary of Custice, shall !e final and !inding u on the arties involved. A eals may, however, !e ta3en to the 1resident where the amount of the claim or the value of the ro erty e%ceeds one million esos. *he decision of the 1resident shall !e final. Secti ! 71. Rules and Regulations. # *he Secretary of Custice shall romulgate the rules and regulations necessary to carry out the rovisions of this Cha ter. Tit-e I FOREIGN AFFAIRS CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State shall ursue an inde endent foreign olicy. ,n its relations with other states the aramount consideration shall !e national sovereignty, territorial integrity, national interest, and the right to self#determination. Secti ! 2. andate. # *he >e artment shall !e the lead agency that shall advise and assist the 1resident in lanning, organiAing, directing, coordinating and evaluating the total national effort in the field of foreign relations. Secti ! %. Po-ers and (unctions. # *o carry out its mandate and accom lish its mission, the >e artment shall2 617 Conduct the countryEs foreign relations" 687 Faintain and develo the countryEs re resentation with foreign governments" 697 Conduct 1hili ine re resentation in the 0nited (ations, the Association of Southeast Asian (ations 6ASEA(7, and other international and regional organiAations" 6;7 Serve as the channel for matters involving foreign relations, including official communications to and from the Re u!lic of the 1hili ines"

6<7 (egotiate treaties and other agreements ursuant to instructions of the 1resident, and in coordination with other government agencies" 6=7 1romote trade, investments, tourism and other economic relations with other countries in coo eration with other government agencies" 677 +oster cultural relations with other countries and rotect and enhance the 1hili image a!road" 6$7 0nderta3e efforts to inform the international community a!out the 1hili coo eration with other government agencies" 697 1rotect and assist 1hili ine nationals a!road" ines in inesE

61B7 Carry out legal documentation functions as rovided for !y law and regulations" 6117 Fonitor and analyAe events in other countries and re ort them, as a 1resident and other government agencies" ro riate, to the

6187 ,nitiate, formulate, integrate and su!mit to the 1resident short, medium, and long#range foreign olicy lans and rograms in coo eration with other government agencies" 6197 Su ervise and direct officials and em loyees assigned !y the >e artment and other government agencies to +oreign Service esta!lishments a!road in accordance with the ertinent laws, rules and inter#agency agreements" 61;7 Recruit, maintain and develo a rofessional career foreign service !ased on merit" and 61<7 1erform such other functions as may !e rovided !y law. Secti ! &. )rganiAational Structure. # *he >e artment shall have the following units2 617 *he >e artment 1ro er which shall !e com osed of the )ffice of the Secretary, the )ffices of the 0ndersecretaries, the )ffices of the Assistant Secretaries, and the Home )ffices" 687 *he +oreign Service Esta!lishments which are the 1hili and 1ermanent Fissions. ine Em!assies, Consulates, :egations

CHAPTER 2 DEPARTMENT PROPER Secti ! '. ,ffices )nder the Direct Supervision of the Secretary. # *he Secretary shall e%ercise direct su ervision over the following2 617 +oreign Service ,nstitute. # *he +oreign Service ,nstitute shall continue to o erate under its charter, and shall have the following main o!'ectives and res onsi!ilities2 6a7 1rogram, im lement, and manage the Career +oreign Service >evelo ment 1rogram 6C+S>17 in all of its main com onents for the ur ose of u grading the rofessional Career +oreign Service Cor s"

6!7 1rogram, im lement and manage com lementary organiAational develo ment rograms for the >e artment as well as other training and educational rograms for !oth its career and non#career ersonnel, and ersonnel of other government agencies assigned to foreign missions" 6c7 1rogram, im lement and manage the necessary su ortive lans and o erating systems for the Career +oreign Service >evelo ment 1rograms and com lementary rograms" 6d7 >evelo its own olicies, and rules, rogram of activities, core staff and consultants, administrative structure, o erating systems and resources, in order to ena!le it to accom lish com etently its activities. ,t shall !e revitaliAed as the training, research, and career develo ment arm of the >e artment, in accordance with such rules as may !e rescri!ed !y the Secretary. *he ,nstitute shall !e an integral artici ant in the lanning review rocess in the >e artment. 687 0(ESC) (ational Commission of the 1hili ines. # *he 0nited (ations Educational Scientific and Cultural )rganiAation 60(ESC)7 (ational Commission of the 1hili ines shall, in coordination with the )ffice of 0nited (ations and other international organiAations, advise the 1hili ine &overnment and the 1hili ine delegation to the 0(ESC) Conference, on matters relating to 0(ESC), and shall function as a liaison agency on matters ertaining to the Commission. 697 *echnical Assistance Council. # *he *echnical Assistance Council shall continue to erform its resent functions including the conduct and e% ansion of its rograms. Secti ! (. )ndersecretaries. # *he Secretary shall !e assisted !y two 687 0ndersecretaries, who shall !e a ointed !y the 1resident, u on the recommendation of the Secretary. *he Secretary shall determine and assign the res ective functions and res onsi!ilities of the 0ndersecretaries. *he Secretary shall designate one of the 0ndersecretaries as Acting Secretary in his a!sence. Secti ! 7. %ssistant Secretaries. # *he Secretary shall !e assisted !y si% 6=7 Assistant Secretaries who shall !e a ointed !y the 1resident u on recommendation !y the Secretary. *he Secretary shall delineate the res ective areas of res onsi!ility of each Assistant Secretary. Secti ! 8. 1ome ,ffices. # 617 &eogra hical )ffices. # *he following offices shall !e res onsi!le for roviding staff su ort and olicy guidance in the coordination, su ervision, monitoring, integration, and re orting of the activities and o erations of 1hili ine di lomatic missions and esta!lishments within their geogra hical coverage2 6a7 )ffice of Asian and 1acific Affairs2 Ca an and (ortheast Asia, China, Central Asia, Southeast Asia, South Asia and 1acific countries" 6!7 )ffice of Fiddle East and African Affairs2 the &ulf States, Fiddle East and (orth Africa, West Africa and East Africa"

6c7 )ffice of American Affairs2 0nited States of America, Canada, Fe%ico, the Central American and Cari!!ean countries, and South America. 6d7 )ffice of Euro ean Affairs2 0nion of Soviet Socialist Re u!lics, Western Euro e, Eastern Euro e and Central Euro e. 687 )ffice of ASEA( Affairs. # *he )ffice of ASEA( Affairs shall !e res onsi!le for 1hili ine artici ation and negotiation, as well as roviding staff su ort and olicy guidance in the coordination, su ervision, monitoring, integration, re orting and o erations of the 1hili ine &overnment in the ASEA(. 697 )ffice of the 0nited (ations and )ther ,nternational )rganiAations. # *he )ffice of the 0nited (ations and other ,nternational )rganiAations shall !e res onsi!le for 1hili ine artici ation and negotiation as well as roviding staff su ort and olicy guidance in the coordination, su ervision, monitoring, integration, re orting and o erations of the 1hili ine &overnment in the 0nited (ations, its s ecialiAed agencies and other international organiAations. ,t shall also serve as the secretariat of all 1hili ine (ational Commissions and Councils created ursuant to commitments in the 0nited (ations and its s ecialiAed agencies. 6;7 )ffice of ,nternational Economic Affairs and >evelo ment. # *he )ffice of ,nternational Economic Affairs and >evelo ment shall !e res onsi!le for conducting rograms and activities of the >e artment in the fields of international trade, finance and economics" coordinate with the regional offices and the )ffice of 0nited (ations and ,nternational )rganiAations" and, in coordination with the >e artment of *rade and ,ndustry, conduct trade and investment romotion activities of the >e artment. 6<7 )ffice of Cultural Affairs and 1u!lic ,nformation Services. # *he )ffice of Cultural Affairs and 1u!lic ,nformation Services shall !e res onsi!le for romoting the cultural and u!lic information rogram of the &overnment a!road and for the develo ment and dissemination of information and the coordination of information activities on the &overnmentEs foreign and domestic olicies. 6=7 )ffice of 1ersonnel and Administrative Services. # *he )ffice of 1ersonnel and Administrative Services shall !e res onsi!le for the efficient management of human resources and administrative su ort services, and shall ma3e a ro riate recommendations, including those concerning 'o! classification, salary administration, !enefits, retirement, and awards to deserving mem!ers of the +oreign Service. 677 )ffice of +inancial Fanagement Services. # *he )ffice of +inancial Fanagement Services shall !e res onsi!le for !udgetary, financial and accounting services in the >e artment and the +oreign Service. 6$7 )ffice of Consular Services. # *he )ffice of Consular Services shall !e res onsi!le for the efficient and effective delivery of ass ort, visa and authentication services. ,t shall also e%tend assistance to +ili ino nationals !oth here and a!road. Secti ! 9. %dvisory +oards and Committees. # *he Secretary may create such advisory !oards and committees as he may deem necessary to assist and rovide him with advice in the formulation of olicies, as well as designate as s ecial advisers such Chiefs of Fission who are on home assignment on s ecific areas of their e% ertise.

CHAPTER % DEPARTMENT SERVICES Secti ! 1). ,ffice of the "e!al %dviser. # *he )ffice of the :egal Adviser shall !e headed !y a :egal Adviser, who shall !e a career Chief of Fission. However, the :egal Adviser may !e a ointed !y the 1resident, u on the recommendation of the Secretary, from outside the career service, in which case he shall have the assimilated ran3 of a Chief of Fission. His term shall !e co#terminus with the tenure of the Secretary, unless sooner terminated, and he is not eligi!le for foreign assignment. *he :egal Adviser shall rovide legal advice and services to the >e artment. Secti ! 11. ,ffice of Coordination and Policy Plannin!. # *he )ffice of Coordination and 1olicy 1lanning shall !e headed !y the Chief Coordinator. *he )ffice of Coordination and 1olicy 1lanning shall initiate, coordinate and integrate the lanning of foreign olicy. ,t shall rovide staff su ort to the )ffice of Secretary and erform coordinating and such other functions as may !e rescri!ed !y the Secretary. Secti ! 12. ,ffice of Data +an.in! and Communication. # *he )ffice of >ata ?an3ing and Communication shall esta!lish and maintain a modern data and communication center in the >e artment. *he )ffice shall2 617 Assist the Secretary on all matters regarding data !an3ing and information retrieval" 687 Esta!lish, develo and maintain a com uteriAed foreign#relations data !an3 for the >e artment" 697 Esta!lish, develo and maintain !oth domestic and foreign service communications systems, including efficient flow systems for all corres ondence !etween and among all >e artment units" 6;7 Esta!lish, develo and maintain the records system of the entire >e artment" 6<7 1rovide technical assistance to any service, office, or attached agency of the >e artment, on matters within its com etence" and 6=7 1erform such other functions as may !e assigned !y the Secretary. Secti ! 1%. ,ffice of Protocol* State and ,fficial 3isits. # *he )ffice of 1rotocol, State and )fficial @isits shall coordinate re arations for state visits, the rece tion of Chiefs of State, heads of &overnment, the highest foreign dignitaries visiting the 1hili ines, as well as official visits of 1hili ine officials a!road, as may !e determined !y the 1resident. ,t shall also !e res onsi!le for handling all activities of the >e artment concerning rotocol, ceremonials and socials, the ro er o!servance and enforcement of formalities, courtesies, facilities, immunities and rivileges under the @ienna Convention on >i lomatic Relations and the @ienna Convention on Consular Relations, and other a lica!le conventions and agreements. Secti ! 1&. ,ffice of /ntelli!ence and Security. # *he )ffice of ,ntelligence and Security shall ado t a system of information gathering and analysis, act as liaison with the intelligence community, and rovide security services in the >e artment. ,t shall also underta3e the enforcement and monitoring of security rocedures in the >e artment and +oreign Service esta!lishments.

CHAPTER & "OARD OF FOREIGN SERVICE ADMINISTRATION Secti ! 1'. Composition. # *he ?oard of +oreign Service Administration shall !e com osed of nine 697 mem!ers2 one 617 0ndersecretary as Chairman" the other 0ndersecretary as @ice#Chairman" the si% 6=7 Assistant Secretaries and the :egal Adviser, as mem!ers. Secti ! 1(. (unctions. # *he ?oard shall !e res onsi!le for considering and recommending olicies for the efficient and economical discharge of the administrative o erations of the >e artment and the +oreign Service. ,t shall also consider and su!mit recommendation on olicy and other matters concerning ersonnel, including the a ointment, romotion and assignment of +oreign Service Staff )fficers and Em loyees, as well as recommend to the 1resident through the Secretary the a ointment and romotion of +oreign Service )fficers, Counselors and Chiefs of Fission. ,t shall also act and su!mit recommendations on administrative cases involving ersonnel of the >e artment and the +oreign Service. CHAPTER ' "OARD OF FOREIGN SERVICE EXAMINERS Secti ! 17. Composition. # *he ?oard of +oreign Service E%aminers shall !e com osed of one 617 0ndersecretary as Chairman" and the Assistant Secretary for 1ersonnel and Administrative Services and a Commissioner of the Civil Service Commission as mem!ers. *he ?oard shall !e under the administrative su ervision of such 0ndersecretary. Secti ! 18. (unctions. # *he ?oard shall !e res onsi!le for lanning and administering the +oreign Service )fficers E%aminations and the +oreign Service Staff )fficers and +oreign Service Staff Em loyees E%aminations. CHAPTER ( ATTACHED AGENCIES Secti ! 19. %ttached %!encies. # *he :aw of the Sea Secretariat, the ,nter#Agency *echnical Committee on Economic, Scientific and *echnical Coo eration with Socialist Countries 6S)CC)F7, the ,nter#Agency *echnical Committee on *echnical Coo eration Among >evelo ing Countries 6,A*C#*C>C7, the 1ermanent ,nter#Agency *echnical Committee on ESCA1 Fatters 61,*CEF7, and other agencies attached to the >e artment shall continue to o erate and function in accordance with their res ective charters or laws creating them, e%ce t as otherwise rovided in this Code. CHAPTER 7 THE FOREIGN SERVICE Secti ! 2). (unctions of Diplomatic 617 Re resent the 1hili fields" issions. # *he >i lomatic Fissions shall2

ines a!road and romote friendly relations with other countries in all

687 1rotect national interests and the interests of +ili ino nationals a!road" 697 Ascertain and evaluate conditions and develo ments a!road and re ort thereon to the >e artment Head"

6;7 Serve as channels of communication !etween the &overnment of the 1hili foreign governments" and 6<7 1erform such other functions rovided !y law.

ines and

Secti ! 21. +unctions of Consular Esta!lishments. # *he consular esta!lishments shall2 617 1rotect national interests a!road and romote foreign relations in all fields, articularly in the economic and trade areas" 687 Ascertain and evaluate conditions and develo ments a!road in the commercial, economic, cultural and scientific fields and re ort thereon to the >e artment Head" 697 ,ssue ass orts and travel documents to +ili ino nationals, and visas or a documents to foreign nationals desiring to travel to the 1hili ines" ro riate

6;7 1rotect the interests of +ili ino nationals a!road, rovide necessary services and assistance, and erform notarial functions allowed !y regulations" 6<7 *ransmit 'udicial and e%tra#'udicial documents and e%ecute letters rogatory or commissions to receive evidence a!road for 1hili ine courts" 6=7 Su ervise and ins ect in accordance with laws and regulations of the 1hili and aircrafts and their crews" and 1. 1erform such other functions as may !e rovided !y law. CHAPTER 8 ATTACHES AND REPRESENTATIVES Secti ! 22. %ttaches of the Department. # *he >e artment Head shall designate attaches of the >e artment from the ran3s of +oreign Service )fficers and +oreign Service Staff )fficers. Secti ! 2%. %ttaches of ,ther Departments. # *he assignment a!road of ersonnel in any >e artment, ?ureau or office of the 1hili ine government as attaches or re resentatives shall have the rior clearance of the Secretary of +oreign Affairs. *he clearance shall include such matters as the actual need for o ening articular ty es of attache services, and the s ecific laces where these services will !e made availa!le. Secti ! 2&. %ppointment and %ccreditation of %ttaches. # 617 *he authority to a oint attaches shall !e vested in the Head of the >e artment or agency maintaining the attache service, who shall consult with the Secretary of +oreign Affairs on such a ointments. 687 A >e artment or agency shall have only one attache accredited to it !y the receiving government, e%ce t military attaches. 697 *he designation of attaches shall a ly only to those serving in di lomatic missions. *hose assigned to consular esta!lishments shall !e designated as re resentatives. ines, vessels

E%ce t in e%traordinary cases, each foreign service esta!lishment shall have only military, la!or, revenue, tourism, information and commercial attaches. ,n the event of the actual need for more than one attache, as determined !y the de artment or agency in consultation with the >e artment of +oreign Affairs, the succeeding attache shall !e accredited as assistant attache. Secti ! 2'. #elationships +et-een the Chief of ission and %ttaches. # *he Chief of Fission shall !e res onsi!le for the conduct of affairs of government at the di lomatic osts. All attaches and re resentatives of other de artments, shall during their tour of duty, !e under the immediate control and administrative su ervision of the Chief of Fission where they are assigned. *hey shall !e re5uired to su!mit their re orts to their agencies through the Chief of Fission and the >e artment of +oreign Affairs, e%ce t when national security re5uires otherwise. *hey shall clear with the Chief of Fission all their u!lic ronouncements at the di lomatic ost, and all the documents and materials they send shall !e transmitted through the di lomatic ouch. *he su remacy of the Chief of Fission for the conduct of foreign relations at the ost is esta!lished. *he Chief of Fission shall have the authority to disci line attaches within his Fission, including the authority to have them recalled, if necessary. Secti ! 2(. %ssimilated #an.s. # 617 E%ce t as the 1resident may a oint, no officer of the 1hili ine government stationed a!road, outside the >e artment of +oreign Affairs, shall !e assigned assimilated ran3s higher than +oreign Service )fficer Class ,. 687 *he assignment of assimilated ran3 ersonnel of the 1hili ine government stationed a!road shall remain with the 1resident who shall act on the !asis of recommendations of the >e artment of +oreign Affairs and the >e artment of ?udget and Fanagement. 697 *he assimilated ran3s are for ur oses of com ensation only and shall not confer di lomatic ran3 for ur oses of rotocol. Civil attaches shall always ran3 after the lowest ran3ing +oreign Service officer in the ost. Secti ! 27. #elationship +et-een the Consul&General or the Principal ,fficer at the Consulate and the #epresentative. # *he relationshi of the Consul#&eneral or the 1rinci al )fficer at the ost and the Re resentatives assigned to the said ost shall !e the same as the relationshi !etween the Chief of Fission and the attaches. Secti ! 28. )niform #ules for %ttache Services. # A uniform set of rules and regulations shall govern attache and re resentative services. *his shall !e drafted !y an ,nter#>e artment Committee to !e com osed of the 0ndersecretary of +oreign Affairs as Chairman, and the 0ndersecretaries, or e5uivalent officials, of the >e artments or agencies with attaches or re resentatives a!road, as mem!ers. CHAPTER 9 PERSONNE$ Secti ! 29. Policy. # *o ena!le the +oreign Service to effectively serve a!road the interests of the Re u!lic of the 1hili ines, it shall !e the olicy of the >e artment that only ersons who are

com etent, of good moral character, and fully informed of the 1hili +ili ino life shall !e a ointed to the service.

ine History and current trends in

Secti ! %). Cate!ories of ,fficers and Employees . # *he Service shall consist of the following categories of officers and em loyees2 617 Chiefs of Fissions 687 Counsellors 697 +oreign Service )fficers 6;7 +oreign Service Staff )fficers 6<7 +oreign Service Staff Em loyees 6=7 Honorary Consuls 677 Alien Em loyees Secti ! %1. (orei!n Service ,fficers. # *here shall !e a career service com osed of foreign service officers. *he Service shall consist of si% classes of +oreign Service )fficers including Chiefs of Fissions and Counsellors. 617 A Chief of Fission may !e assigned as Am!assador E%traordinary and 1leni otentiary, Head of an )ffice in the >e artment, or >e uty Chief of Fission. 687 A Counsellor may !e assigned as E%ecutive )fficer of an )ffice in the >e artment, Counsellor in an Em!assy, or Head of a Consular 1ost. 697 *he assignments of the other classes of +oreign Service )fficers shall !e as follows2
Home )ffice Service Class , Class ,, Class ,,, Class ,@ >i lomatic Service #Chief of >ivision +irst Secretary #Chief of >ivision Secondary Secretary #Chief of >ivision *hird Secretary #Asst. Chief of >ivision *hird Secretary Consular Consul Consul Consul @ice#Consul

6;7 ,n the home office, assignment to a osition re5uiring a ran3 higher than the actual ran3 of the +oreign Service )fficer shall !e in an acting ca acity. 6<7 A +oreign Service )fficer in any class may !e designated as a s ecial assistant to the Secretary or to an 0ndersecretary. A +oreign Service )fficer !elow the ran3 of Class , may !e designated as 1rinci al Assistant to a Head of )ffice.

Secti ! %2. +oreign Service Staff )fficers. # *here shall !e three classes of +oreign Service Staff Em loyees to rovide the administrative and technical services. Secti ! %%. +oreign Service Staff Em loyees. # *here shall !e three classes of +oreign Service Staff Em loyees to rovide the clerical, custodial, messengerial and similar services. Secti ! %&. Honorary Consuls. # Honorary consuls shall !e a ointed from among 5ualified rivate ersons to erform certain consular functions on a non#career !asis. CHAPTER 1) APPOINTMENTS. COMPENSATION AND "ENEFITS Secti ! %'. (orei!n Service ,fficers. # 617 +oreign Service )fficers shall !e a ointed !y the 1resident.

687 (o erson shall !e eligi!le for a ointment as +oreign Service )fficers unless he has assed the com etitive e%aminations given !y the ?oard of +oreign Service E%aminers and successfully com leted his ro!ationary service. 697 *he Secretary shall, u on the recommendation of the ?oard of +oreign Service, su!mit to the 1resident names of eligi!les for a ointment as +oreign Service )fficers. *he initial a ointment of +oreign Service )fficers shall only !e to +oreign Service )fficers Class ,@ minimum. Secti ! %(. Staff ,fficers and Employees. # *he Secretary shall a oint, in accordance with the Civil Service :aw, all +oreign Service )fficers and +oreign Service Staff Em loyees who must !e in the 1hili ines at the time of their original or initial a ointment. Secti ! %7. %lien Employees. # *he Secretary shall, u on the recommendation of the head of di lomatic or consular esta!lishment and as much as ossi!le in accordance with the Civil Service :aw, a oint alien em loyees who shall !e recruited at the ost to su lement the regular staff of a foreign service esta!lishment. Secti ! %8. Compensation and +enefits. # *he salaries, allowances, travel e% enses, insurance and other !enefits of +oreign Service )fficers, and Em loyees shall !e as rovided !y law and regulations. CHAPTER 11 PROMOTIONS Secti ! %9. erit Promotion System. # *he ?oard of the +oreign Service shall esta!lish a merit romotion system for all officers and em loyees of the >e artment. Secti ! &). #e$uirements for Promotion in the Career Service. # 617 +or romotion to Chief of Fission Class ,, the candidate must have served as a Chief of Fission Class ,, and rendered continuous service as +oreign Service )fficer for at least twelve 6187 years"

687 +or romotion to Chief of Fission Class ,,, the candidate must have served as a +oreign Service )fficer Class , and rendered continuous service as +oreign Service )fficer for at least ten years" 697 +or romotion to +oreign Service )fficer Class ,, the candidate must have served as a +oreign Service )fficer Class ,,, and rendered continuous service as +oreign Service )fficer for at least eight years" 6;7 +or romotion to +oreign Service )fficer Class ,,, the candidate must have served as +oreign Service )fficer Class ,,,, and rendered continuous service as +oreign Service )fficer for at least si% years" 6<7 +or romotion to +oreign Service )fficer Class ,,,, the candidate must have rendered continuous service as a +oreign Service )fficer Class ,@ for at least two years. Secti ! &1. Promotion of (orei!n Service ,fficers. # 617 1romotions of +oreign Service )fficers from one class to the ne%t higher class shall !e made !y the 1resident u on the recommendation of the Secretary. All romotions shall !e to the lowest grade of the class. 687 1romotion in grade within the class shall !e made !y the Secretary u on the recommendation of the ?oard of +oreign Service Administration. Secti ! &2. Promotion of (orei!n Service Staff ,fficers* (orei!n Service Staff Employees and %lien Employees. # 1romotions of foreign service staff officers and em loyees and alien em loyees shall !e made !y the Secretary, u on recommendation of the ?oard of the +oreign Service Administration in accordance with the romotion system. CHAPTER 12 ASSIGNMENTS AND TRANSFERS Secti ! &%. #otation Plan. # *he secretary shall esta!lish a system of assignments and transfers to ensure that all 5ualified officers and em loyees, e%ce t the em loyees in the non#career service, shall serve in di lomatic and consular esta!lishments in different regions of the world. *he assignment and transfer of ersonnel shall follow a regular rotation lan. +or ur oses of assignments, the home office shall !e considered a ost. All ersonnel shall !e availa!le for assignment to any ost. Secti ! &&. /nitial 1ome ,ffice #e$uirement. # (o +oreign Service )fficer, Staff )fficer or Em loyee shall !e assigned to any foreign service esta!lishment unless he has rendered continuous and satisfactory service in the home office for at least three 697 years. Secti ! &'. Tour of Duty. # 617 *he tour of duty of a +oreign Service )fficer at any ost shall !e four 6;7 years commencing on the date of his arrival at the ost, after which he shall !e transferred to another ost"

687 *he tour of duty of a +oreign Service Staff )fficer or Em loyee at any ost shall !e for a eriod of si% 6=7 years commencing on the date of his arrival at the ost, after which he shall !e transferred to another ost" 697 (o +oreign Service )fficer, Staff )fficer or Em loyee shall serve more than two 687 consecutive tours of duty a!road" 6;7 (o +oreign Service )fficer may serve more than four 6;7 consecutive years in the home office, e%ce t when designated as Secretary or 0ndersecretary. Secti ! &(. #etirement. # 617 Any +oreign Service )fficer, Staff )fficer or Em loyee who has reached the age of si%ty# five 6=<7 shall !e com ulsorily retired from the services unless his service is e%tended !y the 1resident in the interest of the service. Alien em loyees shall !e allowed to retire from the service at the same age as that rovided for em loyees of the governments of their res ective countries, rovided that retirement age shall not !e !eyond si%ty#five 6=<7 years. 687 +oreign Service )fficers reinstated to the service after retirement and who are assigned a!road as am!assadors or chief of mission, and ersons who are a ointed as am!assadors without reviously serving as Career +oreign Service )fficers shall !e considered automatically se arated from the +oreign Service u on termination of their assignment a!road as am!assadors or chief of missions. Secti ! &7. #esi!nation. # *he Secretary shall have authority to acce t the resignation of any +oreign Service )fficer, Staff Em loyee, Honorary Consul and Alien Em loyee. CHAPTER 1% PASSPORT Secti ! &8. Definition. # A 1hili ine ass ort is an official document of identity of 1hili citiAenshi of the holder issued for travel ur oses. ine

Secti ! &9. Persons Entitled. # )nly citiAens of the 1hili ines may !e issued ass orts. A minor may, u on his own a lication, !e issued a ass ort, e%ce t when his natural or legal guardian re5uests that the a lication !e denied. Secti ! '). %uthority to /ssue* #estrict* Withdra- or Cancel. # *he Secretary shall have authority to withhold the issuance or order the cancellation or restriction of ass orts u on lawful order of the court or when he deems it necessary in the interest of national security, u!lic safety or u!lic health, or in cases when a ass ort was secured through misre resentation or fraud. Secti ! '1. Period of 3alidity* E2tension and #ene-al. # *he original eriod of validity of a 1hili ine ass ort is two 687 years. ,t may !e e%tended for another two 687 years rovided that the a lication for e%tension is made !efore the e% iration of four 6;7 years from the date of original issue of the ass ort. However, the validity of a ass ort may !e limited for a certain eriod or for a definite ur ose. Secti ! '2. Supplementary #e!ulation. # *he Secretary may rescri!e su for the issuance, e%tension or amendment of all 3inds of ass orts. lementary regulations

Secti ! '%. %mendments. # 0 on a lication, an une% ired ass ort may !e amended to reflect the new civil status or new name or surname of the holder, or to add more ages, or to modify a condition or restriction therein. Secti ! '&. (ees. # *he Secretary shall rescri!e uniform fees for the issuance, e%tension and amendment of ass orts, and such other services that may !e rendered !y the >e artment relating to ass orts. However, no fee shall !e collected for the issuance of ass orts to government officials roceeding a!road in the discharge of their official duties attested !y regular travel orders or for those issued to immediate mem!ers of their families on official travel. CHAPTER 1& MISCE$$ANEOUS PROVISIONS Secti ! ''. )se of Savin!s. # *he Secretary is authoriAed to use any savings in the a ro riations for the >e artment for the ayment of2 6a7 e% enses for the evacuation or re atriation to the 1hili ines, when necessary due to an emergency, of mem!ers of the household of the ersonnel of any di lomatic or consular esta!lishment as well as the trans ortation of their ersonal effects" 6!7 actual return assage !y the most direct and economical means of trans ortation and the cost of shi ment of the household effects to Fanila of any officer or em loyee in the +oreign Service, including the immediate de endent mem!ers of his family, who resigns or is se arated from the service for cause" 6c7 the cost of re aring and trans orting the remains of an officer or em loyee who is a citiAen of the 1hili ines and the immediate mem!ers of his family who may die a!road or while in travel status" or 6d7 contingent and unforeseen e% enses that may arise in connection with the o eration of the +oreign Service. Secti ! '(. Pool of (orei!n Service ,fficers. # ,n all a ro riation acts roviding funds for the o eration and maintenance of the >e artment, the ositions of +oreign Service )fficers, including those who may serve in the home office, shall !e in a ool grou ed according to their classes with their salaries and allowances indicated in one lum sum for each class, leaving to the head of office the discretion to assign or commission those officers whenever their services may !e utiliAed to advantage, su!'ect to the limitations rovided !y law. Tit-e II FINANCE CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # ,t is the olicy of the State that the >e artment of +inance shall !e rimarily res onsi!le for the sound and efficient management of the financial resources of the &overnment, its su!divisions, agencies and instrumentalities. Secti ! 2. andate. # *he >e artment shall !e res onsi!le for the formulation, institutionaliAation and administration of fiscal olicies in coordination with other concerned su!divisions, agencies and instrumentalities of government. Foreover, the >e artment shall !e res onsi!le for the generation and management of the financial resources of the government, ensuring that said resources are generated and managed 'udiciously and in a manner su ortive of develo ment o!'ectives.

*he >e artment shall !e res onsi!le for the su ervision of the revenue o erations of all local government units, with the o!'ective of ma3ing these entities less de endent on funding from the national government. +inally, the >e artment shall !e res onsi!le for the review, a roval and management of all u!lic sector de!t, whether foreign or domestic, with the end in view of ensuring that all !orrowed funds are effectively utiliAed and all such o!ligations are rom tly serviced !y the government. Secti ! %. Po-ers and (unctions. # *o accom lish its goals, the >e artment shall2 617 +ormulate long#range, medium#term and annual lans covering the governmentEs resources mo!iliAation efforts, in coordination with other concerned government agencies, and involving all u!lic sector resources whether generated !y revenues and o erations, foreign and domestic !orrowing, sale or rivatiAation of cor orations or assets, or from other sources, and su ervise the im lementation of such lans" 687 +ormulate, institutionaliAe and administer fiscal and ta% olicies" 697 Su ervise, direct and control the collection of government revenues" 6;7 Act as custodian and manage all financial resources of the national government" 6<7 0nderta3e and su ervise activities related to the negotiation, servicing and restructuring of domestic and foreign de!t incurred or guaranteed !y the government and its instrumentalities, including ta3ing art in activities which affect the countryEs ca acity to service foreign de!t" 6=7 Review and coordinate the olicies, lans and rograms of government financial institutions and, thereafter, recommend to them courses of action consistent with national government fiscal olicies, lans and rograms" 677 Ensure the im lementation of necessary olicies and measures on local revenue administration" 6$7 Coordinate with other government agencies on matters concerning fiscal and monetary olicies, credit, economic develo ment, international finance, trade and investment" and 697 1erform such other owers and functions as may !e rovided !y law. Secti ! &. ,r!anizational Structure. # *he >e artment shall consist of the >e artment ro er com rising the )ffice of the Secretary, the )ffices of the 0ndersecretary and Assistant Secretaries, the Economic ,ntelligence and ,nvestigation ?ureau, the Service, the ) erations &rou s and their constituent units, and the Regional )ffices. CHAPTER 2 DEPARTMENT PROPER Secti ! '. ,ffice of the Secretary. # *he )ffice of the Secretary shall consist of the Secretary, his 0ndersecretary and their immediate staffs.

Secti ! (. )ndersecretaries. # *he Secretary shall !e assisted !y five 6<7 0ndersecretaries a ointed !y the 1resident u on the recommendation of the Secretary, each of whom shall head, res ectively, the 1olicy >evelo ment and Fanagement Services &rou mentioned in Section $ hereof and the four 6;7 ) erations &rou s mentioned in Section 9 hereof. Secti ! 7. %ssistant Secretaries. # *he Secretary shall also !e assisted !y five 6<7 Assistant Secretaries a ointed !y the 1resident u on the recommendation of the Secretary. *he res ective assignments of the Assistant Secretaries and the re orting rocedures to !e followed !y them shall !e determined !y the Secretary. CHAPTER % DEPARTMENT SERVICES Secti ! 8. Policy Development and ana!ement Services Group. # *he 1olicy >evelo ment and Fanagement Services &rou , which shall !e headed !y an 0ndersecretary, shall consist of the following2 617 1lanning and 1olicy Research )ffice" 687 Central Fanagement ,nformation )ffice" 697 Central Administration )ffice" 6;7 Central +inancial Fanagement )ffice" 6<7 1u!lic ,nformation and Assistance )ffice" 6=7 :egal )ffice" and 677 Regional Coordination )ffice. Secti ! 9. Plannin! and Policy #esearch ,ffice. # *he 1lanning and 1olicy Research )ffice shall have the following functions2 617 +ormulate long#range and annual ro'ections of revenue needs, cash osition and !orrowing ca acity of the &overnment as !asis for olicy decisions of the de artment" 687 Su ervise olicy research and develo ment on fiscal and ta% measures underta3en !y the o erating !ureaus and offices of the de artment" 697 Coordinate with other government agencies on olicy research and its im act on fiscal and ta% measures" and 6;7 1erform such other functions as may !e assigned !y the Secretary or his undersecretaries. Secti ! 1). Central ana!ement /nformation ,ffice. # *he Central Fanagement ,nformation )ffice shall have the following functions2

617 Esta!lish a Fanagement ,nformation System and su!#systems for monitoring and evaluation of de artment#wide rograms and ro'ects, including those that are e%ecuted !y o erating ?ureaus and )ffices" 687 +ormulate olicies, lans and rocedures for data control and systems management" 697 Act as the central re ository of e%isting and future com uter files" and 6;7 1erform such other a undersecretaries. ro riate functions as may !e assigned !y the Secretary or his

Secti ! 11. Central %dministration ,ffice. # *he Central Administration )ffice shall have the following functions2 617 Su ervise >e artment#wide services relating to internal cash management, ersonnel administration, ro erty and su lies rocurement, and custody" and maintenance of central files, and corres onding re orting systems" 687 Assist in the formulation of olicies and guidelines on the management of human and hysical resources and general house3ee ing activities for uniformity and standardiAation" 697 Serve as a center for the esta!lishment and eriodic evaluation of management o eration systems, internal control and wor3 out uts to determine >e artment#wide erformance efficiency" 6;7 >esign and develo training olicies and guidelines, administer and evaluate training rograms and in coordination with e%ternal training institutions, screen and recommend to the Secretary the artici ation of >e artment ersonnel in training rograms, seminars and conferences in the country or a!road" 6<7 Ensure that >e artment#wide activities and efforts are focused towards a central direction as em!odied in the national socio#economic develo ment lans" and 6=7 1erform such other a 0ndersecretaries. Secti ! 12. Central (inancial have the following functions2 ro riate functions as may !e assigned !y the >e artment or his

ana!ement ,ffice. # *he Central +inancial Fanagement )ffice shall

617 Su ervise >e artment#wide activities relating to !udget re aration and management, de artment accounting, and internal audit" 687 1erform such other a ro riate functions as may !e assigned !y the >e artment or his Secretary or his 0ndersecretaries. Secti ! 1%. Public /nformation and %ssistance ,ffice. # *he 1u!lic ,nformation and Assistance )ffice shall have the following functions2 617 1rovide olicy direction and guidance to the o erating ?ureaus and )ffices of the >e artment for the ro er dissemination of a ro riate information or >e artment# wide rograms, o erations and activities"

687 1rovide the o erating ?ureaus and )ffices with the general framewor3 for rendering direct assistance to the general u!lic" 697 Receive com laints and grievances from the general u!lic" re are referrals to concerned ?ureaus and )ffices and monitor res onses or actions ta3en" and 6;7 1erform such other a ro riate functions as may !e assigned !y the Secretary or 0ndersecretary for 1olicy >evelo ment and Fanagement Service. Secti ! 1&. "e!al ,ffice. # *he :egal )ffice shall have the following functions2 617 1re are draft o inions or rulings for the signature of the >e artment Secretary or his 0ndersecretaries on matters elevated to it !y the ?ureaus and )ffices of the >e artment" 687 Conduct legal researches on all matters referred to it !y the Secretary or his 0ndersecretaries" and 697 1erform such other a 0ndersecretaries. ro riate functions as may !e assigned !y the Secretary or his

Secti ! 1'. #e!ional Coordination ,ffice. # *he function of the Regional Coordination )ffice is to coordinate the o erations of the Regional )ffices. CHAPTER & "UREAUS Secti ! 1(. ,perations Groups. # *he ) eration &rou s, each of which shall !e headed !y an 0ndersecretary, shall consist of the following2 617 Revenue ) erations &rou , com osed of the following2 6a7 ?ureau of ,nternal Revenue" 6!7 ?ureau of Customs" 6c7 Revenue Service" 6d7 :egal Service" 687 >omestic ) erations &rou , com osed of the following2 6a7 ?ureau of *reasury" 6!7 ?ureau of :ocal &overnment +inance" 6c7 +inancial and +iscal 1olicy and 1lanning )ffice" 697 ,nternational +inance &rou , com osed of the following2 6a7 ,nternational +inance 1olicy )ffice"

6!7 ,nternational +inance ) erations )ffice. Secti ! 17. Economic /ntelli!ence and /nvesti!ation +ureau. # *he Economic ,ntelligence and ,nvestigation ?ureau, which shall !e headed !y and su!'ect to the su ervision and control of the Commissioner, who shall in turn !e a ointed !y the 1resident u on the recommendation of the Secretary, shall have the following functions2 617 Receive, gather and evaluate intelligence re orts and information and evidence on the nature, modes and e%tent of illegal activities affecting the national economy, such as, !ut not limited to, economic sa!otage, smuggling, ta% evasion, and dollar#salting, to investigate the same and aid in the rosecution of cases" 687 Coordinate with e%ternal domestic or foreign agencies in monitoring the financial and economic activities of ersons or entities, which may adversely affect national financial interest with the goal of regulating, controlling or reventing said activities" 697 1rovide all intelligence units of o erating ?ureaus or )ffices under the >e artment with the general framewor3 and guidelines for the ro er conduct of intelligence and investigation wor3" 6;7 Su ervise, monitor and coordinate all the intelligence and investigation o erations of the o erating ?ureaus and )ffices under the >e artment" 6<7 ,nvestigate, hear and file, u on clearance !y the Secretary, anti#graft and corru tion cases against ersonnel of the >e artment and its constituent units" and 6=7 1erform such other a 0ndersecretaries. ro riate functions as may !e assigned !y the Secretary or his

Secti ! 18. The +ureau of /nternal #evenue.9 # *he ?ureau of ,nternal Revenue, which shall !e headed !y and su!'ect to the su ervision and control of the Commissioner of ,nternal Revenue who shall !e a ointed !y the 1resident u on the recommendation of the Secretary shall have the following functions2 617 Assess and collect all ta%es, fees and charges and account for all revenues collected" 687 E%ercise duly delegated olice owers for the ro er erformance of its functions and duties" 697 1revent and rosecute ta% evasions and all other illegal economic activities" 6;7 E%ercise su ervision and control over its constituent and su!ordinate units" and 6<7 1erform such other functions as may !e rovided !y law. *he Commissioner of ,nternal Revenue, with the a roval of the Secretary of +inance, shall draft and re are the necessary rules and regulation as may !e needed to delineate the authority and res onsi!ility of the various grou s and services of the ?ureau.

Secti ! 19. Deputy Commissioners. # *he Commissioner shall !e assisted !y two 687 >e uty Commissioners. Each >e uty Commissioner shall su ervise one 617 of the grou s defined in Sec. 8B !elow, to !e assigned !y the Commissioner. Secti ! 2). Composition of the +ureau of /nternal #evenue. # *he ?ureau of ,nternal Revenue shall !e com osed of the following2 617 Assessment and Collection &rou , headed and su ervised !y a >e uty Commissioner and com osed of the following services, each of which shall !e headed !y a Revenue Chief" 687 :egal and ,nternal Administration &rou , headed and su ervised !y a >e uty Commissioner and com osed of the following services, each of which shall !e headed !y a Service Chief. Secti ! 21. %ppointment by the President. # *he aforementioned 0ndersecretaries shall !e a ointed !y the 1resident u on recommendation of the Secretary. Secti ! 22. ana!ement and Technical Staff . # *he Commissioner and the two 687 >e uty Commissioners shall each have a Fanagement and *echnical Staff to render technical and secretarial su ort services. Secti ! 2%. +ureau of Customs. # *he ?ureau of Customs which shall !e headed and su!'ect to the management and control of the Commissioner of Customs, who shall !e a ointed !y the 1resident u on the recommendation of the Secretary and hereinafter referred to as Commissioner, shall have the following functions2 617 Collect customs duties, ta%es and the corres onding fees, charges and enalties" 687 Account for all customs revenues collected" 697 E%ercise olice authority for the enforcement of tariff and customs laws" 6;7 1revent and su of entry" ress smuggling, ilferage and all other economic frauds within all orts

6<7 Su ervise and control e% orts, im orts, foreign mails, and the clearance of vessels and aircrafts in all orts of entry" 6=7 Administer all legal re5uirements that are a ro riate "

677 1revent and rosecute smuggling and other illegal activities in all orts under its 'urisdiction" 6$7 E%ercise su ervision and control over its constituent units" 697 1erform such other functions as may !e rovided !y law. Secti ! 2&. Composition. # *he ?ureau of Customs shall !e com osed of the following2

617 Customs Revenue Collection Fonitoring &rou , headed and su ervised !y a >e uty Commissioner and com osed of :egal, +inancial and Collection Services, each of which shall !e headed !y a service chief" 687 Customs Assessment and ) erations Coordinating &rou , headed and su ervised !y a >e uty Commissioner and com osed of the ,m orts and Assessment and 1orts ) erations Services, each of which shall !e headed !y a Service Chief" and 697 ,ntelligence and Enforcement &rou , headed and su ervised !y a >e uty Commissioner and com osed of the ,ntelligence and ,nvestigation Service and the Enforcement and Security Service. Secti ! 2'. %ppointment by President. # *he aforementioned >e uty and Assistant Commissioners shall !e a ointed !y the 1resident u on the recommendation of the Commissioner of Customs in 3ee ing with the intent of E%ecutive )rder (o. 9. Secti ! 2(. Definition of (unctions. # 617 Customs Revenue Collection Fonitoring &rou . *he Customs Revenue Collection Fonitoring &rou shall have the following functions2 6a7 Faintain an u dated accounting for all Customs revenues collected" 6!7 Administer legal re5uirements of the ?ureau of Customs to include litigation and rosecution of cases" 6c7 1rovide the Commissioner of Customs with accurate and timely information and analysis of collection statistics" 6d7 Conduct continuing audit of li5uidated entries and outstanding !onds" and 6e7 1erform such other a ro riate functions consistent with the assigned tas3s of the grou and others which may !e given !y the Commissioner" 687 Customs Assessment and ) erations Coordinating &rou . *he Customs Assessment and ) erations Coordinating &rou shall have the following functions2 6a7 Regularly gather and u on a roval of the Commissioner, u!lish values of commodities im orted into the 1hili ines, such values !eing the !ases for the com utation of customs duties and other revenues" 6!7 Fonitor for decision#ma3ing ur oses the im lementation of rules and regulations governing assessment, warehousing and su ort o erations" 6c7 Fonitor auction and dis osal activities together with ortHair ort o erations related activities for decision#ma3ing ur oses" and 6d7 1erform other a ro riate functions consistent with the assigned tas3s of the &rou which may !e given !y the Commissioner.

697 ,ntelligence and Enforcement &rou . *he ,ntelligence and Enforcement &rou shall have the following functions2 6a7 Regularly and consistently gather intelligence information related to customs and economic activities for ro er dissemination to the Customs offices concerned" 6!7 Conduct internal in5uiry and investigation which may serve as the !asis for rosecution" 6c7 E%ercise olice authority conferred !y the *ariff and Customs Code or other laws which include the enforcement of seiAures and forfeitures and the im osition of enalties and fines" and 6d7 1erform such other a ro riate functions consistent with the assigned tas3s of the &rou and others which may !e given !y the Commissioner. Secti ! 27. The Collection Districts. # 617 *he ?ureau shall have thirteen 6197 Collection >istricts under the direct control and su ervision of the Commissioner. Each Collection >istrict shall have as many su! orts as necessary to ma%imiAe revenue collection and the revention of smuggling and fraud against customs. Each Collection >istrict shall !e headed and su ervised !y a >istrict Collector while each su! ort will !e headed !y a 1ort Collector. *he Collectors shall have the following functions2 6a7 Collect duties, ta%es, fees, charges, enalties and fines accruing to the &overnment under the *ariff and Customs Code and related laws" 6!7 E%ercise olice owers conferred to himHher !y the *ariff and Customs Code or other laws which include the enforcement of enalties and fines" 6c7 E%amine goods, assess duties, fees, charges, enalties and fines accruing to the &overnment under the *ariff and Customs Code and other related laws" 6d7 Su ervise the entrance and clearance of vessels and aircrafts engaged in foreign commerce" 6e7 Su ervise and control handling of foreign mails arriving in the 1hili ines" and

6f7 Su ervise all im ort and e% ort cargoes landed andHor stored in iers, air orts, terminal facilities, yards and freight stations" 687 1erform such other a ro riate functions consistent with the assigned tas3 of the >istrictH1ort Collectors and those which may !e given !y the Commissioner. Secti ! 28. ana!ement and Technical Staff . # *he Commissioner and three 697 >e uty Commissioners, and the Assistant Commissioner shall each have a Fanagement and *echnical Staff, which shall !e limited to a s ecific num!er of ersonnel as determined !y the Secretary, to render technical and secretarial su ort services.

Secti ! 29. +ureau of Treasury. # *he ?ureau of *reasury, which shall !e headed !y and su!'ect to the su ervision and control of the (ational *reasurer who shall !e a ointed !y the 1resident u on the recommendation of the Secretary, shall have the following functions2 617 Act as the rinci al custodian of all national government funds" 687 Assist in the formulation of, and e%ecute, olicies on financial management, u!lic !orrowings and ca ital mar3et develo ment" 697 +ormulate, in coordination with government agencies concerned, annual ro'ections of revenue needs, cash osition and !orrowing ca acity of the government" 6;7 Faintain accounts of the financial transactions of all national secretaries, !ureaus, agencies and instrumentalities" 6<7 Fanage the cash resources of the &overnment and erform !an3ing functions in relation to recei ts and dis!ursements of national funds" 6=7 Fanage, control and service u!lic de!ts from domestic or foreign sources" 677 E%ercise line su ervision over its Regional )fficesHfield units within >e artment Regional Administrative Coordination )ffices" and 6$7 1erform such other a ro riate functions as may !e assigned !y the Secretary or 0ndersecretary for >omestic ) erations. Secti ! %). Composition. # *he ?ureau of *reasury shall !e com osed of the following2 617 ,nternal Affairs Su!#Sector under the direct su ervision and control of an Assistant (ational *reasurer and com osed of the following2 6a7 Administrative Service" 6!7 +inancial and Fanagement Service" 6c7 Fanagement ,nformation and >ata Systems Service" 6d7 1lanning and 1olicy Research >ivision" 6e7 1u!lic ,nformation and Assistance >ivision" and 6f7 :egal >ivision. 687 (ational &overnment Affairs Su!#Sector under the direct su ervision and control of an Assistant (ational *reasurer and com osed of the following2 6a7 1u!lic >e!t Fanagement Service" 6!7 >e!t Clearing Service"

6c7 (ational Cash Accounts Service" 6d7 *reasury ?an3ing Service" 6e7 ) erations 1lanning Service" 6f7 Regional )ffices which shall have under their su ervision all rovincial offices and shall !e under the direct control and su ervision of the (ational *reasurer. Secti ! %1. %ssistance to National Treasurer. # *he (ational *reasurer shall !e directly assisted !y the2 617 Fanagement and *echnical Staff, which shall erform the functions of rendering technical and secretarial su ort services" 687 ,ntelligence and ,nvestigation )ffice, which shall erform the following functions2 6a7 Fonitor, gather and evaluate re orts on financial and economic activities of ersons or entities, foreign and domestic, which may adversely affect national financial interests" 6!7 1erform such other a *reasurer. ro riate functions as may !e assigned !y the (ational

Secti ! %2. %ppointment by the President. # *he aforementioned two 687 Assistant (ational *reasurers shall !e a ointed !y the 1resident u on the recommendation of the Secretary.

la-phi0.net

Secti ! %%. +ureau of "ocal Government (inance. # *he ?ureau of :ocal &overnment +inance, which shall !e headed !y and su!'ect to the su ervision and control of an E%ecutive >irector who shall !e a ointed !y the 1resident and u on the recommendation of the Secretary, shall have the following functions2 617 Assist in the formulation and im lementation of olicies on local government revenue administration and fund management" 687 E%ercise administrative and technical su ervision and coordination over the treasury and assessment o erations of local governments" 697 >evelo and romote lans and rograms for the im rovement of resource management systems, collection enforcement mechanisms, and credit utiliAation schemes at the local levels" 6;7 1rovide consultative services and technical assistance to the local governments and the general u!lic on local ta%ation, real ro erty assessment and other related matters" 6<7 E%ercise line su ervision over its Regional )fficesHfield units within the >e artment Regional Administrative Coordination )ffice and the :ocal *reasury and Assessment Services" and 6=7 1erform such other a ro riate functions as may !e assigned !y the Secretary or 0ndersecretary for >omestic ) erations.

Secti ! %&. Composition. # *he ?ureau of :ocal &overnment +inance shall !e com osed of the following2 617 ,nternal Administration )ffice" 687 1olicy Enforcement and S ecial 1ro'ects &rou " 697 +ield ) erations E%amination &rou Secti ! %'. %ssistance to the E2ecutive Director. # *he E%ecutive >irector shall !e directly assisted !y the2 617 Fanagement and *echnical Staff, which shall erform the functions of rendering technical and secretarial su ort services" 687 ,ntelligence and ,nvestigation )ffice, which shall erform the following functions2 6a7 Fonitor, gather and evaluate re orts on financial and economic activities of ersons or entities, foreign and domestic, which may adversely affect national financial interests" 6!7 1erform such other a ro riate functions as may !e assigned !y the >irector.

Secti ! %(. (inancial and (iscal Policy Plannin!. # *he +inancial and +iscal 1olicy and 1lanning )ffice, which shall !e headed !y a >irector who shall !e a ointed !y the 1resident u on the recommendation of the Secretary, shall have the following functions2 617 Coordinate, in consultation with the a ro riate government agencies, the formulation of integrated financial and fiscal lans of the national &overnment and the local government, consistent with the national develo ment lan" 687 Fonitor and review the im lementation of such financial and fiscal lans in relation to recent develo ments in the economy" 697 Coordinate with other government agencies involved in financial, fiscal and economic lanning and olicy formulation" 6;7 0nderta3e s ecial studies and research ro'ects on financial and fiscal olicies" 6<7 Coordinate the formulation and assessment of >e artment olicies affecting domestic finance o erations with the different !ureaus and offices of the >e artment" and 6=7 1erform such other a ro riate functions as may !e assigned !y the Secretary, the 0ndersecretary for >omestic ) erations or the Assistant Secretary directly assisting the 0ndersecretary for >omestic ) erations. Secti ! %7. ,nternational +inance 1olicy )ffice. # *he ,nternational +inance 1olicy )ffice, headed !y a >irector who shall !e a ointed !y the 1resident u on recommendation of the Secretary, shall have the following functions2

617 Fonitor and analyAe international monetary, financial and trade develo ments and their im lications for the 1hili ine economy and evolve ro osals for a ro riate res onse to said events" 687 1rovide in uts into the formulation of fiscal, monetary, financial, foreign trade and e%change rate olicies as well as !udgetary and !alance of ayments rogramming in line with domestic economic goals and the e%ternal financial and trade environment" 697 +ormulate and monitor a foreign financing rogram on the !asis of domestic re5uirements and trends in develo ment assistance and other ca ital flows" 6;7 ,nteract with multilateral, regional and other international organiAations and formulate in coordination with a ro riate agencies 1hili ine ositions on institutional and olicy issues ta3en u in these !odies" 6<7 Coordinate with other a ro riate secretaries and government agencies in areas concerning international finance and foreign trade" and 6=7 1erform such other a ro riate functions as may !e assigned !y the Secretary or 0ndersecretary for ,nternational +inance. Secti ! %8. /nternational (inance ,perations ,ffice. # *he ,nternational +inance ) erations )ffice, headed !y a >irector, shall have the following functions2 617 Assist in the formulation of olicies and guidelines for foreign !orrowings including rovision of government guarantees, and monitor com liance with these olicies" 687 1rovide su ort wor3 for international financial negotiations and artici ate in such negotiations with multilateral financial institutions, !ilateral creditors and donors and commercial creditors. *his includes negotiations for new assistance 6grants and loans7 as well as for de!t rescheduling" 697 Fonitor im lementation of ro'ects funded !y foreign assistance and credits, utiliAation of such e%ternal resources and com liance with commitments as well as de!t re ayment o!ligations" 6;7 Assist in the structuring and conduct of international conferences and meetings of the >e artmentEs officers 6the term 4officer4 as used in this E%ecutive )rder is intended to !e within the meaning of the term 4official4 as used in the +reedom Constitution7 with foreign dignitaries or organiAations" and 6<7 1erform such other a ro riate functions as may !e assigned !y the Secretary or 0ndersecretary for ,nternational +inance. Secti ! %9. %dministrative Staff . # *he 0ndersecretary for ,nternational +inance shall !e directly assisted !y a +inance Attache >ivision and Administrative Staff. CHAPTER ' REGIONA$ OFFICES

Secti ! &). #e!ional ,ffices. # *here shall !e a Regional )ffice in each region. Each Regional )ffice shall !e headed !y a Regional >irector. A Regional )ffice shall have, within its administrative region, the following functions2 617 ,m lement laws, rules and regulations, olicies, lans, rograms and ro'ects of the >e artment" 687 1rovide efficient and effective services to the eo le" 697 Coordinate with regional offices of other de artments, offices and agencies in the region" 6;7 Coordinate with local government units" and 6<7 1erform such other functions as may !e rovided !y law. Secti ! &1. D,(&#%C,. # +or ur oses of achieving ma%imum utiliAation of resources, management coordination and administrative integration at the regional levels, there is here!y created a >e artment of +inance Regional Administrative Coordination )ffice 6>)+#RAC)7 in each of the administrative regions of the country, to !e headed !y a Regional E%ecutive >irector who shall re ort directly to the 0ndersecretary for ,nternal Administration. *he Secretary shall define the a ro riate functions to !e delegated to the >)+#RAC). *he Regional )ffices of each o erating ?ureau under the >e artment, however, shall remain under the technical su ervision and control of the head of the ?ureau to which they !elong. +or monitoring ur oses, however, each Regional )ffice shall su!mit o erational re orts to the >)+#RAC) as re5uired. CHAPTER ( ATTACHED AGENCIES Secti ! &2. %ttached %!encies. # *he following agencies are here!y attached to the >e artment2 617 1hili 687 1hili ine Cro ,nsurance Cor oration" ine E% ort and +oreign :oan &uarantee Cor oration"

697 ,nsurance Commission" 6;7 (ational *a% Research Center" 6<7 Central ?oard of Assessment A 6=7 +iscal ,ncentives Review ?oard. Secti ! &%. (unctions of the %ttached %!encies. # *he agencies attached to the >e artment shall continue to o erate and function in accordance with the res ective charters, laws, or orders creating them, e%ce t as otherwise rovided in this Code. Tit-e III eals" and

,USTICE CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # ,t is the declared olicy of the State to rovide the government with a rinci al law agency which shall !e !oth its legal counsel and rosecution arm" administer the criminal 'ustice system in accordance with the acce ted rocesses thereof consisting in the investigation of the crimes, rosecution of offenders and administration of the correctional system" im lement the laws on the admission and stay of aliens, citiAenshi , land titling system, and settlement of land ro!lems involving small landowners and mem!ers of indigenous cultural minorities" and rovide free legal services to indigent mem!ers of the society. Secti ! 2. andate. # *he >e artment shall carry out the olicy declared in the receding section.

Secti ! %. Po-ers and (unctions. # *o accom lish its mandate, the >e artment shall have the following owers and functions2 617 Act as rinci al law agency of the government and as legal counsel and re resentative thereof, whenever so re5uired" 687 ,nvestigate the commission of crimes, rosecute offenders and administer the ro!ation and correction system" 697 E%tend free legal assistanceHre resentation to indigents and oor litigants in criminal cases and non#commercial civil dis utes" 6;7 1reserve the integrity of land titles through ro er registration" 6<7 ,nvestigate and ar!itrate untitled land dis utes involving small landowners and mem!ers of indigenous cultural communities" 6=7 1rovide immigration and naturaliAation regulatory services and im lement the laws governing citiAenshi and the admission and stay of aliens" 677 1rovide legal services to the national government and its functionaries, including government#owned or controlled cor orations and their su!sidiaries" and 6$7 1erform such other functions as may !e rovided !y law. Secti ! &. ,r!anizational Structure. # *he >e artment shall consist of the following constituent units2 617 >e artment ro er" 687 )ffice of the &overnment Cor orate Counsel" 697 (ational ?ureau of ,nvestigation" 6;7 1u!lic AttorneyEs )ffice"

6<7 ?oard of 1ardons and 1arole" 6=7 1arole and 1ro!ation Administration" 677 ?ureau of Corrections" 6$7 :and Registration Authority" 697 Commission on the Settlement of :and 1ro!lems. CHAPTER 2 DEPARTMENT PROPER Secti ! '. The Department Proper. # *he >e artment 1ro er shall !e com osed of the )ffice of the Secretary and the 0ndersecretaries, *echnical and Administrative Service, +inancial Fanagement Service, :egal Staff and the )ffice of the Chief State 1rosecutor. Secti ! (. )ndersecretaries. # *he Secretary shall !e assisted !y three 697 0ndersecretaries. *he Secretary is here!y authoriAed to delineate and assign the res ective functional areas of res onsi!ility of the 0ndersecretaries, rovided, that such res onsi!ility shall !e with res ect to the mandate and o!'ectives of the >e artment" and rovided, further, that no 0ndersecretary shall !e assigned rimarily administrative res onsi!ilities. Within his functional area of res onsi!ility, an 0ndersecretary shall have the following functions2 617 Advise and assist the Secretary in the formulation and im lementation of the >e artmentEs olicies, lans, rograms and ro'ects" 687 )versee the o erational activities of the >e artment" 697 Coordinate the rograms and ro'ects of the >e artment for efficient and effective administration" 6;7 Serve as de uty for the Secretary" 6<7 1erform, when so designated, the owers and functions of the Secretary, during the latterEs a!sence or inca acity" and 6=7 1erform such other functions as may !e rovided !y law or assigned !y the Secretary to romote efficiency and effectiveness in the delivery of frontline services. Secti ! 7. "e!al Staff . # *he :egal Staff shall have the following functions2 617 Assist the Secretary in the erformance of his duties as Attorney &eneral of the 1hili ines and as e%#officio legal adviser of government#owned or controlled cor orations or enter rises and their su!sidiaries" 687 1re are and finally act for and in !ehalf of the Secretary on all 5ueries andHor re5uests for legal advice or guidance coming from rivate arties and minor officials and em loyees of the government"

697 Faintain and su ervise the o eration of the >e artment :aw :i!rary as well as its ersonnel" and 6;7 1erform such other functions as are now or may hereafter !e rovided !y law or assigned !y the Secretary. Secti ! 8. ,ffice of the Chief State Prosecutor. # *he )ffice of the Chief State 1rosecutor shall have the following functions2 617 Assist the Secretary in the erformance of owers and functions of the >e artment relative to its role as the rosecution arm of the government" 687 ,m lement the rovisions of laws, e%ecutive orders and rules, and carry out the olicies, lans, rograms and ro'ects of the >e artment relative to the investigation and rosecution of criminal cases" 697 Assist the Secretary in e%ercising su ervision and control over the (ational 1rosecution Service as constituted under 1. >. (o. 187< andHor otherwise hereinafter rovided" and 6;7 1erform such other functions as may !e rovided !y law or assigned !y the Secretary. Secti ! 9. Provincial6City Prosecution ,ffices. # *he 1rovincial and City +iscalEs )ffice esta!lished in each of the rovinces and cities ursuant to law, is retained and renamed 1rovincialHCity 1rosecution )ffice. ,t shall !e headed !y a 1rovincial 1rosecutor or City 1rosecutor, as the case may !e, assisted !y such num!er of Assistant 1rovincialHCity 1rosecutors as fi%ed andHor authoriAed !y law. *he osition titles of 1rovincial and City +iscal and of Assistant 1rovincial and City +iscal are here!y a!olished. All rovincialHcity rosecution offices shall continue to discharge their functions under e%isting law. All rovincial and city rosecutors and their assistants shall !e a recommendation of the Secretary.
la-phi0.net

ointed !y the 1resident u on the

CHAPTER % OFFICE OF THE GOVERNMENT CORPORATE COUNSE$ Secti ! 1). ,ffice of the Government Corporate Counsel. # *he )ffice of the &overnment Cor orate Counsel 6)&CC7 shall act as the rinci al law office of all government#owned or controlled cor orations, their su!sidiaries, other cor orate off#s rings and government ac5uired asset cor orations and shall e%ercise control and su ervision over all legal de artments or divisions maintained se arately and such owers and functions as are now or may hereafter !e rovided !y law. ,n the e%ercise of such control and su ervision, the &overnment Cor orate Counsel shall romulgate rules and regulations to effectively im lement the o!'ectives of the )ffice. *he )&CC is authoriAed to receive the attorneyEs fees ad'udged in favor of their client government# owned or controlled cor orations, their su!sidiariesHother cor orate offs rings and government ac5uired asset cor orations. *hese attorneyEs fees shall accrue to a s ecial fund of the )&CC, and shall !e de osited in an authoriAed government de ository as a trust lia!ility and shall !e made availa!le for e% enditure without the need for a Cash >is!ursement Ceiling, for ur oses of u grading facilities and e5ui ment, granting of em loyeesE incentive ay and other !enefits, and

defraying such other incentive e% enses not rovided for in the &eneral A !e determined !y the &overnment Cor orate Counsel. CHAPTER & NATIONA$ "UREAU OF INVESTIGATION

ro riations Act as may

Secti ! 11. National +ureau of /nvesti!ation. # *he (ational ?ureau of ,nvestigation 6(?,7 with all its duly authoriAed constituent units including its regional and district offices and reha!ilitation center, shall continue to erform the owers and functions as are now vested in it under the e%isting law and such additional functions as may hereafter !e rovided !y law. Secti ! 12. The N+/ Director and ,ther ,fficials. # *he (?, shall !e headed !y a >irector assisted !y an Assistant >irector and five 6<7 >e uty >irectors, for ,ntelligence, ,nvestigation, *echnical, Administrative and Com troller Services, res ectively. *he (?, is also authoriAed to continue the o eration and maintenance of a Regional )ffice in each of the twelve 6187 administrative regions of the country, to !e headed !y a Regional >irector and assisted !y an Assistant Regional >irector. Secti ! 1%. /nternal ,r!anization and %ssi!nment of Personnel. # Su!'ect to rior a roval of the Secretary and to the limitations rescri!ed in the &eneral A ro riations Act for ersonnel services e% enditures in the (?,, the (?, director may !e authoriAed to determine the internal organiAation of the constituent units of the ?ureau including the com osition and siAe thereof and the num!er, classes and level of ositions 6!elow the ran3 of residential a ointees7 to !e assigned or allocated thereto. CHAPTER ' PU"$IC ATTORNEY2S OFFICE Secti ! 1&. Public %ttorney's ,ffice :P%,;. # *he CitiAenEs :egal Assistance )ffice 6C:A)7 is renamed 1u!lic AttorneyEs )ffice 61A)7. ,t shall e%ercise the owers and functions as are now rovided !y law for the CitiAenEs :egal Assistance )ffice or may hereafter !e rovided !y law. Secti ! 1'. ,r!anizational Structure. # *he 1A) shall consist of the following constituent units2 617 )ffice of the Chief 1u!lic Attorney and two 687 >e uty Chief 1u!lic Attorneys" 687 +ive 6<7 line divisions in the Central )ffice, namely2 Administrative, +inancial and Fanagement, S ecial and A ealed Cases, :egal Research and Statistics, and +ield Services >ivisions" and 697 Regional and 1rovincialH>istrict )ffices. Secti ! 1(. The Chief Public %ttorney and ,ther P%, ,fficials. # *he 1A) shall !e headed !y a Chief 1u!lic Attorney and shall !e assisted !y two 687 >e uty Chief 1u!lic Attorneys. Each 1A) Regional )ffice esta!lished in each of the administrative regions of the country shall !e headed !y a Regional 1u!lic Attorney who shall !e assisted !y an Assistant Regional 1u!lic Attorney. *he Chief 1u!lic Attorney, >e uty Chief 1u!lic Attorneys, Regional 1u!lic Attorneys and Assistant Regional 1u!lic Attorneys shall !e a ointed !y the 1resident u on the recommendation of the Secretary.

CHAPTER ( "OARD OF PARDONS AND PARO$E Secti ! 17. +oard of Pardons and Parole. # *he ?oard of 1ardons and 1arole shall continue to discharge the owers and functions as rovided in e%isting law and such additional functions as may !e rovided !y law. Secti ! 18. +oard Composition. # *he ?oard shall !e com osed of the Secretary as Chairman and si% 6=7 mem!ers consisting of2 *he Administrator of the 1arole and 1ro!ation Administration as e%# officio mem!er, a sociologist, a clergyman, an educator, a erson with training and e% erience in correction wor3, and a mem!er of the 1hili ine ?ar" 1rovided, that one of them is a woman. *he mem!ers of the ?oard shall !e a ointed !y the 1resident u on the recommendation of the Secretary and shall hold office for a term of si% 6=7 years, without re'udice to rea ointment. ,n case of vacancy !y reason of death, inca acity, resignation or removal of any of the ?oard mem!ers, the Secretary shall have the authority to designate a tem orary mem!er ossessing the 5ualifications of his redecessor and to serve out his une% ired term or until the 1resident shall have a ointed a regular mem!er to fill the vacancy. Secti ! 19. E2ecutive Director and +oard Secretary7 Support Staff . # ,n the erformance of his duties as Chairman of the ?oard of 1ardons and 1arole, the Secretary shall !e assisted !y a staff headed !y the E%ecutive >irector who is at the same time the Secretary of the ?oard. *he E%ecutive >irector shall !e a ointed !y the 1resident u on the recommendation of the Secretary. *he E%ecutive >irector shall receive a monthly salary of thirteen thousand five hundred esos. *he ?oard Secretary shall re are and 3ee the minutes of all the !oard sessions in a !oo3 of records 3e t for the ur ose, as well as all the resolutions and recommendations of the ?oard on all actions involving arole, ardons and e%ecutive clemency to the 1resident" authenticate andHor attest all minutes, resolutions and recommendations of the ?oard" re are and serve all notices of !oard meetings or sessions to the mem!ers of the ?oard" re are an annual re ort of all resolutions and recommendations for arole or e%ecutive clemency and other re orts that the >e artment may re5uire. He shall also erform such other functions as the ?oard may from time to time assign to him. Secti ! 2). +oard eetin!s. # *he ?oard shall meet regularly every wee3, or as the ?oard may direct, or u on call !y the ChairmanHSecretary. *he mem!ers shall act only as a ?oard, and every decision of the ma'ority shall !e valid as an act of the ?oard, rovided, that the ?oard may direct a ?oard mem!er to re are and su!mit a re ort involving any a lication for arole, ardon or any re5uest for e%ecutive clemency for a ro riate action !y the ?oard. Secti ! 21. +oard #ules and #e!ulations. # *he ?oard is here!y authoriAed to esta!lish and rescri!e, su!'ect to the a roval of the Secretary, rules and regulations to govern the roceedings of the ?oard. Secti ! 22. /ndeterminate Sentence "a-. # *he rovisions of Act (o. ;1B9, otherwise 3nown as the ,ndeterminate Sentence :aw, as amended, shall continue to a ly e%ce t as otherwise amended, modified or re ealed !y this Code. CHAPTER 7 PARO$E AND PRO"ATION ADMINISTRATION

Secti ! 2%. Parole and Probation %dministration. # *he 1arole and 1ro!ation Administration hereinafter referred to as the Administration shall have the following functions2 617 Administer the arole and ro!ation system" 687 E%ercise general su ervision over all arolees and ro!ationers" 697 1romote the correction and reha!ilitation of offenders" and 6;7 Such other functions as may hereafter !e rovided !y law. Secti ! 2&. Structural and Personnel ,r!anization. # 617 *he Administration shall !e headed !y an Administrator who shall !e immediately assisted !y a >e uty Administrator. *he Administrator and >e uty Administrator shall !e a ointed !y the 1resident u on the recommendation of the Secretary. *he a ointees to the ositions of Administrator and >e uty Administrator must !e holders of a doctoralHmasteral degree in u!lic administration andHor lawyers with at least one year of su ervisory e% erience in ro!ation wor3. 687 *he Administration shall have a *echnical Service under the )ffice of the Administrator which shall serve as the service arm of the ?oard of 1ardons and 1arole in the su ervision of arolees and ardonees. *he ?oard and the Administration shall 'ointly determine the staff com lement of the *echnical Service. 697 *he Administration shall li3ewise continue to o erate and maintain a Regional )ffice in each of the administrative regions including the (ational Ca ital Region and also a ro!ation and arole office in every rovince and city of the country. *he Regional, 1rovincial and City )ffices of the Administration shall each !e headed !y a Regional 1ro!ation and 1arole )fficer, 1rovincialHCity 1ro!ation and 1arole )fficer, res ectively, all of whom shall !e a ointed !y the Secretary u on the recommendation of the Administrator. *he 1rovincial or City 1ro!ation and 1arole )fficer shall !e assisted !y such field assistants and su!ordinate ersonnel as may !e necessary to ena!le them to carry out their duties and functions. +or this ur ose, the Administrator may a oint citiAens of good re ute and ro!ity to act as 1ro!ation and 1arole Aides who shall not receive any regular com ensation for their services e%ce t reasona!le travel allowance. Secti ! 2'. %pplicability of P.D. No. <=>* as amended. # *he 1rovisions of 1.>. 9=$ otherwise 3nown as the 1ro!ation :aw of 197= shall continue to govern the o eration and management of the Administration including the enumeration of functions and 5ualifications for a ointment of the Administrator, >e uty Administrators, Regional, 1rovincial and City 1ro!ation )fficers and their assistants and other su!ordinate ersonnel not inconsistent with this title. CHAPTER 8 "UREAU OF CORRECTIONS

Secti ! 2(. +ureau of Corrections. # *he ?ureau of Corrections shall have its rinci al tas3 the reha!ilitation of risoners. *he ?ureau of Corrections shall e%ercise such owers and functions as are now rovided for the ?ureau of 1risons or may hereafter !e rovided !y law. Secti ! 27. Structural and Personnel ,r!anization. # *he ?ureau of Corrections shall !e headed !y a >irector who shall !e assisted !y two 687 Assistant >irectors, one for Administration and Reha!ilitation and one for 1risons and Security. *he >irector and Assistant >irectors of the ?ureau shall !e a ointed !y the 1resident u on recommendation of the Secretary. *he ?ureau shall carry out its functions through its divisions and its seven 677 1enal institutions namely # (ew ?ili!id 1risons, Correctional ,nstitution for Women, ,wahig, >avao, San Ramon and Sa!layan 1risons and 1enal +arms and the :eyte Regional 1risons. CHAPTER 9 $AND REGISTRATION AUTHORITY Secti ! 28. The "and #e!istration %uthority. # *he :and Registration Authority, hereinafter referred to as the Authority shall continue to e%ercise its owers and functions under e%isting law on the :and *itles and >eeds Registration Authority and those which may hereafter !e rovided !y law. Secti ! 29. ,r!anizational Structure. # *he Authority shall !e headed !y an Administrator who shall !e assisted !y two 687 >e uty Administrators, all of whom shall !e a ointed !y the 1resident u on the recommendation of the Secretary. Secti ! %). #eor!anization of #e!istry ,ffices in the National Capital #e!ion. # *he Registries of >eeds in the (ational Ca ital Region is here!y reorganiAed as follows2 617 *he Registries of >eeds in the cities of Fanila, /ueAon, 1asay and Caloocan shall !e maintained" 687 *here is here!y created Registries of >eeds in the Funici alities of (avotas, Fala!on, @alenAuela, Fandaluyong, San Cuan, Fari3ina, :as 1iJas and 1araJa5ue with 'urisdiction over their res ective munici alities" 697 *he Registry of >eeds of 1asig shall !e maintained with 'urisdiction over the Funici alities of 1asig, *aguig and 1ateros" and 6;7 *he Registry of >eeds of Fa3ati shall have 'urisdiction over the munici alities of Fa3ati and Funtinlu a. CHAPTER 1) "UREAU OF IMMIGRATION Secti ! %1. +ureau of /mmi!ration. # *he ?ureau of ,mmigration is rinci ally res onsi!le for the administration and enforcement of immigration, citiAenshi and alien admission and registration laws in accordance with the rovisions of the 1hili ine ,mmigration Act of 19;B, as amended 6C.A. (o. =19, as amended7. *he following units shall com rise the structural organiAation of the ?ureau2 617 )ffice of the Commissioner and Associate Commissioners"

687 ?oard of Commissioners # com osed of the Commissioner as Chairman and two 687 Associate Commissioners as mem!ers" and 697 ?oards of S ecial ,n5uiry which are authoriAed to !e organiAed in the Commission ursuant to the rovisions of the ,mmigration Act of 19;B, as amended. Su!'ect to the rovisions of e%isting law, the Secretary is here!y authoriAed to review, revise andHor romulgate new rules and regulations to govern the conduct of roceedings in the ?oard of Commissioners and the ?oards of S ecial ,n5uiry, including the determination of the siAe and num!er of the su ort staff to !e assigned thereat. *he ?ureau shall !e headed !y a Commissioner assisted !y two Associate Commissioners, all of whom shall !e a ointed !y the 1resident u on the recommendation of the Secretary. *he Commissioner and the two Associate Commissioners shall com ose the ?oard of Commissioners, a collegial !ody here!y granted e%clusive 'urisdiction over all de ortation cases. *he ?oard shall also have a ellate 'urisdiction over decisions of the ?oards of S ecial ,n5uiry and shall erform such other functions as may !e rovided !y law. Each ?oard of S ecial ,n5uiry shall !e com osed of a Chairman and two mem!ers who shall !e a ointed !y the Secretary u on the recommendation of the Commissioner. :i3ewise, the a ointment of all the other ersonnel of the ?ureau including the designation of Acting ,mmigration )fficers shall !e vested in the Secretary u on the recommendation of the Commissioner. CHAPTER 11 COMMISSION ON THE SETT$EMENT OF $AND PRO"$EMS Secti ! %2. Commission on the Settlement of "and Problems. # *he Commission on the Settlement of :and 1ro!lems shall !e res onsi!le for the settlement of land ro!lems involving small landowners and mem!ers of cultural minorities. ,t shall also erform such other functions, as are now or may hereafter !e rovided !y law. Secti ! %%. Structure and Personnel ,r!anization. # *he Commission, as a collegial !ody, shall !e com osed of the Commissioner and two Associate Commissioners. +or administrative ur oses, the Commissioner shall !e the head of the Commission and the two Associate Commissioners shall !e his immediate assistants. *he Commissioner and the two Associate Commissioners shall !e a ointed !y the 1resident u on the recommendation of the Secretary. *hey shall have the same 5ualifications for a ointment and receive a salary, retirement !enefits, longevity ay and other rivileges e5uivalent to that of an Associate Custice of the Court of A eals and a Cudge of the Regional *rial Court, res ectively, as rovided in E.). (o. <=1. *he Commission shall have a technical staff which shall !e headed !y an E%ecutive >irector and assisted !y a >e uty E%ecutive >irector who shall !oth !e a ointed !y the 1resident u on the recommendation of the Secretary. All the other mem!ers of the technical staff shall !e a ointed !y the Secretary u on the recommendation of the Commissioner.

When conditions in any rovince so warrant, the Commission may, su!'ect to the a roval of the Secretary, esta!lish regional and rovincial offices thereat which shall e%ercise such owers and erform such functions as may !e assigned to it !y the Commission. CHAPTER 12 OFFICE OF THE SO$ICITOR GENERA$ Secti ! %&. ,r!anizational Structure. # *he )ffice of the Solicitor &eneral shall !e an inde endent and autonomous office attached to the >e artment of Custice. *he )ffice of the Solicitor &eneral shall !e headed !y the Solicitor &eneral, who is the rinci al law officer and legal defender of the &overnment. He shall have the authority and res onsi!ility for the e%ercise of the )fficeEs mandate and for the discharge of its duties and functions, and shall have su ervision and control over the )ffice and its constituent units. *he Solicitor &eneral shall !e assisted !y a :egal Staff com osed of fifteen 61<7 Assistant Solicitors &eneral, and such num!er of Solicitors and *rial Attorneys as may !e necessary to o erate the )ffice, which shall !e divided into fifteen 61<7 divisions2 1rovided, *hat the Solicitor &eneral may assign or transfer the Assistant Solicitors &eneral, Solicitors or *rial Attorneys to any of the divisions. Secti ! %'. Po-ers and (unctions. # *he )ffice of the Solicitor &eneral shall re resent the &overnment of the 1hili ines, its agencies and instrumentalities and its officials and agents in any litigation, roceeding, investigation or matter re5uiring the services of lawyers. When authoriAed !y the 1resident or head of the office concerned, it shall also re resent government#owned or controlled cor orations. *he )ffice of the Solicitor &eneral shall constitute the law office of the &overnment and, as such, shall discharge duties re5uiring the services of lawyers. ,t shall have the following s ecific owers and functions2 617 Re resent the &overnment in the Su reme Court and the Court of A eals in all criminal roceedings" re resent the &overnment and its officers in the Su reme Court, the Court of A eals, and all other courts or tri!unals in all civil actions and s ecial roceedings in which the &overnment or any officer thereof in his official ca acity is a arty. 687 ,nvestigate, initiate court action, or in any manner roceed against any erson, cor oration or firm for the enforcement of any contract, !ond, guarantee, mortgage, ledge or other collateral e%ecuted in favor of the &overnment. Where roceedings are to !e conducted outside of the 1hili ines the Solicitor &eneral may em loy counsel to assist in the discharge of the aforementioned res onsi!ilities. 697 A ear in any court in any action involving the validity of any treaty, law, e%ecutive order or roclamation, rule or regulation when in his 'udgment his intervention is necessary or when re5uested !y the Court. 6;7 A ear in all roceedings involving the ac5uisition or loss of 1hili ine citiAenshi .

6<7 Re resent the &overnment in all land registration and related roceedings. ,nstitute actions for the reversion to the &overnment of lands of the u!lic domain and im rovements thereon as well as lands held in violation of the Constitution.

6=7 1re are, u on re5uest of the 1resident or other ro er officer of the (ational &overnment, rules and guidelines for government entities governing the re aration of contracts, ma3ing of investments, underta3ing of transactions, and drafting of forms or other writings needed for official use, with the end in view of facilitating their enforcement and insuring that they are entered into or re ared conforma!ly with law and for the !est interests of the u!lic. 677 >e utiAe, whenever in the o inion of the Solicitor &eneral the u!lic interest re5uires, any rovincial or city fiscal to assist him in the erformance of any function or discharge of any duty incum!ent u on him, within the 'urisdiction of the aforesaid rovincial or city fiscal. When so de utiAed, the fiscal shall !e under the control and su ervision of the Solicitor &eneral with regard to the conduct of the roceedings assigned to the fiscal, and he may !e re5uired to render re orts or furnish information regarding the assignment. 6$7 >e utiAe legal officers of government de artments, !ureaus, agencies and offices to assist the Solicitor &eneral and a ear or re resent the &overnment in cases involving their res ective offices, !rought !efore the courts, and e%ercise su ervision and control over such legal officers with res ect to such cases. 697 Call on any de artment, !ureau, office, agency or instrumentality of the &overnment for such service, assistance and coo eration as may !e necessary in fulfilling its functions and res onsi!ilities and for this ur ose enlist the services of any government official or em loyee in the ursuit of his tas3s. >e artments, !ureaus, agencies, offices, instrumentalities and cor orations to whom the )ffice of the Solicitor &eneral renders legal services are authoriAed to dis!urse funds from their sundry o erating and other funds for the latter )ffice. +or this ur ose, the Solicitor &eneral and his staff are s ecifically authoriAed to receive allowances as may !e rovided !y the &overnment offices, instrumentalities and cor orations concerned, in addition to their regular com ensation. 61B7 Re resent, u on the instructions of the 1resident, the Re u!lic of the 1hili ines in international litigations, negotiations or conferences where the legal osition of the Re u!lic must !e defended or resented. 6117 Act and re resent the Re u!lic andHor the eo le !efore any court, tri!unal, !ody or commission in any matter, action or roceeding which, in his o inion, affects the welfare of the eo le as the ends of 'ustice may re5uire" and 6187 1erform such other functions as may !e rovided !y law. Secti ! %(. %ppointments. # *he Solicitor &eneral shall !e a ointed !y the 1resident and shall have the same 5ualifications for a ointment, ran3, rerogatives, and rivileges as those of the 1residing Custice of the Court of A eals. *he Assistant Solicitors &eneral and the Solicitors shall !e a ointed !y the 1resident u on recommendation of the Solicitor &eneral. *he *rial Attorneys and administrative ersonnel in the )ffice of the Solicitor &eneral shall !e a ointed !y the Solicitor &eneral. Secti ! %7. %ctin! Solicitor General. # ,n case of a!sence or tem orary inca acity of the Solicitor &eneral, the 1resident shall designate an Acting Solicitor &eneral. ,n case of death, ermanent

inca acity, removal or resignation of the Solicitor &eneral, or vacancy thereof, the 1resident shall designate an Acting Solicitor &eneral, who shall act as such until a new Solicitor &eneral is a ointed, or a oint a new Solicitor &eneral. Tit-e IV AGRICU$TURE CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State shall romote the well !eing of farmers, including share tenants, leaseholders, settlers, fishermen, and other rural wor3ers !y roviding an environment in which they can increase their income, im rove their living conditions, and ma%imiAe their contri!utions to the national economy. *oward this end, the State shall accelerate agricultural develo ment and enhance the roduction of agricultural cro s, fisheries, and livestoc3 !y o timiAing the use of resources and !y a lying modern farming systems and technology in order to attain food security for domestic use and e% and and diversify agricultural roduction for e% ort. ,t shall also encourage rivate initiative in agri#!usiness ventures !oth in the roduction and in the e% ortation and im ortation of food and other allied commodities. Secti ! 2. andate. # *he >e artment is the government agency res onsi!le for the romotion of agricultural develo ment !y roviding the olicy framewor3, u!lic investments, and su ort services needed for domestic and e% ort#oriented !usiness enter rises. ,n the fulfillment of this mandate, it shall !e the rimary concern of the >e artment to im rove farm income and generate wor3 o ortunities for farmers, fishermen, and other rural wor3ers. ,t shall encourage eo leEs artici ation in agricultural develo ment through sectoral re resentation in agricultural olicy#ma3ing !odies so that the olicies, lans, and rograms of the >e artment are formulated and e%ecuted to satisfy their needs. ,t shall ensure social 'ustice, e5uity, roductivity and sustaina!ility in the use of agricultural resources. Secti ! %. Po-ers and (unctions. # *he >e artment shall2 617 1rovide integrated services to farmers, fishermen, and other food roducers on roduction, utiliAation, conservation, and dis osition of agricultural and fishery resources" 687 ?e res onsi!le for the lanning, formulation, e%ecution, regulation, and monitoring of rograms and activities relating to agriculture, food roduction and su ly" 697 1romulgate and enforce all laws, rules and regulations governing the conservation and ro er utiliAation of agricultural and fishery resources" 6;7 Esta!lish central and regional information systems to serve the roduction, mar3eting, and financing date re5uirements of the farmers as well as domestic and foreign investors in agri!usiness ventures"

6<7 1rovide com rehensive and effective e%tension services and training to farmers and other agricultural entre reneurs on the roduction, mar3eting, and financing as ects of agricultural enter rises" 6=7 Conduct, coordinate, and disseminate research studies on a ro riate technologies for the im rovement and develo ment of agricultural cro s, fisheries, and other allied commodities" 677 1rovide the mechanism for the artici ation of farmers, fishermen, and entre reneurs at all levels of olicy#ma3ing, lanning and rogram formulation" 6$7 Coordinate with and enlist other u!lic and rivate agencies for coo eration and assistance on matters affecting the olicies, lans and rograms of the >e artment" 697 1erform such other functions as may !e rovided !y law. Secti ! &. ,r!anizational Structure. # *he >e artment shall consist of the >e artment 1ro er, the ?ureaus, and the Regional, 1rovincial, Funici al, and ?arangay )ffices. *he >e artment 1ro er shall consist of the )ffice of the Secretary, the )ffices of the 0ndersecretaries and Assistant Secretaries and their immediate staffs as determined !y them res ectively, and the >e artment Services. *he >e artment Services and ?ureaus shall !e grou ed as follows2 617 1roduction &rou " 687 Research, *raining and E%tension &rou " 697 Agri#?usiness &rou " 6;7 1lanning and Fonitoring &rou " and 6<7 Su ort &rou . CHAPTER 2 DEPARTMENT PROPER Secti ! '. ,ffice of the Secretary. # *he )ffice of the Secretary shall consist of the Secretary and his immediate staff as determined !y him. Secti ! (. %ssistant to the Secretary. # *he Secretary shall !e assisted !y five 6<7 0ndersecretaries, seven 677 Assistant Secretaries, and the heads of the (ational +ood Authority and the 1hili ine Coconut Authority who shall have the ran3 of 0ndersecretaries. Secti ! 7. )ndersecretaries. # *he 0ndersecretaries shall assist the Secretary in the e%ercise of the mandate and in the discharge of the owers and functions of the >e artment. *he five 6<7 0ndersecretaries shall !e assigned the following functions2 617 *he 0ndersecretary assigned to Regional ) erations shall oversee the im lementation of the agricultural lans, olicies, rograms, and ro'ects of the regional and field offices of the >e artment" 687 *he 0ndersecretary assigned to Staff ) erations shall rovide staff su ort services, articularly in administration and finance, roduction, research, training, and e%tension" 697 *he 0ndersecretary assigned to 1olicy and 1lanning shall rovide olicy and lanning su ort services, articularly in olicy#formulation, lanning, and agri#!usiness"

6;7 *he 0ndersecretary assigned to Attached Agencies shall e%ercise su ervision over the attached agencies to ensure that their o erations are in conformity with the a roved lans and olicies of the >e artment" 6<7 *he 0ndersecretary assigned to S ecial Concerns shall develo and im lement agricultural olicies and riority ro'ects aimed at im roving the 5uality of life of disadvantaged and cultural community grou s living in lowland and u land areas. ,n addition, he shall handle other s ecial ro'ects as may !e identified or directed !y the >e artment Secretary. Secti ! 8. (unctions of the )ndersecretaries. # With res ect to his area of res onsi!ility, an 0ndersecretary shall have the following functions2 617 Advise the Secretary in the romulgation of orders and other issuances, with res ect to his area of res onsi!ility" 687 E%ercise su ervision and control over the offices, services, o erating units, and officers and em loyees under his res onsi!ility" 697 1romulgate rules and regulations, consistent with the olicies of the >e artment that will efficiently and effectively govern the activities of the units under his res onsi!ility" 6;7 Coordinate the functions and activities of the units under his res onsi!ility with those of other units under the res onsi!ility of the other 0ndersecretaries" 6<7 E%ercise delegated authority on matters related to the functions and activities of the units under his res onsi!ility to the e%tent granted !y the Secretary" and 6=7 1erform such other functions as may !e rovided !y law or assigned !y the Secretary. Secti ! 9. (unctions of the %ssistant Secretaries. # Each of the seven 677 Assistant Secretaries shall head any of the following2 1roduction &rou , Agri#?usiness &rou , Research, *raining and E%tension &rou , 1lanning and Fonitoring &rou , Su ort &rou , +oreign Assisted 1ro'ects and the Regional ) erations. ,n connection therewith, the Assistant Secretaries shall have the following functions2 617 *he Assistant Secretary assigned to the 1roduction &rou shall !e res onsi!le for roviding services relating to lanning, rogramming, and ro'ect develo ment of agricultural roduction. *his grou shall consist of the ?ureau of Animal ,ndustry, ?ureau of 1lant ,ndustry, ?ureau of +isheries and A5uatic Resources, and ?ureau of Soils and Water Fanagement" 687 *he Assistant Secretary assigned to the Agri#?usiness &rou shall !e res onsi!le for assisting farmers and other agri#!usiness ventures !y roviding mar3eting assistance and investment information. *his grou shall consist of the Far3eting Assistance Services and the Agri#?usiness ,nvestment ,nformation Services" 697 *he Assistant Secretary assigned to the Research, *raining and E%tension &rou shall !e res onsi!le for conducting research and training as well as roviding assistance in the esta!lishment of agricultural coo eratives. *his grou shall !e com osed of the ?ureau of

Agricultural Research 6?AR7, Agricultural *raining ,nstitute 6A*,7, and ?ureau of Agricultural Coo eratives >evelo ment 6?AC)>7" 697 *he Assistant Secretary assigned to the 1lanning and Fonitoring &rou shall ta3e charge of develo ing, integrating, monitoring and evaluating all lans and rograms of the >e artment and shall collect, monitor, and u!lish agricultural statistics for the >e artment and its clientele. *his grou shall !e com osed of the 1lanning and Fonitoring Services, Com uter Services, and ?ureau of Agricultural Statistics" 6<7 *he Assistant Secretary assigned to the Su ort &rou shall ta3e charge of roviding staff su ort services in finance, administration, and management. *his shall !e com osed of the +inancial and Fanagement Services, the :egal Services, and the Administrative Services" 6=7 *he Assistant Secretary assigned to the +oreign Assisted 1ro'ects shall !e res onsi!le for the negotiation and im lementation of foreign assisted ro'ects of the >e artment" 677 *he Assistant Secretary assigned to Regional ) erations shall assist the 0ndersecretary for Regional ) erations in the su ervision of regional offices, including the coordination and im lementation of >e artment lans, olicies and rograms. *he seven 677 Assistant Secretaries shall, in addition to the a!ovementioned duties, erform such other functions as may !e assigned !y the Secretary. *hey may also !e assigned or laced under the su ervision of the 0ndersecretaries at the discretion of the Secretary. CHAPTER % DEPARTMENT SERVICES Secti ! 1). Plannin! and onitorin! Service. # *he 1lanning and Fonitoring Service shall !e res onsi!le for the formulation and integration of lans and rograms, emanating from all units of the >e artment, including the ?ureau, Regional )ffices and Attached Agencies. ,t shall also !e res onsi!le for data analysis and monitoring of the im lementation of said lans and rograms through its management information system. Secti ! 11. Computer Service. # *he Com uter Service shall !e res onsi!le for the develo ment and maintenance of the electronic data rocessing re5uirements of the >e artment. Secti ! 12. (inancial and ana!ement Service. # *he +inancial and Fanagement Service shall rovide services relating to !udgeting, accounting and management. Secti ! 1%. %dministrative Service. # *he Administrative Service shall !e res onsi!le for roviding ersonnel, records, information, training and other general services. Secti ! 1&. "e!al Service. # *he :egal Service shall handle the legal re5uirements including those ertaining to the 5uasi#'udicial and regulatory functions of the >e artment 1ro er and its ?ureaus. Secti ! 1'. %!ribusiness /nvestment /nformation Service. # *he Agri!usiness ,nvestment ,nformation Service shall conduct research, gather and collate data related to agri!usiness such as laws and regulations, ta%ation, roduction technologies, mar3et strategies, com etition, foreign assistance, grants, credit, and new venture considerations relating to agri!usiness and shall

ac3age information on agri!usiness investment o for different agricultural roducts and mar3ets.

ortunities and rovide sam le feasi!ility studies

Secti ! 1(. ar.etin! %ssistance Service. # *he Far3eting Assistance Service shall !e res onsi!le for identifying mar3ets for 1hili ine agricultural roducts and shall assist in the lanning of mar3et centers, mar3eting channels, and distri!ution networ3s. Secti ! 17. Department Services 1ead. # Each of the Services of the >e artment shall !e headed !y a Staff >irector. CHAPTER & "UREAUS AND OFFICES Secti ! 18. +ureau of %nimal /ndustries. # *he ?ureau of Animal ,ndustry shall2 617 +ormulate rograms for the develo ment and e% ansion of the livestoc3, oultry, and dairy industries to meet the re5uirements of the growing o ulace" 687 Recommend the s ecific olicies and rocedures governing the flow of livestoc3 roducts through the various stages of mar3eting, as well as the ro er reservation and ins ection of such roducts" 697 Coordinate and monitor the activities and ro'ects relating to livestoc3 and allied industries" 6;7 1rescri!e standards for 5uality in the manufacture, im ortation, la!elling, advertising, distri!ution, and sale of livestoc3, oultry, and allied industries" and 6<7 +or its own sector, recommend lans, rograms, olicies, rules and regulations to the Secretary and rovide technical assistance in the im lementation of the same. Secti ! 19. +ureau of Plant /ndustry. # *he ?ureau of 1lant ,ndustry shall2 617 ?e res onsi!le for the roduction of im roved lanting materials, rotection of agricultural cro s from ests and diseases, and develo ment and im rovement of farm e5ui ment and other structures related to the lant industry" 687 1re are a rogram for the selection, roduction and certification of im roved lanting materials as well as guidelines for its im lementation" 697 Recommend lant 5uarantine olicies, and rescri!e rules and regulations for the revention, control, and eradication of ests, diseases, and in'uries to lants and lant roducts" and 6;7 +or its own sector, recommend lans, rograms, olicies, rules and regulations to the Secretary and rovide technical assistance in the im lementation of the same. Secti ! 2). +ureau of (isheries and %$uatic #esources. # *he ?ureau of +isheries and A5uatic Resources shall2

617 +ormulate lans for the ro er management, accelerated develo ment, and ro er utiliAation of the countryEs fishery and a5uatic resources" 687 0nderta3e studies on the economics of the various hases of the fishing industry, which studies shall form the !ases for the formulation of olicies and rograms on fisheries and a5uatic resources" 697 Render technical assistance and advisory services in the ro er rocurement, construction and o eration of the fishing vessels as well as determination and designation of fish landing oints for all commercial fishing !oats" and 6;7 +or its own sector, recommend lans, rograms, olicies, rules and regulations to the Secretary and rovide technical assistance in the im lementation of the same. Secti ! 21. +ureau of Soils and Water shall2 ana!ement. # *he ?ureau of Soils and Water Fanagement

617 Advise and render assistance on matters relative to the utiliAation and management of soils and water as vital agricultural resources" 687 +ormulate measures and guidelines for effective soil, land, and water resource utiliAation, as well as soil conservation in cro lands and other agricultural areas" 697 0nderta3e soil research rograms" 6;7 Coordinate with the relevant government agencies in resettlement areas and re are the necessary lans for the rovision of technical assistance in solving soil im ounding and the revention of soil erosion, fertility reservation, and other related matters" 6<7 Engage in rainma3ing ro'ects for agricultural areas and watersheds to solve the ro!lem of rolonged droughts and minimiAe their effects on standing agricultural cro s" and 6=7 +or its own sector, recommend lans, rograms, olicies, rules and regulations to the Secretary and rovide technical assistance in the im lementation of the same. Secti ! 22. +ureau of %!ricultural #esearch. # *he ?ureau of Agricultural Research shall2 617 Ensure that all agricultural research is coordinated and underta3en for ma%imum utility to agriculture" 687 *a farmers, farmersE organiAations, and research institutions, es ecially the state colleges and universities, in the conduct of research for use of the >e artment and its clientele, articularly the farmers, fishermen and other rural wor3ers. Secti ! 2%. +ureau of %!ricultural Cooperatives and Development . # *he ?ureau of Agricultural Coo eratives and >evelo ment shall2 617 +ormulate an integrated system for develo ment and evaluation of agricultural coo eratives"

687 1rovide advice and assistance in the esta!lishment of agricultural coo eratives in the rural communities" and 697 Evolve a rogram to romote the economic via!ility of agricultural coo eratives. *he ?ureau shall include in its area of res onsi!ility non#agricultural coo eratives. Secti ! 2&. +ureau of %!ricultural Statistics. # *he ?ureau of Agricultural Statistics shall2 617 ?e mainly res onsi!le for the collection, com ilation, and official release of agricultural statistics" 687 E%ercise technical su ervision over data collection centers" 697 Coordinate all agricultural statistics and economic research activities of all !ureaus, cor orations and offices under the >e artment. Secti ! 2'. Agricultural *raining ,nstitute. # *he Agricultural *raining ,nstitute shall2 617 ?e res onsi!le for the training of all agricultural e%tension wor3ers and their clientele, who are mostly farmers and other agricultural wor3ers" 687 Ensure that training rograms address the real needs of the agricultural sectors" and 697 Ensure that the research results are communicated to the farmers through the a ro riate training and e%tension activities. CHAPTER ' REGIONA$ OFFICES Secti ! 2(. (unctions. # *he >e artment of Agriculture is authoriAed to esta!lish, o erate, and maintain a Regional )ffice in each of the administrative regions of the country. Each Regional )ffice shall !e headed !y a Regional >irector, to !e assisted !y three 697 Assistant Regional >irectors, assigned to ) erations, Research, and Su ort Services, res ectively. Each Regional )ffice shall have, within its administrative regions, the following duties and res onsi!ilities2 617 1rovide efficient and effective frontline services to the eo le" 687 ,m lement and enforce in its area the laws and olicies, lans, rograms, ro'ects, rules, and regulations issued !y the >e artment including lant and animal 5uarantine laws, rules and regulations" 697 Coordinate with regional offices of other de artments, offices and agencies in the region" 6;7 Coordinate with local government units" and 6<7 1erform such other functions as may !e rovided !y law or assigned a Secretary. ro riately !y the

At the rovincial level, olicies, lans, rograms, ro'ects, laws, rules, and regulations of the >e artment shall !e im lemented !y the 1rovincial Agriculture and +isheries )fficer and, at the munici al and !arangay levels, !y the Funici al Agriculture and +isheries )ffice. Secti ! 27. /mportation of Plants and Plant Products. # Su!'ect to such s ecial 5uarantine orders, rules and regulations as may !e romulgated !y the Secretary of Agriculture u on recommendation of the 1lant /uarantine ?oard, it is rohi!ited to im ort or introduce into the 1hili ines, lants, lant roducts, soil or ac3ing materials of lants ca a!le of har!oring lant ests or !eing a source or medium of infection or infestation of lants !y ests. +or ur oses of this Cha ter, the term 4 lants4 shall refer to living lants and any art thereof, while 4 lant roducts4 shall mean roducts derived from lants either in their natural state or rocessed form. Secti ! 28. /mportation of Potential %nimal Pests. # *he im ortation of certain s ecies of animals which are lia!le to !ecome agricultural cro ests and ca a!le of causing in'ury to agricultural cro s is here!y rohi!ited, e%ce t in limited 5uantities for 'ustifia!le ur oses and u on written ermission from the Regional >irector concerned or other official of the >e artment who may !e authoriAed !y the Secretary of Agriculture. Secti ! 29. Plants* Plant Products* and ,ther aterials in Transit. # Commodities mentioned under the ne%t two receding sections, including food rovisions and ornaments on !oard carriers that are in transit, shall !e re5uired to get a clearance from the 1lant /uarantine )fficer assigned at the ort concerned. Secti ! %). E2portation of Plants and Plant Products. # *he Regional >irector concerned, the 1lant /uarantine )fficer or other officials of the >e artment who may !e authoriAed !y the Secretary of Agriculture shall cause the ins ection and certification of all lants, lant roducts and other related materials for e% ortation, ca a!le of har!oring lant ests, if the im orting country so re5uires. Secti ! %1. /nspection of Plants* Plant Products* Potential %nimal Pests* and ,ther aterials. # *he Regional >irector concerned or other officials of the >e artment who may !e authoriAed !y the Secretary of Agriculture shall cause the a ro riate ins ection of the commodities mentioned in the ne%t four receding sections and a ly the necessary lant 5uarantine measures in order to attain the o!'ectives of this Cha ter. Secti ! %2. Domestic 5uarantine of Plants and Plant Products. # ,n order to revent and arrest the s read to other areas of in'urious lant ests e%isting in certain localities within the 1hili ines, the Regional >irector concerned, the 1lant /uarantine )fficer or other officials of the >e artment who may !e authoriAed !y the Secretary of Agriculture shall cause the ins ection, treatment and certification of lants and lant roducts involved in movement from one locality to another within the country. Secti ! %%. %ppointment of Plant 5uarantine ,fficers. # *he Secretary shall, u on recommendation of the Regional >irector concerned and in consultation with the >irector of 1lant ,ndustry, a oint 1lant /uarantine )fficers to act as his re resentatives in im lementing and enforcing the rovisions of this Cha ter. Secti ! %&. Po-ers and Duties and Plant 5uarantine ,fficers. # *he 1lant /uarantine )fficers shall have authority to2 617 ,ns ect all carriers, assengers, crew, luggage and incoming mails to determine the resence of lants, lant roducts and other materials ca a!le of har!oring lant ests as well as otential animal ests"

687 Enter into and ins ect any and all areas where lants, lant roducts and other materials ca a!le of har!oring lant ests are landed, stored or grown" 697 E%amine im orted lants, lant roducts, and other materials ca a!le of har!oring lant ests as well as otential animal ests and administer necessary measures to insure effective im lementation of the rovisions of this Cha ter" 6;7 ,ns ect, administer treatment and certify lants, lant roducts and other related materials intended for e% ort, if the im orting country so re5uires" 6<7 Confiscate and destroy or refuse entry of lants, lant roducts and otential animal ests involved in rohi!ited im ortations and deny ins ection, certification or clearance of the same" and 6=7 1erform such other related duties as may !e rovided !y law. Secti ! %'. Non&"iability Clause. # 617 All charges for storage, demurrage, cartage, la!or and delays incident to ins ection, cost of disinfection or disinfestation and other ost#entry re5uirements shall !e aid !y the im orter or e% orter as the case may !e. 687 *he Regional >irector and the authoriAed officials of the >e artment shall not !e held lia!le for damages to the commodity in the course of the im lementation of the rovisions of this Cha ter. Secti ! %(. Duties of /mporter and E2porter. # *he im orters, e% orters, or their authoriAed re resentatives shall su!mit a declaration to the Regional >irector concerned or other authoriAed officials of the >e artment, at or !efore the time of entry or em!ar3ation, of lants and lant roducts for im ortation or e% ortation. Such declaration shall indicate the name and address of the consignor or consignee, the ur ose, nature and 5uantity of lants and lant roducts, the country or locality where the same was grown, lace and date of unloading or em!ar3ation and the registered name of the carrier carrying the consignment. Secti ! %7. Entrance and Clearance of Carrier. # 617 *he owner, o erator, agent or master of carriers lying international or domestic routes are here!y re5uired to serve notice of arrival and de arture and to rovide inward and outward cargo manifests and other declarations of said carriers to the 1lant /uarantine )fficer at the ost. 1rior to de arture, the agent or master of said carrier must secure a clearance from the 1lant /uarantine )fficer thereat. 687 *he Collector of Customs or his authoriAed agents shall re5uire the owner, agent or master of carrier to su!mit a co y of the certificate of lant 5uarantine clearance as a re# re5uisite to the issuance of the customs clearance. Secti ! %8. Collection of (ees. # 617 *he Regional >irector concerned shall, with the a roval of the Secretary of Agriculture, romulgate rules and regulations governing the collection of regulatory fees for ins ection,

certification, im ort ermits, commodity treatment and others, on commodities descri!ed in this Cha ter which shall constitute the revolving fund of the national lant 5uarantine service. 687 ,m ortations and e% ortations of all government de artments or agencies and government#owned or controlled cor orations, and donations to and for the account of any duly registered relief organiAation or any charita!le institution certified !y the >e artment of Social Services and Welfare, em!assies of foreign governments, and those that may !e declared !y the 1resident, u on the recommendation of the (ational Economic and >evelo ment Authority, in the interest of economic develo ment, are e%em t from ayment of the fees herein rescri!ed e%cluding, however, the e% ense incurred in commodity treatment. Secti ! %9. ,vertime Services. # *he services of 1lant /uarantine )fficers, fumigators and hel ers erformed outside office hours and reim!ursement of meal, trans ortation, lodging and other incidental e% enses shall !e chargea!le to the arty or arties served at the rates to !e rescri!ed !y the Secretary of Agriculture u on recommendation of the Regional >irector concerned. Secti ! &). Cooperatin! %!encies. # *he Secretary of Agriculture may call u on the other government agencies in the im lementation of lant 5uarantine regulations, and dissemination of information to the general u!lic. Secti ! &1. Special 5uarantine ,rders* #ules and #e!ulations. # S ecial 5uarantine orders, rules and regulations shall !e romulgated !y the Secretary of Agriculture u on recommendation of the 1lant /uarantine ?oard to carry out and im lement the rovisions of this Cha ter. Secti ! &2. 5uasi&8udicial %uthority. # 617 *he Regional >irectors and the other officials of the >e artment who may !e authoriAed !y the Secretary of Agriculture, after ro er hearing, are here!y em owered to im ose administrative fines for the violation of and non#com liance with 5uarantine orders, rules and regulations romulgated in accordance with this Cha ter. 687 *he decisions of the Regional >irectors concerned and those of the other authoriAed officials of the >e artment under this section are a eala!le to the Secretary of Agriculture whose decision shall !e final. Secti ! &%. Plant 5uarantine +oard. # +or the ur ose of carrying out the rovisions of this Cha ter, there shall !e a 1lant /uarantine ?oard which shall !e com osed of the 0ndersecretary of Agriculture for Regional ) erations as Chairman" the >irector of 1lant ,ndustry, as @ice#Chairman" and the following mem!ers2 the Commissioner of Customs, the &eneral Fanager of the 1hili ine 1orts Authority, the >irector of /uarantine, the >irector of Animal ,ndustry, the 1ostmaster &eneral, the Administrator of the 1hili ine Coconut Authority, the >irector of +orest >evelo ment or their re resentatives, the Chief of the >e artment :egal Service, the Chief of the 1lant /uarantine Section and the Chief of the Cro 1rotection >ivision of the ?ureau of 1lant ,ndustry, and a re resentative each from the (ational Economic and >evelo ment Authority, the Central ?an3 of the 1hili ines, and the ,m ortersE and E% ortersE Confederation, as mem!ers. Secti ! &&. Duties of the +oard. # *he 1lant /uarantine ?oard shall act as the advisory !ody to assist the Secretary in formulating orders, rules and regulations for the effective im lementation of the rovisions of this Cha ter.

Secti ! &'. +oard eetin!. # *he ?oard shall meet once every 5uarter or may call s ecial meetings when necessary, rovided that such s ecial meeting shall not !e held more than four times annually. Secti ! &(. 5uorum. # A ma'ority of the mem!ers of the ?oard shall constitute a 5uorum. CHAPTER ( ATTACHED AGENCIES Secti ! &7. %ttached %!encies. # *he following units are here!y attached to the >e artment2 617 Agricultural Credit 1olicy Council 687 (ational Agricultural and +ishery Council 697 1hili ine *echnical and Administrative Committee for SEA+>EC

6;7 :ivestoc3 >evelo ment Council 6<7 (ational Feat ,ns ection Commission 6=7 +ertiliAer and 1esticide Authority 677 +i!er ,ndustry >evelo ment Authority 6$7 (ational *o!acco Administration 697 Sugar Regulatory Administration 61B7 (ational +ood Authority and its su!sidiaries 6117 /uedan &uarantee +und ?oard 6187 1hili 6197 1hili 61;7 1hili ine +isheries >evelo ment Authority ine Rice Research ,nstitute ine Coconut Authority and its su!sidiaries

61<7 (ational ,rrigation Administration 61=7 Sacovia >evelo ment Authority" and 6177 Regional Coo erative >evelo ment Assistance )ffices 6Regions ,I and I,,7. Secti ! &8. Specific (unctions. # 617 *he (ational Agricultural and +ishery Council shall act as an advisory and coordinative !ody of the >e artment. As such, it shall conduct and encourage consultative discussions among all agricultural sectors at the munici al, rovincial, regional and national levels"

687 *he 1hili ine *echnical and Administrative Committee for Southeast Asia +isheries >evelo ment Center 6SEA+>EC7 shall !e res onsi!le for the administration and management of the SEA+>EC A5uaculture >e artment and shall monitor and assess the erformance of research ro'ects on fisheries and a5uaculture in accordance with the olicies or standards esta!lished !y the SEA+>EC ,nternational Council and the >e artment" 697 *he :ivestoc3 >evelo ment Council shall !e res onsi!le for the formulation and esta!lishment of com rehensive olicy guidelines for the livestoc3 industry, re aration of lans and rograms and evaluation of livestoc3 rogramsH ro'ects" 6;7 *he (ational Feat ,ns ection Commission shall conduct actual ante mortem ins ection on all animals resented for slaughter and ost mortem ins ection on all animals resented for slaughter and ost mortem ins ection on all carcasses intended for human consum tion in all a!attoirs in the country" render technical assistance in the construction of meat esta!lishments 6a!attoirs, dressing lants, rocessing lants and meat mar3ets7 articularly on the selection of sites, and lant design re aration, e5ui ment design and test runs" e%ercise overall su ervision and control of management and o erations of all a!attoirs, dressing lants, meat rocessing lants and meat mar3ets. Secti ! &9. ,r!anization and ,peration. # *he agencies attached to the >e artment shall continue to o erate and function in accordance with their res ective charters, laws or orders creating them, e%ce t as otherwise rovided in this Code. Any rovision of law to the contrary notwithstanding, the Secretary shall serve as Chairman of the governing !oards of all attached units or agencies. Tit-e V PU"$IC *OR#S AND HIGH*AYS CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State shall maintain an engineering and construction arm and continuously develo its technology, for the ur oses of ensuring the safety of all infrastructure facilities and securing for all u!lic wor3s and highways the highest efficiency and the most a ro riate 5uality in construction. *he lanning, design, construction and maintenance of infrastructure facilities, es ecially national highways, flood control and water resources develo ment systems, and other u!lic wor3s in accordance with national develo ment o!'ectives, shall !e the res onsi!ility of such an engineering and construction arm. However, the e%ercise of this res onsi!ility shall !e decentraliAed to the fullest e%tent feasi!le. Secti ! 2. andate. # *he >e artment of 1u!lic Wor3s and Highways shall !e the StateEs engineering and construction arm and is tas3ed to carry out the olicy enunciated a!ove. Secti ! %. Po-ers and (unctions. # *he >e artment, in order to carry out its mandate, shall2 617 1rovide technical services for the lanning, design, construction, maintenance, or o eration of infrastructure facilities"

687 >evelo and im lement effective codes, standards, and reasona!le guidelines to ensure the safety of all u!lic and rivate structures in the country and assure efficiency and ro er 5uality in the construction of u!lic wor3s" 697 Ascertain that all u!lic wor3s lans and ro'ect im lementation designs are consistent with current standards and guidelines" 6;7 ,dentify, lan, secure funding for, rogram, design, construct or underta3e re5ualification, !idding, and award of contracts of u!lic wor3s ro'ects with the e%ce tion only of s ecialiAed ro'ects underta3en !y &overnment cor orate entities with esta!lished technical ca a!ility and as directed !y the 1resident of the 1hili ines or as rovided !y law" 6<7 1rovide the wor3s su ervision function for all u!lic wor3s constructions and ensure that actual construction is done in accordance with a roved government lans and s ecifications" 6=7 Assist other agencies, including the local governments, in determining the most suita!le entity to underta3e the actual construction of u!lic wor3s ro'ects" 677 Faintain or cause to !e maintained all highways, flood control, and other u!lic wor3s throughout the country e%ce t those that are the res onsi!ility of other agencies as directed !y the 1resident of the 1hili ines or as rovided !y law" 6$7 1rovide an integrated lanning for highways, flood control and water resource develo ment systems, and other u!lic wor3s" 697 Classify road and highways into national, regional, rovincial, city, munici al, and !arangay roads and highways, !ased on o!'ective criteria it shall ado t" rovide or authoriAe the conversion of roads and highways from one category to another" and 61B7 >elegate, to any agency it determines to have the ade5uate technical ca a!ility, any of the foregoing owers and functions" and 6117 1erform such other functions as may !e rovided !y law. Secti ! &. ,r!anizational Structure. # *he >e artment shall !e com osed of2 617 *he >e artment 1ro er consisting of the )ffice of the Secretary, the )ffices of the 0ndersecretaries and Assistant Secretaries, the ,nternal Audit Service, Fonitoring and ,nformation Service, 1lanning Service, Com trollershi and +inancial Fanagement Service, :egal Service, and the Administrative and Fan ower Fanagement Service" 687 *he ?ureau of Research and Standards, ?ureau of >esign, ?ureau of Construction, ?ureau of Faintenance, and ?ureau of E5ui ment" and 697 *he +ield )ffices, consisting of fourteen 61;7 Regional )ffices com osed of Region , 6,locos7, Region ,, 6Cagayan @alley7, Region ,,, 6Central :uAon, (ational Ca ital Region7, Region ,@#A 6Southern *agalog Fainland 1rovinces7, Region ,@#? 6Southern *agalog ,sland 1rovinces7, Region @ 6?icol7, Region @, 6Western @isayas7, Region @,, 6Central @isayas7, Region @,,, 6Eastern @isayas7, Region ,I 6Western Findanao7 Region I 6(ortheastern

Findanao7 Region I, 6Southern Findanao7 and Region I,, 6Central Findanao7, and their res ective >istrict )ffices. CHAPTER 2 DEPARTMENT PROPER Secti ! '. ,ffice of the Secretary. # *he )ffice of the Secretary shall !e com osed of the Secretary and his immediate staff. Secti ! (. )ndersecretaries. # *he Secretary shall !e assisted !y not more than five 6<7 0ndersecretaries who shall !e a ointed !y the 1resident u on the recommendation of the Secretary. *he Secretary is here!y authoriAed to delineate and assign the res ective functional areas of res onsi!ility of the 0ndersecretaries. Such res onsi!ility shall !e with res ect to the mandate and o!'ectives of the >e artment and no 0ndersecretary shall !e assigned rimarily administrative res onsi!ilities. Within his functional area of res onsi!ility, an 0ndersecretary shall have the following functions2 617 Advise and assist the Secretary in the formulation and im lementation of >e artment olicies, lans rograms and ro'ects" 687 Su ervise all the o erational activities of the units assigned to him, for which he is res onsi!le to the Secretary" and 697 1erform such other duties and res onsi!ilities as may !e assigned or delegated !y the Secretary to romote efficiency and effectiveness in the delivery of u!lic services, or as may !e re5uired !y law. Secti ! 7. %ssistant Secretaries. # *he Secretary shall also !e assisted !y si% 6=7 Assistant Secretaries a ointed !y the 1resident of the 1hili ines u on the recommendation of the Secretary" one 617 to !e res onsi!le for the ,nternal Audit Services" one 617 for the Fonitoring and ,nformation Service" one 617 for the 1lanning Service" one 617 for the Com trollershi and +inancial Fanagement Service" one 617 for the :egal Service" and one 617 for the Administrative and Fan ower Fanagement Service. CHAPTER % DEPARTMENT SERVICES Secti ! 8. /nternal %udit Service. # *he ,nternal Audit Service shall conduct com rehensive audit of various >e artment activities. S ecifically, it shall have the following functions2 617 Advice the Secretary on all matters relating to management control and o erations audit" 687 Conduct management and o erations erformance audit of >e artment activities and units and determine the degree of com liance with esta!lished o!'ectives, olicies, methods and rocedures, government regulations, and contractual o!ligations of the >e artment" 697 Review and a raise systems and rocedures, organiAational structure, assets management ractices, accounting and other records, re orts and erformance standards 6such as !udgets and standard costs7 of the >e artment 1ro er, ?ureaus and Regional )ffices"

6;7 AnalyAe and evaluate management deficiencies and assist to management to solve the ro!lems !y recommending realistic courses of action" and 6<7 1erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. Secti ! 9. onitorin! and /nformation Service. # *he Fonitoring and ,nformation Service is here!y created to rovide the Secretary timely re orts on the status of various >e artment ro'ects and activities" and develo and im lement information rograms for mass dissemination in coordination with the a ro riate government agencies. *he Fonitoring and ,nformation Service shall have the following functions2 617 Advice the Secretary on all matters relating to monitoring and u!lic information" 687 >evelo and maintain a system for retrieving and rocessing monitoring information on all ro'ects and activities of concern to the Secretary" 697 1rovide accurate and timely status and e%ce tion re orts to the Secretary" 6;7 &enerate monitoring re orts for the 1resident, the Ca!inet, or for any other ur ose as re5uired !y the Secretary" 6<7 >evelo and su ervise the im lementation of communications rograms to have relevant olicies, rograms and lans of the >e artment understood !y the u!lic" 6=7 1roduce and su ervise the dissemination of media materials in line with the national government u!lic information rograms" 677 Coordinate with a affairs" and ro riate national government agencies tas3ed with u!lic information

6$7 1erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. *he e%isting ,nfrastructure Com uter Center shall !e under the su ervision of the Assistant Secretary for Fonitoring ,nformation. ,t shall esta!lish and maintain a com uteriAed data !an3 as a re ository of statistics and information on infrastructure o erations. ,t shall also rovide com uter service to the different offices of the >e artment. Secti ! 1). Plannin! Service. # *he 1lanning Service shall rovide the >e artment with the ca a!ility to underta3e infrastructure develo ment lanning and rogramming. +or this ur ose, it shall have the following functions2 617 Advice the Secretary on all matters relating to infrastructure lanning" 687 +ormulate strategies and riorities for infrastructure develo ment consistent with national develo ment o!'ectives" and initiate or underta3e, coordinate and review area and sector surveys for develo ment lanning"

697 +ormulate long#range, medium#term and annual develo ment lans and rograms for infrastructure, es ecially highways, flood control and water resource develo ment systems, and other u!lic wor3s ro'ects, including hasing of im lementation" 6;7 ,dentify riority ac3ages for infrastructure develo ment, es ecially highways, flood control and water resource develo ment systems, and other u!lic wor3s ro'ects, underta3e or su ervise and evaluate the conduct of feasi!ility studies and ro'ect re aration thereof" 6<7 1rioritiAe ro'ect im lementation and the allocation of funds and other resources and ac3age ro'ect ro osals for funding and im lementation" 6=7 Evaluate and a raise all regional and interregional infrastructure develo ment lans and rograms as to their feasi!ility and consistency with a roved strategies and long and medium#term lans" 677 ,nitiate regular >e artment#wide lanning e%ercises and act as the secretariat thereof" 6$7 &ather, analyAe and organiAe needed statistical data and information" 697 1rovide technical assistance related to its functions to the other Services, ?ureaus and the Regional )ffices as needed" and 61B7 1erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. Secti ! 11. Comptrollership and (inancial ana!ement Service. # *he Com trollershi and +inancial Fanagement Service shall rovide the >e artment with coordinated services relating to financial systems and rocedures, !udget, cash, accounting, and all financial house3ee ing matters. +or such ur oses, it shall have the following functions2 617 Advise the Secretary on all matters relating to the accounting of government e% enditures and recei ts, !udgeting and cash management, ro'ect finances, and financial systems and rocedures" 687 1re are !udget ro osals and ursue formal !udget authoriAations" underta3e !udget e%ecution, and re are and su!mit all a ro riate re orts to the ro er offices" 697 >evelo and maintain accounting, financial and assets management systems, rocedures, and ractices in the >e artment ro er, ?ureaus, and Regional )ffices" 6;7 1rovide assistance in its area of s ecialiAation to any unit of the >e artment and, when re5uested, to government cor orations and councils attached to the >e artment" and 6<7 1erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. Secti ! 12. "e!al Service. # *he :egal Service rovides the >e artment with services on such legal affairs as contract letting and litigation, legal and legislative research, com laints and investigation, legal counselling and other matters of law. +or such ur oses, it shall have the following functions2

617 Advise the Secretary on all matters relating to legal affairs" 687 1re are >e artment contracts and legal instruments, review and inter ret all contracts and agreements entered into !y the >e artment" evaluate all legal ro osals" 697 Conduct administrative investigation as well as the review of administrative charges against officers and em loyees of the >e artment" 6;7 E%ercise functional 'urisdiction over the legal staffs of Regional )ffices" 6<7 1rovide legal assistance to the >e artment 1ro er, the ?ureaus and Regional )ffices and, when re5uested, the attached cor orations" and 6=7 1erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. Secti ! 1%. %dministrative and anpo-er ana!ement Service. # *he Administrative and Fan ower Fanagement Service rovides the >e artment with services relating to human resources develo ment, ersonnel, records, facilities maintenance, medical and dental, security and ro erty and rocurement services. +or such ur oses, it shall have the following functions2 617 Advise the Secretary, on all matters relating to internal administration and human resources management" 687 1re are and im lement an integrated ersonnel lan that shall include rovisions on merit romotions, erformance evaluation, 'o! rotation, suggestions and incentive awards systems and health and welfare services" 697 1rovide services related to human resources training, education, and develo ment, including man ower and career lanning and forecasting and develo ment of indigenous training materials" 6;7 >evelo , esta!lish and maintain an efficient and cost#effective ro erty rocurement system and facilities and coordinate or otherwise interface with relevant agencies, whether government or rivate, for the ur ose of develo ing or u grading the system" 6<7 Secure and maintain necessary >e artment facilities and develo , esta!lish and maintain an efficient and effective security system covering among others, ersonnel, hysical installations, e5ui ment, documents and materials, including the conduct of security investigations" 6=7 Coordinate with the a ro riate government agencies for a more efficient conduct of administrative rocesses" 677 >evelo , esta!lish and maintain an efficient records system" 6$7 1rovide assistance in its area of s ecialiAation to the >e artment 1ro er, ?ureaus and Regional )ffices and, when re5uested, the government agencies and cor orations attached to the >e artment" and

697 1erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. CHAPTER & THE "UREAU Secti ! 1&. +ureau 1ead. # Each ?ureau shall !e headed !y a ?ureau >irector who shall !e res onsi!le for efficiently and effectively carrying out the functions of the ?ureau. Secti ! 1'. +ureau of #esearch and Standards. # *he ?ureau of Research and Standards shall develo and set effective standards and reasona!le guidelines to ensure the safety of all infrastructure facilities in the country and to assure efficiency and ro er 5uality in the construction of government u!lic wor3s. ,n ursuit of this tas3, the ?ureau shall engage in research and develo ment in all ma'or areas ertinent to infrastructure develo ment. +or such ur oses, it shall have the following functions2 617 Study, on a continuing !asis, and formulate and recommend guidelines, standards, criteria, and systems for the survey and design, construction, reha!ilitation, maintenance and im rovement of all u!lic wor3s and highways" 687 Conduct or s onsor research on construction materials and formulate and recommend olicies, standards and guidelines on materials and 5uality control" 697 0nderta3e or cause to !e underta3en s ecialiAed technical studies to advance the inhouse technology of the >e artment and secure the most com lete information for ro'ect develo ment and im lementation ur oses" 6;7 +ormulate technical training rograms for >e artment technical ersonnel, including the identification of a ro riate local and foreign training rograms, and recommend the selection of >e artment ersonnel for such rograms" 6<7 Review and study, for the ur ose of recogniAing new technologies es ecially those utiliAing indigenous resources, current national !uilding and construction standards and rocedures and ma3e a ro riate recommendations thereon" 6=7 1romote, u!lish and disseminate technical u!lications" 677 1rovide technical assistance to the >e artment 1ro er, other ?ureaus, Regional )ffices and other agencies on matters within its com etence, including technical assistance in the u grading or u dating of the ?uilding Code, and other services" 6$7 Coo erate or coordinate with other esta!lished research, develo ment, and engineering centers in areas of common or national interests" and 697 1erform such other duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. Secti ! 1(. +ureau of Desi!n. # *he ?ureau of >esign shall ascertain that all government infrastructure ro'ect im lementation lans and designs are consistent with current standards and guidelines. +or this ur ose, it shall have the following duties and res onsi!ilities2

617 Conduct or initiate, su ervise and review the results of field surveys for highways, flood control and water resource develo ment systems, and other u!lic wor3s ro'ects, including aerial, hydrologic, hydrogra hic, to ogra hic, geotechnical and other investigations" 687 Conduct or initiate, su ervise and review the re aration of schemes, designs, s ecifications, estimates, tender and contract documents covering the architectural, structural, mechanical, electrical and other technical design as ects of highways, flood control and other ro'ects of the >e artment or of other de artments u on re5uest or agreement" 697 Review and evaluate the designs, s ecifications, estimates, tender and contract documents covering the architectural, structural, mechanical, electrical and other technical design as ects of u!lic wor3s ro'ects of all agencies in accordance with current standards and guidelines" 6;7 1rovide technical assistance in the selection of firms or entities that shall underta3e actual construction of u!lic wor3s ro'ects via artici ation in the technical evaluation as ect of the !iddingHaward rocess" and 6<7 1erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary of as may !e re5uired !y law. Secti ! 17. +ureau of Construction. # *he ?ureau of Construction shall rovide technical services on construction wor3s for infrastructure ro'ects and facilities. +or this ur ose, it shall have the following duties and res onsi!ilities2 617 +ormulate olicies relating to construction management and contract administration" 687 Review and evaluate construction rograms, estimates, tender and contract documents" 697 ,ns ect, chec3 and monitor construction and wor3s su ervision activities of field im lementing offices for the ur ose of ensuring that such activities are !eing conducted in accordance with the current standards and guidelines of the >e artment" 6;7 1rovide s ecialist su ort to im lementing field offices on construction management and contract administration" and 6<7 1erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. Secti ! 18. +ureau of aintenance. # *he ?ureau of Faintenance rovides technical services on the maintenance and re air of infrastructure ro'ects and facilities. +or this ur ose, it shall have the following duties and res onsi!ilities2 617 +ormulate olicies relating to the maintenance of infrastructure ro'ects and facilities" 687 Review and evaluate maintenance rograms, estimates and tender and contract documents"

697 ,ns ect, chec3, and monitor maintenance activities of im lementing field offices for the ur ose of ensuring that such activities are !eing conducted in accordance with the current standards and olicies of the >e artment" 6;7 1rovide s ecialist su ort to im lementing field offices on the maintenance of infrastructure ro'ects and facilities" 6<7 1erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. Secti ! 19. +ureau of E$uipment. # *he ?ureau of E5ui ment rovides technical services on the management of construction and maintenance e5ui ment and ancillary facilities. +or this ur ose it shall have the following duties and res onsi!ilities2 617 +ormulate olicies relating to the management of infrastructure e5ui ment and ancillary facilities" 687 Review and evaluate rograms, estimates, tender and contract documents for e5ui ment" 697 ,ns ect, chec3 and monitor the management of e5ui ment !y regional e5ui ment services and area sho s for the ur ose of ensuring that such activities are !eing conducted in accordance with the current standards and olicies of the >e artment" 6;7 1rovide s ecialist su ort to im lementing field offices on e5ui ment management" and

6<7 1erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. CHAPTER ' REGIONA$ OFFICES Secti ! 2). #e!ional ,ffices. # Regional )ffices shall !e res onsi!le for highways, flood control and water resource develo ment systems, and other u!lic wor3s within the region, e%ce t those defined in Section 9, ar. 6;7 hereof. +or this ur ose, their duties and res onsi!ilities shall !e as follows2 617 0nderta3e and evaluate the lanning, design, construction and wor3s su ervision functions of the >e artment for the a!ove mentioned infrastructure within the region" 687 0nderta3e the maintenance of the a!ove mentioned infrastructure within the region and su ervise the maintenance of such local road and other infrastructure receiving national government financial assistance as the Secretary may determine" 697 Ensure the im lementation of laws, olicies, rograms, rules and regulations regarding the a!ove mentioned infrastructure as well as all u!lic and rivate hysical structures" 6;7 1rovide technical assistance related to their functions to other agencies within the region, es ecially the local government"

6<7 Coordinate with other de artments, agencies, institutions and organiAations, es ecially local government units within the region in the lanning and im lementation of infrastructure ro'ects" 6=7 Conduct continuing consultations with the local communities, ta3e a ro riate measures to ma3e the services of the >e artment res onsive to the needs of the general u!lic, com ile and su!mit such information to the central office, and recommend such a ro riate actions as may !e necessary" and 677 1erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. *he >e artment shall retain and have such 1ro'ect Fanagement )ffices as may !e re5uired which shall !e under the su ervision and control of the a ro riate Regional >irector, unless otherwise determined !y the Secretary for reasons of su ra#regional sco e, magnitude, and multi#functional coverage. Secti ! 21. #e!ional Director. # *he Regional )ffice shall !e headed !y a Regional >irector who shall !e res onsi!le for efficiently and effectively carrying out the duties and res onsi!ilities of the Regional )ffice. *owards this end, and in line with the olicy of decentraliAation, he shall, within his defined owers, e%ercise functional and administrative su ervision over >istrict )ffices within the region including the authority to commit their resources and ersonnel to integrated rovince or city# wide develo ment thrusts. He shall also erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. *he Regional >irector shall !e assisted !y two 687 Assistant Regional >irectors who shall e%ercise su ervision, res ectively over2 617 the construction, maintenance and wor3s su ervision functions in the region" and 687 the lanning, ro'ect design, evaluation and technical assistance functions of the Regional )ffice. Secti ! 22. District ,ffice. # *here shall !e a >istrict )ffice in each of the rovinces and cities throughout the country to !e headed !y a >istrict Engineer a ointed !y the Secretary. A rovince or city may, however, !e divided into two 687 or more engineering districts, u on determination and issuance of an administrative order !y the Secretary. *he >istrict )ffice shall !e res onsi!le for all highways, flood control and water resource develo ment systems, and other u!lic wor3s within the district, e%ce t those defined under Section 9, ar. 6;7 hereof. +or this ur ose, it shall have the following duties and res onsi!ilities2 617 0nderta3e and evaluate the lanning, design, construction, and wor3s su ervision functions of the >e artment for the a!ove mentioned infrastructure in the district" 687 0nderta3e the maintenance of the a!ovementioned infrastructure within the district and su ervise the maintenance of such local roads and other infrastructure receiving national government financial assistance as the Secretary may determine" 697 Coordinate with other de artments, agencies, institutions, and organiAations, es ecially local government units within the district in the lanning and im lementation of infrastructure ro'ects"

6;7 1rovide technical assistance to other agencies at the local level on u!lic wor3s lanning, design, construction, maintenance and other engineering matters including securing from the Regional )ffice or, through the same office, assistance from the >e artment 1ro er or ?ureaus" 6<7 Conduct continuing consultations with the local communities, ta3e a ro riate measures to ma3e the services of the >e artment res onsive to the needs of the general u!lic, com ile and su!mit such information to the Regional )ffice and recommend such a ro riate actions as may !e necessary" and 6=7 1erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. Secti ! 2%. District En!ineer. # *he >istrict Engineer of or within a rovince or city shall !e accounta!le for the efficient and effective conduct of the duties and res onsi!ilities of the >istrict )ffice of which he is the head. Within his defined owers, he shall e%ercise functional and administrative su ervision over district o erations including the authority to recommend that field resources and ersonnel !e committed to integrated district#wide develo ment thrusts. He shall also erform such other related duties and res onsi!ilities as may !e assigned or delegated !y the Secretary or as may !e re5uired !y law. Secti ! 2&. E$uipment Services. # *he Regional E5ui ment Services, including regional de ots and area sho s are here!y reorganiAed to underta3e the management, re air, maintenance and reha!ilitation of construction and maintenance e5ui ment. Each de ot or sho shall !e o erated, to the e%tent ractica!le, as a rofit center. *he Regional E5ui ment Services shall !e under the administrative su ervision of the Regional >irector and technical su ervision of the ?ureau of E5ui ment. CHAPTER ( ATTACHED AGENCIES Secti ! 2'. %ttached %!encies and Corporations. # Agencies and cor orations attached to the >e artment shall continue to o erate and function in accordance with their res ective chartersHlawsHe%ecutive orders creating them. Accordingly, the Fetro olitan Waterwor3s and Sewerage System, the :ocal Water 0tilities Administration, the (ational ,rrigation Administration, and the (ational Water Resources Council, among others, shall continue to !e attached to the >e artment" while the Fetro olitan Fanila +lood Control and >rainage Council, as reorganiAed, shall !e attached to the >e artment. Tit-e VI EDUCATION. CU$TURE AND SPORTS CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State shall rotect and romote the right of all citiAens to 5uality education at all levels and shall ta3e a ro riate ste s to ma3e such education accessi!le to all. 1ursuant to this, the State shall2

17 Esta!lish, maintain and su ort a com lete, ade5uate, and integrated system of education relevant to the needs of the eo le and society" 87 Esta!lish and maintain a system of free u!lic education in the elementary and high school levels. Without limiting the natural right of arents to rear their children, elementary education is com ulsory for all children of school age" 97 Esta!lish and maintain a system of scholarshi grants, student loan rograms, su!sidies, and other incentives which shall !e availa!le to deserving students in !oth u!lic and rivate schools, es ecially to the under rivileged" ;7 Encourage non#formal, informal, and indigenous learning systems, as well as self# learning, inde endent, and out#of#school study rograms articularly those that res ond to community needs" and <7 1rovide adult citiAens, the disa!led, and out#of#school youth with training in civics, vocational efficiency, and other s3ills. Secti ! 2. andate. # *he >e artment shall !e rimarily res onsi!le for the formulation, lanning, im lementation and coordination of the olicies, lans, rograms and ro'ects in the areas of formal and non#formal education at all levels, su ervise all educational institutions, !oth u!lic and rivate, and rovide for the esta!lishment and maintenance of a com lete, ade5uate and integrated system of education relevant to the goals of national develo ment. Secti ! %. Po-ers and (unctions. # *o accom lish its mandate and o!'ectives, the >e artment shall have the owers and functions of formulating, lanning, im lementing and coordinating the olicies, lans, rograms and ro'ects for the following2 617 Elementary, secondary, hysical and international education" 687 (on#formal and vocational or technical education" 697 Higher education" 6;7 >evelo ment of culture" 6<7 +oreign and locally assisted ro'ects and other activities relative to Su!sections 617, 687, 697 and 6;7" and 6=7 1erform such other functions as may !e rovided !y law. Secti ! &. ,r!anizational Structure. # *he >e artment, aside from the >e artment 1ro er, shall consist of ?ureau and Regional )ffices. CHAPTER 2 DEPARTMENT PROPER Secti ! '. )ffice of the Secretary. # *he )ffice of the Secretary shall !e com osed of the Secretary and his immediate staff.

Secti ! (. 0ndersecretaries. # *he Secretary shall !e assisted !y five 6<7 0ndersecretaries, each of whom shall !e res onsi!le for the following2 617 Elementary education, secondary education, hysical education and international education rograms and centers" 687 (on#formal education, vocationalHtechnical education, and youth organiAations" 697 Higher education, cultural agencies, and foreign assisted ro'ects" 6;7 ,nternal administration and management, and regional coordination" and 6<7 :egal and legislative affairs, and other attached agencies and centers. CHAPTER % DEPARTMENT SERVICES Secti ! 7. (unctions of the Services. # *he Services of the >e artment shall consist of the following2 617 *he 1lanning Service shall !e res onsi!le for roviding the >e artment with economical, efficient, and effective services relating to lanning, rogramming, and ro'ect develo ment" 687 *he +inancial and Fanagement Service shall !e res onsi!le for roviding the >e artment with staff advice and assistance on !udgetary, financial, and management im rovement matters" 697 *he Administrative Service shall !e res onsi!le for roviding the >e artment with economical, efficient, and effective services relating to legal assistance, information, records, su lies or e5ui ment, collection, dis!ursement, security and custodial wor3" 6;7 *he Human Resources >evelo ment Service, shall2 6a7 >evelo and administer a ersonnel rogram which shall include selection and lacement, classification and ay, career, and em loyment develo ment, erformance rating, em loyee relations and welfare services" 6!7 Act on all matters concerning attendance, leaves of a!sences, a romotions, and other ersonnel transactions" and 6c7 Conduct training rograms in the >e artment. 6<7 *he *echnical Service, which includes the )ffice of the Head E%ecutive Assistant and the ,nformation and 1u!lication Service shall ta3e charge of technical staff activities which cannot !e allocated to the four 6;7 other services. CHAPTER & "OARD OF HIGHER EDUCATION Secti ! 8. ,r!anization. # *he ?oard shall !e com osed of an 0ndersecretary of the >e artment of Education, Culture and S orts designated as Chairman and four other mem!ers to !e a ointed !y ointments,

the 1resident of the 1hili ines u on nomination !y the Secretary of Education, Culture and S orts for a term of four years. *he four mem!ers shall have distinguished themselves in the field of higher education and develo ment either in the u!lic or rivate sector. *he >irector of the ?ureau of Higher Education shall artici ate in the deli!eration of the ?oard !ut without the right to vote. Secti ! 9. (unctions. # *he ?oard of Higher Education shall2 617 Articulate the olicy and su secondary education" ort the framewor3 for !oth u!lic and rivate ost#

687 Fa3e olicy recommendations regarding the lanning and management of the integrated system of higher education and the continuing evaluation thereof" 697 Recommend to the Secretary of Education, Culture and S orts ste s to im rove the governance of the various com onents of the higher education system at national and regional levels" and 6;7 Assist the Secretary of Education, Culture and S orts in ma3ing recommendations relative to the generation of resources and their allocation for higher education. Secti ! 1). Staff %ssistance. # *he ?ureau of Higher Education shall rovide the ?oard with the necessary technical and staff su ort" 1rovided, *hat the ?oard may create technical anels of e% erts in the various disci lines as the need arises. CHAPTER ' STATE CO$$EGES AND UNIVERSITIES Secti ! 11. Governance. # ?y virtue of his chairmanshi of their !oards of trustees as rovided in their res ective charters, the Secretary, directly or through his 0ndersecretaries, shall continue to govern state colleges and universities. CHAPTER ( "UREAUS AND OFFICES Secti ! 12. +ureau of Elementary Education. # *he ?ureau of Elementary Education shall have the following functions2 617 Conduct studies and formulate, develo , and evaluate rograms and educational standards for elementary education" 687 0nderta3e studies necessary for the re aration of rototy e curricular designs, instructional materials and teacher training rograms for elementary education" 697 +ormulate guidelines to im rove elementary school hysical lans and e5ui ment, and general management of these schools" and 6;7 1erform such other functions as may !e rovided !y law. Secti ! 1%. +ureau of Secondary Education. # *he ?ureau of Secondary Education shall have the following functions2

617 Conduct studies and formulate, develo and evaluate rograms and educational standards for secondary education" 687 >evelo curricular designs, re are instructional materials, and re are and evaluate rograms to u grade the 5uality of the teaching and non#teaching staff at the secondary level" 697 +ormulate guidelines to im rove the secondary schools hysical lants and e5ui ment, and general management of these schools" and 6;7 1erform such other functions as may !e rovided !y law. Secti ! 1&. +ureau of Technical and 3ocational Education. # *he ?ureau of *echnical and @ocational Education shall have the following functions2 617 Colla!orate with other agencies in the formulation of man ower lans" 687 Conduct studies, formulate, develo and evaluate ost#secondary vocational technical staff, and formulate guidelines to im rove the hysical lant and e5ui ment of ost# secondary vocational#technical schools" and 697 >evelo curricular designs and re are instructional materials, re are and evaluate rograms to u grade the 5uality of teaching and non#teaching staff, and formulate guidelines to im rove the hysical lant and e5ui ment of ost#secondary, vocationalHtechnical schools. Secti ! 1'. +ureau of 1i!her Education. # *he ?ureau of Higher Education shall have the following functions2 617 >evelo , formulate and evaluate rograms, ro'ects and educational standards for higher education" 687 1rovide staff assistance to the ?oard of Higher Education in its olicy and advisory functions" 697 1rovide technical assistance to encourage institutional develo ment rograms and ro'ects" 6;7 Com ile, analyAe and evaluate data on higher education" and 6<7 1erform other functions rovided !y law. Secti ! 1(. +ureaus of Non&(ormal Education. # *he ?ureau of (on#+ormal Education shall have the following functions2 617 Serve as a means of meeting the learning needs of those una!le to avail themselves of the educational services and rograms of formal education" 687 Coordinate with various agencies in roviding o ortunities for the ac5uisition of s3ills necessary to enhance and ensure continuing em loya!ility, efficiency, roductivity, and com etitiveness in the la!or mar3et" and

697 Serve as a means for e% anding access to educational o ortunities to citiAens of varied interests, demogra hic characteristics and socio#economic origins of status. Secti ! 17. +ureau of Physical Education and School Sports. # *he ?ureau of 1hysical Education and School S orts shall have the following functions2 617 >evelo human resources through mass#!ased s orts education" 687 ,m rove the general fitness of the citiAenry" 697 1romote social and cultural integration through the revival of indigenous games and s orts" 6;7 ,dentify and nurture s orts talents and romote e%cellence in s orts, traditional games and other hysical activities" and 6<7 1erform such other functions as may !e rovided !y law. CHAPTER 7 REGIONA$ OFFICES Secti ! 18. ,r!anization. # *he >e artment is here!y authoriAed to esta!lish, o erate and maintain a Regional )ffice in each of the administrative regions of the country. Each Regional )ffice shall !e headed !y a Regional >irector who shall !e assisted !y an Assistant Regional >irector. *he Regional >irector shall !e res onsi!le for the School >ivisions and their Su erintendents within his administrative region. Secti ! 19. (unctions. # A Regional )ffice shall have, within its administrative region, the following functions2 617 +ormulate the regional lan of education !ased on the national lan of the >e artment ta3ing into account the s ecific needs and s ecial traditions of the region" 687 ,m lement laws, rules, regulations, olicies, lans, rograms and ro'ects of the >e artment" 697 1rovide economical, efficient and effective education service to the eo le" 6;7 Coordinate with regional offices of other >e artments, )ffices and agencies in the region" 6<7 Coordinate with local government units" and 6=7 1erform such other functions as may !e rovided !y law. CHAPTER 8 ATTACHED AGENCIES Secti ! 2). %ttached %!encies. # *he following agencies are here!y attached to the >e artment2 617 (ational Fuseum"

687 (ational :i!rary" 697 (ational Historical ,nstitute" 6;7 ,nstitute of 1hili ine :anguages"

6<7 ,nstructional Faterials Cor oration" 6=7 ,nstructional Faterials Council" 677 Educational >evelo ment 1ro'ects ,m lementing *as3 +orce" 6$7 Educational Assistance 1olicy Council" 697 (ational Douth and S orts >evelo ment ?oard" 61B7 (ational Social Action Council" 6117 (ational ?oard of *eachers" 6187 ?oy Scouts of the 1hili 6197 &irl Scouts of the 1hili ines" ines" and

61;7 Records Fanagement and Archives )ffice. Secti ! 21. Supervised and Controlled %!encies. # *he >e artment shall e%ercise su ervision and control over the following agencies2 617 Health and (utrition Center" and 687 (ational Education *esting and Research Center. Secti ! 22. (unctions and Duties. # *he agencies attached to as well as those under the su ervision and control of the >e artment shall continue to o erate and function in accordance with their res ective charters or laws creating them e%ce t as otherwise rovided in this Code. CHAPTER 9 MISCE$$ANEOUS PROVISIONS Secti ! 2%. edium of /nstruction. # *he >e artment shall romulgate rules and the regulations on the medium of instruction for all schools in accordance with the olicy declared in Section 7, Article I,@ of the Constitution. Secti ! 2&. School ?ear. # 17 *he school year for u!lic and rivate schools shall consist of not less than forty 6;B7 wee3s for the elementary and secondary levels, and thirty#si% 69=7 wee3s for the college level or eighteen 61$7 wee3s a semester.

87 *he o ening date shall !e fi%ed !y the Secretary, !ut it shall not !e earlier than the first day of Cune nor later than the last day of Culy of each year unless revented !y fortuitous events. 97 *he long school vacation eriod shall li3ewise !e fi%ed !y the Secretary ta3ing into consideration the convenience of the u ils and the s ecial climatic conditions revailing during the said eriod. ;7 *he dates esta!lished for the long school vacation shall not !e changed oftener than one every five 6<7 years without rior u!lic hearing ro erly advertised in a news a er of general circulation or announced !y the school authorities concerned. Secti ! 2'. School 1olidays. # All schools, whether u!lic or rivate, shall not hold classes on u!lic holidays, whether regular or s ecial. )n holidays es ecially roclaimed !y the 1resident, the schools in the munici ality, city or rovince affected !y the roclamation shall not hold classes. *he Secretary may, !y reason of u!lic calamity or emergency, order the closure of any school, u!lic or rivate, as may have !een affected there!y for such eriod as necessity may demand. Secti ! 2(. School Sessions. # *he regular daily sessions of all u!lic and rivate schools shall !e held during the hours fi%ed !y the Secretary or his duly authoriAed re resentatives. E%ce t in college, no class sessions shall !e held on Saturdays, Sundays, or holidays unless to offset class sessions sus ended !y com etent authority. Secti ! 27. School #ituals. # 617 School rituals re ared and rescri!ed !y the Secretary shall !e o!served in all u!lic and rivate elementary and secondary schools in the 1hili ines. 87 *he school rituals shall consist of solemn and atriotic mass singing of the 1hili (ational Anthem and the recitation of rescri!ed atriotic ledges. ine

97 *he rituals shall !e held in school remises as often as may !e ractica!le under the direction of the res ective school authorities. Secti ! 28. (la! Ceremony. # 17 All educational institutions shall o!serve a sim le and dignified flag ceremony, including the laying or singing of the 1hili ine (ational Anthem. 87 *he flag ceremony shall !e conducted under the rules and regulations issued !y the Secretary. 97 +ailure or refusal to o!serve the flag ceremony in accordance with the rules and regulations issued !y the Secretary shall, after ro er notice and hearing, su!'ect the educational institution concerned and its head to u!lic censure as an administrative unishment, which shall !e u!lished at least once in a news a er of general circulation. ;7 +ailure to o!serve for the second time the said flag ceremony shall, after notice and hearing, !e a ground for the cancellation of the recognition or the ermit of the rivate educational institution concerned.

<7 Any teacher or student or u il who refuses to 'oin or artici ate in the flag ceremony may !e dismissed after due investigation . Secti ! 29. "ocal School +oards. # ,n every rovince, city or munici ality, there shall !e esta!lished a 1rovincial School ?oard, City School ?oard and Funici al School ?oard, res ectively, whose com osition, owers, functions and duties shall !e rovided !y law. Tit-e VII $A"OR AND EMP$OYMENT CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # 617 *he State shall afford full rotection to la!or and romote full em loyment and e5uality of em loyment o ortunities for all. ,t shall guarantee the rights of all wor3ers to self#organiAation, collective !argaining negotiations, and eaceful concerted activities, including the right to stri3e in accordance with law. *hey shall !e entitled to security of tenure, humane conditions of wor3, and a living wage. *hey shall also artici ate in olicy and decision#ma3ing rocesses affecting their rights and !enefits as may !e rovided !y law. 687 *he State shall romote the rinci le of shared res onsi!ility !etween wor3ers and em loyers and the referential use of voluntary modes in settling dis utes, including conciliation, and shall enforce their mutual com liance therewith to foster industrial eace. 697 *he State shall regulate the relations !etween wor3ers and em loyers, recogniAing the right of la!or to its 'ust share in the fruits of roduction and the right of enter rises to reasona!le returns on investments, and to e% ansion and growth. Secti ! 2. andate. # *he >e artment shall !e the rimary olicy#ma3ing, rogramming, coordinating and administrative entity of the E%ecutive ?ranch of the government in the field of la!or and em loyment. ,t shall assume rimary res onsi!ility for2 617 *he romotion of gainful em loyment o ortunities and the o timiAation of the develo ment and utiliAation of the countryEs man ower resources" 687 *he advancement of wor3ersE welfare !y roviding for 'ust and humane wor3ing conditions and terms of em loyment" 697 *he maintenance of industrial eace !y romoting harmonious, e5uita!le, and sta!le em loyment relations that assure e5ual rotection for the rights of all concerned arties. Secti ! %. Po-ers and (unctions. # *he >e artment of :a!or and Em loyment shall2 617 Enforce social and la!or legislation to rotect the wor3ing class and regulate the relations !etween the wor3er and his em loyer"

687 +ormulate and recommend olicies, lans and rograms for man ower develo ment, training, allocation, and utiliAation" 697 Recommend legislation to enhance the material, social and intellectual im rovement of the nationEs la!or force" 6;7 1rotect and romote the interest of every citiAen desiring to wor3 locally or overseas !y securing for him the most e5uita!le terms and conditions of em loyment, and !y roviding social and welfare services" 6<7 Regulate the em loyment of aliens, including the enforcement of a registration or wor3 ermit system for such aliens, as rovided for !y law" 6=7 +ormulate general guidelines concerning wage and income olicy" 677 Recommend necessary ad'ustments in wage structures with a view to develo ing a wage system that is consistent with national economic and social develo ment lans" 6$7 1rovide for safe, decent, humane and im roved wor3ing conditions and environment for all wor3ers, articularly women and young wor3ers" 697 Faintain a harmonious, e5uita!le and sta!le la!or relations system that is su the national economic olicies and rograms" ortive of

61B7 0 hold the right of wor3ers and em loyers to organiAe and romote free collective !argaining as the foundation of the la!or relations system" 6117 1rovide and ensure the fair and e% editious settlement and dis osition of la!or and industrial dis utes through collective !argaining, grievance machinery, conciliation, mediation, voluntary ar!itration, com ulsory ar!itration as may !e rovided !y law, and other modes that may !e voluntarily agreed u on !y the arties concerned" and 6187 1erform such other functions as may !e rovided !y law. Secti ! &. ,r!anizational Structure. # *he >e artment shall consist of the )ffice of the Secretary, and 0ndersecretaries and Assistant Secretaries, the Services and Staff ?ureaus, and the Regional )ffices. CHAPTER 2 DEPARTMENT PROPER Secti ! '. ,ffice of the Secretary. # *he )ffice of the Secretary shall consist of the Secretary and his immediate staff. Secti ! (. 4oint #P&)S "abor Committee Staff . # *here is here!y created in the )ffice of the Secretary a Coint R1#0S :a!or Committee Staff which shall rovide technical and other necessary services to the 1hili ine anel in the Coint :a!or Committee created under the R1#0S ?ase :a!or Agreement and for other s ecial ro'ects. *he unit shall !e headed !y a Head E%ecutive Assistant who shall !e assisted !y five 6<7 staff assistants.

Secti ! 7. )ndersecretary. # *he Secretary shall !e assisted !y not more than four 6;7 0ndersecretaries who shall !e a ointed !y the 1resident u on the recommendation of the Secretary. *he Secretary is here!y authoriAed to delineate and assign the res ective functional areas of res onsi!ility of the 0ndersecretaries. Secti ! 8. %ssistant Secretaries. # *he Secretary shall li3ewise !e assisted !y not more than four 6;7 Assistant Secretaries who shall !e a ointed !y the 1resident u on the recommendation of the Secretary. *he Secretary is here!y authoriAed to delineate and assign the res ective areas of functional res onsi!ility of the Assistant Secretaries. Within his functional area of res onsi!ility, the Assistant Secretary shall assist the Secretary and 0ndersecretaries in the formulation, determination and im lementation of laws, olicies, lans, rograms and ro'ects on la!or and shall oversee the day#to#day administration and su ervision of the constituent units of the >e artment. CHAPTER % DEPARTMENT SERVICES Secti ! 9. Plannin! Service. # *he 1lanning Service shall rovide the >e artment with efficient, effective and economical services relating to lanning, rogramming, ro'ect develo ment and evaluation, and the develo ment and im lementation of a management information system. Secti ! 1). %dministrative Service. # *he Administrative Service shall rovide the >e artment with efficient, effective and economical services relating to records, management, su lies, e5ui ment, collections, dis!ursements, !uilding administration and maintenance, security and custodial wor3. Secti ! 11. 1uman #esource Development Service. # *he Human Resource >evelo ment Service shall rovide the >e artment with a rogram and corres onding ro'ects that shall ma3e availa!le training, education and develo ment o ortunities needed to u grade the levels of com etence and roductivity of >e artment managers and ersonnel. ,t shall a!sor! the owers and functions of the Administrative Service in relation to the develo ment and administration of ersonnel rograms including selection and lacement, develo ment, erformance evaluation, em loyee relations and welfare. Secti ! 12. (inancial ana!ement Service. # *he +inancial and Fanagement Service shall !e res onsi!le for roviding the >e artment with efficient, effective and economical services relating to !udgetary, financial, management im rovement and internal control matters. Secti ! 1%. "e!al Service. # *he :egal Service shall rovide legal advice and service to >e artment officers and em loyees" re are informative or clarificatory o inions on la!or laws, rules and regulations for uniform inter retation thereof" answer legal 5ueries from the u!lic" assist the )ffice of the Solicitor &eneral in suits involving the >e artment or its officers or em loyees or act as their rinci al counsel in all actions ta3en in their official ca acity or other causes !efore 'udicial or administrative !odies. Secti ! 1&. /nternational "abor %ffairs Service. # *he ,nternational :a!or Affairs Service shall !e res onsi!le for monitoring the o!servance and im lementation of all o!ligations, courtesies, and facilities re5uired !y international la!or affairs, articularly the ,nternational :a!or )rganiAation, the Conference of Asian 1acific :a!or Finistries, the Association of Southeast Asian (ations :a!or Finistries Feeting, of which the 1hili ines is a mem!er, and related international la!or standards and agreements reached in various international la!or forums, treaties, and other multilateral, !ilateral or multi#!ilateral agreements in the area of la!or and em loyment" rovide staff su ort and olicy guidelines to the Secretary in the su ervision, monitoring and re orting of the activities of the 1hili ine overseas la!or officers assigned in different countries" serve as the instrumentality of the

>e artment for technical coo eration, rograms and activities with other countries and international institutions. Secti ! 1'. /nformation and Publication Service. # *he ,nformation and 1u!lication Service shall !e res onsi!le for ra ort and understanding !etween the >e artment and the u!lic through the develo ment of u!lic relations rograms and the dissemination of accurate and u dated information on la!or and em loyment, !y means of u!lications and media coverages of s ecial events and related matters on the >e artmentEs olicies, lans, rograms, and ro'ects" li3ewise, it shall !e res onsi!le for roviding answers to 5ueries from the u!lic regarding the >e artmentEs olicies, rules, regulations, rograms, activities and services. CHAPTER & "UREAUS Secti ! 1(. +ureau of "abor #elations. # *he ?ureau of :a!or Relations shall set olicies, standards, and rocedures on the registration and su ervision of legitimate la!or union activities including denial, cancellation and revocation of la!or union ermits. ,t shall also set olicies, standards, and rocedure relating to collective !argaining agreements, and the e%amination of financial records of accounts of la!or organiAations to determine com liance with relevant laws. *he ?ureau shall also rovide ro er orientation to wor3ers on their schemes and ro'ects for the im rovement of the standards of living of wor3ers and their families. Secti ! 17. +ureau of "ocal Employment. # *he ?ureau of :ocal Em loyment shall2 617 +ormulate olicies, standards and rocedures on roductive man ower resources, develo ment, utiliAation and allocation. 687 Esta!lish and administer a machinery for the effective allocation of man ower resources for ma%imum em loyment and lacement" 697 >evelo and maintain a res onsive vocational guidance and testing system in aid of ro er human resources allocation" 6;7 Regulate and su ervise rivate sector artici ation in the recruitment and lacement of wor3ers locally under such rules and regulations as may !e issued !y the Secretary" 6<7 Esta!lish and maintain a registration or wor3 ermit system to regulate em loyment of aliens" 6=7 >evelo and maintain a la!or mar3et information system in aid of ro er man ower and develo ment lanning" 677 +ormulate em loyment rograms designed to !enefit disadvantaged grou s and communities" and 6$7 1erform other functions as may !e rovided !y law. Secti ! 18. +ureau of Women and ?oun! Wor.ers. # *he ?ureau of Women and Doung Wor3ers shall2

617 +ormulate olicies and romulgate orders, rules and regulations im lementing the rovisions of the :a!or Code affecting wor3ing women and minors" 687 Set standards which shall rotect the welfare of the wor3ing women and minors, im rove their wor3ing conditions, increase their efficiency, secure o ortunities for their rofita!le em loyment and find ways for their economic, educational, social and cultural advancement" 697 1re are and recommend to the Secretary of :a!or and Em loyment the a roval and issuance of such rules and regulations necessary in the inter retation of all laws relating to the em loyment of women and minors" 6;7 0nderta3e studies and su!mit recommendations on the em loyment of women and minors in commercial, industrial and agricultural esta!lishments and other laces of la!or" 6<7 Act as the governmentEs clearinghouse of all information relating to wor3ing women and minors" 6=7 0nderta3e develo ment studies on the training needs of women and minors and develo rograms and ro'ects to enhance their roductivity and effective artici ation in community develo ment" 677 1rotect every child em loyed in the movie, television, radio and entertainment industries against e% loitation, im ro er influences, haAards and other conditions or circumstances re'udicial to his hysical, mental, emotional, social and moral develo ment. 6$7 0nderta3e ro'ects and in#service training rograms for wor3ing children to im rove their otentials for em loyment and their ca a!ilities and hysical fitness, increase their efficiency, secure o ortunities for their romotion, re are them for more res onsi!le ositions, and rovide for their social, educational and cultural advancement, in coo eration with la!or and management" and 697 1erform such other functions as may !e rovided !y law. Secti ! 19. +ureau of #ural Wor.ers. # *he ?ureau of Rural Wor3ers shall2 617 Assist rural wor3ers, dis laced farmers, and migratory wor3ers in see3ing gainful em loyment" 687 Conduct studies and draw u rograms for re#training of dis laced agricultural wor3ers"

697 Coordinate with regional offices and local government units in re aring a census of rural wor3ers see3ing em loyment" and 6;7 1erform such other functions as may !e assigned !y the Secretary. Secti ! 2). +ureau of Wor.in! Conditions. # *he ?ureau of Wor3ing Conditions shall2 617 >evelo and rescri!e safety standards, measures and devices" romote safety consciousness and ha!its among wor3ers" develo and evaluate occu ational safety and health rograms for wor3ers"

687 >evelo lans, rograms, standards and rocedures for the enforcement of laws relating to la!or standards, including the o eration of !oilers, ressure vessels, machinery, internal com!ustion engines, elevators, electrical e5ui ment, wiring installations, and the construction, demolition, alteration and use of commercial and industrial !uildings and other wor3 laces" 697 1re are rules and regulations, inter retative !ulletins and legal o inions relating to the administration and enforcement of la!or standards" and rovide manuals and lan rograms for the training of field ersonnel" 6;7 1rovide technical and legal assistance to the :a!or Standards Commission" and 6<7 1erform such other functions as may !e rovided !y law. Secti ! 21. /nstitute for "abor Studies. # *he ,nstitute for :a!or Studies shall !e attached to the >e artment of :a!or and Em loyment. +or olicy and rogram coordination and administrative su ervision, the ,nstitute shall a!sor! the research and u!lication functions of the ,nstitute of :a!or and Fan ower Studies. *he ,nstitute, to !e headed !y an E%ecutive >irector, assisted !y a >e uty E%ecutive >irector, shall have the following functions2 617 0nderta3e research and studies in all areas of la!or and man ower olicy and administration" 687 Review the rationale of e%isting legislation and regulations and analyAe the costs involved in the im lementation of such legislation against the !enefits e% ected to !e derived" 697 Study and develo innovative and indigenous a roaches towards the romotion of harmonious and roductive la!or#management and the im rovement of wor3ersE welfare services" 6;7 >evelo and underta3e research rograms and ro'ects in colla!oration with other national agencies to enhance the >e artmentEs ca a!ility to artici ate in national decision and olicy ma3ing" 6<7 Enter into agreements with international or !ilateral agencies for the carrying out of the foregoing functions" 6=7 E% and the sco e of its research interests into other countries and regions" 677 1u!lish its research studies for dissemination to government as well as to all concerned arties" and 6$7 1erform such other functions as may !e rovided !y law. Secti ! 22. +ureau of "abor and Employment Statistics. # *he ?ureau of :a!or and Em loyment Statistics shall2 617 +ormulate, develo and im lement lans and rograms on the la!or statistical system in order to rovide the government with timely, accurate and relia!le data on la!or and em loyment"

687 Conduct nationwide surveys and studies which will generate trends and structures on la!or and em loyment" 697 >evelo and rescri!e uniform statistical standards, nomenclatures and methodologies for the collection, rocessing, resentation and analysis of la!or and em loyment data" 6;7 Esta!lish a ro riate mechanisms for the coordination of all statistical activities in the >e artment and for colla!oration with other government and rivate agencies including international research organiAations in the conduct of surveys and studies in the area of la!or and em loyment" 6<7 >isseminate statistical information and rovide statistical services or advice to the users !y esta!lishing a data !an3 and issuing the ?ureauEs statistical materials and research findings" 6=7 >evelo and underta3e rograms and ro'ects geared toward enhancement of the technical com etence of the >e artment on theories, techni5ues and methodologies for the im rovement of the la!or statistical system" 677 Fonitor and e%ercise technical su ervision over the statistical units in the >e artment and its agencies" and 6$7 1erform such other functions as may !e rovided !y law or assigned !y the Secretary. Secti ! 2%. (ational Conciliation and Fediation ?oard. # *he (ational Conciliation and Fediation ?oard, shall a!sor! the conciliation, mediation and voluntary ar!itration functions of the ?ureau of :a!or Relations. *he ?oard shall !e com osed of an Administrator and two 687 >e uty Administrators. ,t shall !e an attached agency under the administrative su ervision of the Secretary of :a!or and Em loyment. *he Administrator and the >e uty Administrators shall !e a ointed !y the 1resident u on recommendation of the Secretary of :a!or and Em loyment. *here shall !e as many Conciliators# Fediators as the needs of the u!lic service re5uire, who shall have at least three 697 years of e% erience in handling la!or relations and who shall !e a ointed !y the Secretary. *he ?oard shall have its main office in Fetro olitan Fanila and its Administrator shall e%ercise su ervision over Conciliators#Fediators and all its ersonnel. ,t shall esta!lish as many !ranches as there are administrative regions in the country, with as many Conciliators#Fediators as shall !e necessary for its effective o eration. Each !ranch of the ?oard shall !e headed !y an E%ecutive Conciliator# Fediator. *he ?oard shall have the following functions2 617 +ormulate olicies, rograms, standards, rocedures, manuals of o eration and guidelines ertaining to effective mediation and conciliation of la!or dis utes" 687 1erform reventive mediation and conciliation functions" 697 Coordinate and maintain lin3ages with other sectors or institutions, and other government authorities concerned with matters relative to the revention and settlement of la!or dis utes"

6;7 +ormulate olicies, lans, rograms, standards, rocedures, manuals of o eration and guidelines ertaining to the romotion of coo erative and non#adversarial schemes, grievance handling, voluntary ar!itration and other voluntary modes of dis ute settlement" 6<7 Administer the voluntary ar!itration rogram" maintain or u date a list of voluntary ar!itrations" com ile ar!itration awards and decisions" 6=7 1rovide counselling and reventive mediation assistance articularly in the administration of collective agreements" 677 Fonitor and e%ercise technical su ervision over the ?oard rograms !eing im lemented in the regional offices" and 6$7 1erform such other functions as may !e rovided !y law or assigned !y the Secretary. *he *ri artite @oluntary Ar!itration Advisory Council, which is attached to the (ational Conciliation and Fediation ?oard, shall advise the (ational and Conciliation and Fediation ?oard on matters ertaining to the romotion of voluntary ar!itration as the referred mode of dis ute settlement. *he *ri artite @oluntary Ar!itration Advisory Council shall consist of the Administrator of the (ational Conciliation and Fediation ?oard as Chairman, one other mem!er from the government, two 687 mem!ers re resenting la!or, and two 687 other mem!ers re resenting management. *he mem!ers shall !e a ointed !y the 1resident to serve for a term of three 697 years. *he Chairman and Fem!ers shall serve without com ensation. CHAPTER ' REGIONA$ OFFICES Secti ! 2&. #e!ional ,ffices* District ,ffices and Provincial E2tension )nits. # *he >e artment is here!y authoriAed to esta!lish, o erate and maintain such >e artment#wide Regional )ffices, >istrict )ffices and 1rovincial E%tension 0nits in each of the administrative regions of the country, insofar as necessary to romote economy and efficiency in the delivery of its services. ,ts Regional )ffice shall !e headed !y a Regional >irector who shall have su ervision and control thereof. *he Regional >irector, whenever necessary, shall !e assisted !y an Assistant Regional >irector. A Regional )ffice shall have, within its regional areas, the following functions2 617 ,m lement laws, olicies, lans, rograms, ro'ects, rules and regulations of the >e artment" 687 1rovide economical, efficient and effective service to the eo le" 697 Coordinate with regional offices of other de artments and agencies" 6;7 Coordinate with local government units" and 6<7 1erform such other functions as may !e rovided !y law or assigned !y the Secretary. CHAPTER ( ATTACHED AGENCIES

Secti ! 2'. %ttached %!encies. # *he following agencies are attached to the >e artment for olicy and rogram coordination and administrative su ervision2 617 (ational Wages Council" 687 1hili ine )verseas Em loyment Administration"

697 Em loyeesE Com ensation Commission 6ECC7 which shall include the E%ecutive >irector of the ECC as an e% officio mem!er of the Commission" 6;7 *he (ational Fan ower and Douth Council" 6<7 *he (ational :a!or Relations Commission" 6=7 )verseas Wor3ersE Welfare Administration" 677 Faritime *raining Council" and 6$7 (ational Faritime 1olytechnic. Tit-e VIII NATIONA$ DEFENSE S34tit-e I PRE$IMINARY PROVISIONS CHAPTER 1 NATIONA$ DEFENSE PO$ICIES Secti ! 1. Declaration of Policies. # 617 *he rime duty of the &overnment is to serve and rotect the eo le. &overnment may call u on the eo le to defend the State and, in fulfillment thereof, all citiAens may !e re5uired, under conditions rovided !y law, to render ersonal military or civil service. 687 Civilian authority is, at all times, su reme over the military. *he Armed +orces of the 1hili ines is the rotector of the eo le and the State. ,ts goal is to secure the sovereignty of the State and the integrity of the national territory. CHAPTER 2 NATIONA$ SECURITY COUNCI$ Secti ! 2. Declaration of Policies. # 617 *he formulation of integrated and rationaliAed national, foreign, military, olitical, economic, social and educational olicies, rograms, and rocedures vital to the security of the state.

687 *he national interest re5uires that an agency e%ist to formulate and ado t olicies, rograms, and rocedures on all matters ertaining to or affecting the national security so that 'udgments and actions thereon !y the 1resident may rest on sound advice and accurate information. Secti ! %. andate. # *he (ational Security Council shall serve as the lead agency of the government for coordinating the formulation of olicies, relating to or with im lications on the national security. Secti ! &. Composition. # *he (ational Security Council, hereinafter referred to as Council, shall !e com osed of the 1resident as Chairman, the @ice#1resident, the Secretary of +oreign Affairs, the E%ecutive Secretary, the Secretary of (ational >efense, the Secretary of Custice, the Secretary of :a!or and Em loyment, the Secretary of :ocal &overnments, the (ational Security >irector, the Chief of Staff of the Armed +orces of the 1hili ines 6A+17, and such other government officials and rivate individuals as the 1resident may a oint. Secti ! '. Po-ers and (unctions. # ,n addition to such s ecific duties and res onsi!ilities as the 1resident may direct, the Council shall2 617 Advise the 1resident with res ect to the integration of domestic, foreign, military, olitical, economic, social, and educational olicies relating to the national security so as to ena!le all concerned de artments and agencies of the government to meet more effectively, ro!lems and matters involving the national security" 687 Evaluate and analyAe all information, events, and incidents in terms of the ris3s they ose or im lications u on or threats to the overall security and sta!ility of the nation, for the ur ose of recommending to the 1resident a ro riate action thereon" 697 +ormulate and coordinate the im lementation of olicies on matters of common interest to the various de artments, and agencies of the government concerned with the national security, and ma3e recommendations to the 1resident in connection therewith" 6;7 ,nsure that olicies ado ted !y the Council on national security are effectively and efficiently im lemented" and 6<7 Fa3e such recommendations or render such other re orts as the 1resident may from time to time re5uire. Secti ! (. E2ecutive Committee. # *he Council shall have an E%ecutive Committee com osed of the 1resident as Chairman, and the @ice#1resident and Secretary of +oreign Affairs, the E%ecutive Secretary, the Secretary of (ational >efense, the (ational Security >irector, the Chief of Staff of the Armed +orces of the 1hili ines and such other mem!ers or advisers as the 1resident may a oint from time to time. *he E%ecutive Committee shall review national security and defense ro!lems and formulate ositions or solutions for consideration !y the Council. ,t shall determine the agenda and order of !usiness of the Council, and shall ensure that decisions of the Council are clearly communicated to the agencies involved. ,t shall advise the 1resident on the im lementation of decisions.

*o carry out the functions of the E%ecutive Committee, the Chairman shall utiliAe the facilities and e% ertise of any of the government agencies and instrumentalities and shall romulgate rules and regulations to govern the o erations of the E%ecutive Committee. Secti ! 7. Secretariat. # *he Council shall have a ermanent Secretariat which shall !e under the su ervision and control of the (ational Security >irector. *he (ational Security >irector shall !e assisted !y a >e uty who li3e the (ational Security >irector, shall !e a ointed !y, and serve at the leasure of, the 1resident. *he (ational Security >irector shall attend and artici ate in meetings of the Ca!inet and have the rivileges of a mem!er thereof. Secti ! 8. Duties of Director. # Among other duties, the (ational Security >irector shall advise the 1resident on matters ertaining to national security and, whenever directed !y the 1resident, see to the im lementation of decisions and olicies !y the 1resident or the (ational Security Council which have im lications on national security. CHAPTER % NATIONA$ INTE$$IGENCE COORDINATING AGENCY Secti ! 9. (unctions. # *he (ational ,ntelligence Coordinating Agency, hereinafter referred to as the Agency, shall2 617 Serve as the focal oint for coordination and integration of government activities involving national intelligence" 687 1re are intelligence estimates of local and foreign situations for the formulation of national olicies !y the 1resident" and 697 1rovide su ort and assistance to the (ational Security Council.

Secti ! 1). The Director&General. # *he Agency shall !e headed !y a >irector#&eneral who shall !e assisted !y a >e uty >irector#&eneral. ?oth officials shall !e a ointed !y the 1resident and shall hold office at the leasure of the 1resident. Secti ! 11. The Deputy&Director General. # *he >e uty >irector#&eneral shall assist the >irector# &eneral in the erformance of official functions and, in his a!sence, erform the functions of the >irector#&eneral. Secti ! 12. ,r!anizational Structure. # *he organiAation of the Agency shall consist of the following2 617 *he )ffice of the >irector#&eneral which shall underta3e the overall management and o eration of the various com onents of the agency, rovide e%ecutive staff su ort, u!lic relations, legal service, and internal audit for the Agency" 687 *he >irectorate for ) erations, headed !y the Assistant >irector#&eneral for ) erations, which shall !e res onsi!le for the collection of information" 697 *he >irectorate for 1roduction, headed !y the Assistant >irector#&eneral for 1roduction, which shall !e res onsi!le for the re aration of intelligence estimates and other re orts, and the maintenance of automated data rocessing for the Agency"

6;7 *he >irectorate for Administration, headed !y the Assistant >irector#&eneral for Administration, which shall !e res onsi!le for ersonnel and training, trans ortation and communications, su lies and materials, grounds and !uilding maintenance, security, and other su ort services" 6<7 *he Fanagement and 1lanning )ffice which shall formulate lans, olicies and rograms on the direction, integration and coordination of national intelligence activities and on the o eration and management im rovement of the Agency" 6=7 *he )ffice of the Com troller which shall, rovide financial management and control for the Agency" and 677 As many +ield Stations as may !e determined !y the >irector#&eneral which shall underta3e intelligence collection activities and rovide re orts necessary for the re aration of assessments and estimates. *he organiAation and staffing attern of the Agency shall !e recommended !y the >irector#&eneral for a roval of the 1resident. Secti ! 1%. %dministrative Supervision +y the National Security Council. # *he Agency shall !e under the administrative su ervision of, and give su ort services to, the (ational Security Council" however, the agency may re ort directly to the 1resident, as the 1resident may re5uire. Secti ! 1&. National /ntelli!ence +oard. # 617 *he (ational ,ntelligence ?oard shall serve as an advisory !ody to the >irector of the Agency, on matters ertaining to the integration and coordination of intelligence activities, and shall ma3e recommendations on such matters as the >irector may from time to time su!mit to it for consideration. 687 *he mem!ers of the (ational ,ntelligence ?oard shall !e a ointed !y the 1resident. *he (ational Security >irector may sit in all meetings of the ?oard. S34tit-e II DEPARTMENT OF NATIONA$ DEFENSE CHAPTER 1 GENERA$ PROVISIONS Secti ! 1'. Declaration of Policy. # *he defense esta!lishment shall !e maintained to ma%imiAe its effectiveness for guarding against e%ternal and internal threats to national eace and security and rovide su ort for social and economic develo ment. Secti ! 1(. General ilitary Council. # *he &eneral Filitary Council shall advise and assist the Secretary in the formulation of military olicies and shall consider and re ort on such other matters as the Secretary may direct. *he Council shall !e com osed of the Secretary as Chairman" and the 0ndersecretary of (ational >efense, the Chief of Staff, the @ice#chief of Staff, the Assistant Chief of Staff of the Armed +orces of the 1hili ines, and the Commanders of the Fa'or Services, as mem!ers. *he >e uty Chief of Staff of the Armed +orces of the 1hili ines shall !e the Secretary of the Council.

Secti ! 17. Prohibition on Detail of %(P Personnel. # (o mem!er of the armed forces in the active service shall, at any time, !e a ointed or designated in any ca acity to a civilian osition in the &overnment including government#owned or controlled cor orations or any of their su!sidiaries. Secti ! 18. ,r!anizational Structure. # *he >e artment shall !e com osed of the Secretary, the 0ndersecretary and Assistant Secretaries and their immediate staffs as determined !y them res ectively, and such other !odies as are rovided !y law. *he &overnment Arsenal, )ffice of Civil >efense, 1hili ine @eterans Affairs )ffice, Armed +orces of the 1hili ines, (ational >efense College of the 1hili ines and the ,ntegrated (ational 1olice shall !e under the su ervision and control of the >e artment, e%ce t as may !e rovided !y s ecial laws. CHAPTER 2 DEPARTMENT PROPER Secti ! 19. ,ffice of the Secretary. # *he )ffice of the Secretary shall consist of the Secretary and his immediate staff as determined !y him. Secti ! 2). ,ffice of the )ndersecretary. # *he functions of the 0ndersecretary shall !e as follows2 617 Advise and assist the Secretary in the formulation and im lementation of >e artmentEs o!'ectives and olicies" 687 )versee all the o erational activities of the >e artment for which he shall !e res onsi!le to the Secretary" 697 Coordinate the rograms and ro'ects of the >e artment, and !e res onsi!le for its economical, efficient, and effective administration" 6;7 Serve as de uty to the Secretary, in all matters relating to the o erations of the >e artment" and 6<7 1erform such other functions as may !e rovided !y law. When the Secretary is una!le to erform his duties owing to illness, a!sence, or other cause, as in case of vacancy in the )ffice, the 0ndersecretary shall tem orarily erform the functions of said )ffice. Secti ! 21. E2ecutive Staff . # *he E%ecutive Staff shall !e com osed of the Staff for 1lans and 1rograms, Staff for ,nstallation and :ogistics, Staff for 1u!lic Affairs, Staff for Strategic Assessment, Staff for Com trollershi , Staff for 1ersonnel, and the :egal Service. Secti ! 22. The Service Staff . # *he Service Staff shall !e com osed of the Administrative Services )ffice, and ,nformation Fanagement )ffice. Secti ! 2%. Personal Staff . # *here shall !e a 1ersonal Staff as may !e determined !y the Secretary. CHAPTER % GOVERNMENT ARSENA$

Secti ! 2&. ,r!anization. # *he &overnment Arsenal shall !e headed !y a >irector who shall !e assisted !y one or more Assistant >irectors. ,t shall have staff and o erating units rovided !y law. Secti ! 2'. 5ualification. # *he >irector and Assistant >irectors shall have the e% ertise, training or e% erience in the field of munitions. Secti ! 2(. (unctions. # 617 *he Arsenal shall2 617 Esta!lish, o erate, and maintain government arsenal" 687 +ormulate lans and rograms to achieve self#sufficiency in arms, mortars and other wea ons and munitions" 697 >esign, develo , manufacture, rocure, stoc3 ile, and allocate arms, mortars and other wea ons and munitions without the necessity of o!taining any ermits or licenses, and devise ways and means for the efficient mo!iliAation of civilian industry to augment the roduction of the Arsenal in times of emergency" and 6;7 1erform such other functions as may !e rovided !y law. CHAPTER & OFFICE OF CIVI$ DEFENSE Secti ! 27. ,r!anization. # *he )ffice of Civil >efense shall !e headed !y an Administrator who shall !e assisted !y a >e uty Administrator. *he )ffice shall have staff and o erating units as may !e rovided !y law. Secti ! 28. (unctions. # *he )ffice shall2 617 ,n times of war and other national emergencies of e5ually grave character, coordinate the activities and functions of various government agencies and instrumentalities, as well as of rivate institutions and civic organiAation devoted to u!lic welfare to ma%imiAe the utiliAation of the facilities and resources of the entire nation for the rotection and reservation of the civilian o ulation and ro erty" 687 Esta!lish and administer a com rehensive national civil defense and assistance rogram to include the estimation of the total material, man ower fiscal re5uirements for carrying out the said rogram and coordinate the allocation to local government units such aid in facilities, materials and funds as may !e made availa!le !y the national government" 697 +urnish guidance and coordinate the activities of the national government, local governments, rivate institutions and civic organiAation for civil re aredness" 6;7 >evelo and coordinate a rogram for informing, educating and training the u!lic on civil defense measures and activities" and 6<7 1erform such other functions as may !e rovided !y law. Secti ! 29. ,peratin! Services. # *he Administrator shall, su!'ect to the a roval of the Secretary of (ational >efense, rescri!e the organiAation, functions, duties and res onsi!ilities of civil defense units on the national and local government levels, in connection with the various o erating units for

civil defense. Civil defense o erating units shall !e esta!lished for the national and local government defense organiAations. *he local units shall o erate under the su ervision and control of the res ective heads of the local government civil defense organiAations to which they a ertain. Secti ! %). +asic* Technical and %dministrative Services. # 617 *he !asic services of the A+1 shall !e com osed of the Fa'or Services. Enlisted ersonnel of the standing force and the reserve force must !elong to one of the !asic services. 687 *he technical services of the A+1 shall !e com osed of the Fedical Cor s, >ental Service, (urse Cor s, @eterinary Cor s and the Cudge Advocate &eneral Service. 697 *he administrative services shall consist of the Cha lain Service, Women Au%iliary Cor s, Fedical Administrative Cor s and the Cor s of 1rofessors. 6;7 A ro riate military occu ational s ecialties may !e rescri!ed !y the Chief of Staff for each of the !asic, technical and administrative services. 6<7 A ointment of officers to the !asic, technical and administrative services, and enlistment in the !asic service shall !e governed !y rules and regulations rescri!ed !y the Secretary of (ational >efense. CHAPTER ' PHI$IPPINE VETERANS AFFAIRS OFFICE Secti ! %1. ,r!anization. # *he 1hili ine @eterans Affairs )ffice shall !e headed !y an Administrator who may !e assisted !y one >e uty Administrator. ,t shall have staff and o erating units rovided !y law. Secti ! %2. (unctions. # *he )ffice shall2 617 +ormulate and romulgate, su!'ect to the a roval of the Secretary of (ational >efense, olicies, rules and regulations governing the ad'udication and administration of veterans claims and !enefit" 687 Ad'udicate and administer !enefits, ensions and other rivileges granted to veterans, their heirs and !eneficiaries" 697 1rovide medical care and treatment to veterans ursuant to e%isting law" 6;7 Administer, develo , and maintain military shrines" 6<7 +ormulate olicies concerning the affairs, lacement and training of e%#servicemen, and assist their widows and de endents, and other retired military ersonnel" and 6=7 1erform such other functions as may !e rovided !y law. CHAPTER ( ARMED FORCES OF THE PHI$IPPINES

Secti ! %%. (unctions. # *he Armed +orces of the 1hili

ines 6A+17 shall2

617 0 hold the sovereignty, su ort the Constitution, and defend the territory of the Re u!lic of the 1hili ines against all enemies, foreign and domestic" 687 1romote and advance the national aims, goals, interests and olicies" 697 1lan, organiAe, maintain, develo and de loy its regular and citiAen reserve forces for national security" and 6;7 1erform such other functions as may !e rovided !y law or assigned !y higher authorities. Secti ! %&. Composition. # 617 *he A+1 shall !e com osed of a citiAen armed force which shall undergo military training and serve, as may !e rovided !y law. ,t shall !e organiAed and maintained in a manner that shall render it ca a!le of ra id e% ansion from a eacetime organiAation to a wartime or emergency organiAation. *he A+1 shall 3ee a regular force necessary for the security of the State. *he officers and men of the regular force shall !e recruited ro ortionately from all rovinces and cities as far as ractica!le. 687 *he Standing +orce shall !e com osed of regular officers and enlisted ersonnel" reservists called to active duty" draftees" trainees and government#s onsored +ili ino cadets enrolled in local or foreign military schools. ,n time of eace, the siAe and com osition of the Standing +orce shall !e rescri!ed !y the Secretary of (ational >efense, u on recommendation of the Chief of Staff. 697 *he CitiAen Armed +orce shall !e com osed of all reservists, and officers and enlisted men on inactive status. All A!le#!odied citiAens shall undergo military training, after which they shall !ecome reservists with a ro riate ran3s. All reservists in a articular locality shall !e organiAed into reserve geogra hical units su!'ect to call and mo!iliAation as the need arises, individually or as a unit. *he Secretary of (ational >efense shall rescri!e and im lement a continuing rogram of recruitment and training for the CitiAen Armed +orce to ena!le it to res ond to all ty es of threats to national security. Secti ! %'. ,r!anizational Structure. # *he A+1 shall consist of the &eneral Head5uarters" the Fa'or Services namely2 the 1hili ine Army, the 1hili ine Air +orce, the 1hili ine (avy and, until otherwise rovided !y law, the 1hili ine Consta!ulary" and other e%isting units, services and commands of the A+1. *he Secretary of (ational >efense may, in accordance with the olicies or directives of the 1resident, create additional units, services and commands, or reorganiAe the A+1 in res onse to any situation or in ursuance of o erational or contingency lans. (o Fa'or Service may !e unfilled, inactivated or merged with another Service, without the a roval of the Congress. Secti ! %(. +asic* Technical and %dministrative Service. # 617 *he !asic services of the A+1 shall !e com osed of the ma'or services. Enlisted ersonnel of the standing force and the reserve force must !elong to one of !asic services. 687 *he technical services of the A+1 shall !e com osed of Fedical Cor s, >ental Service, (urse Cor s, @eterinary Cor s and the Cudge Advocate &eneral Service.

697 *he administrative service shall consist of the Cha lain Service, Women Au%iliary Cor s, Fedical Administrative Cor s and the Cor s of 1rofessors. 6;7 A ro riate military occu ational s ecialties may !e rescri!ed !y the Chief of Staff for each of the !asic, technical and administrative services. 6<7 A ointment of officers to the !asic, technical and administrative !y rules and regulations rescri!ed !y the Secretary of (ational >efense. Secti ! %7. The Citizen %rmed (orced. # 617 *he Secretary of (ational >efense shall cause the organiAation of the CitiAen Armed +orce into &eogra hical 0nits throughout the country. *he CitiAen Armed +orce &eogra hical 0nits shall consist of cadre of officers and men in the Standing +orce and all 5ualified reservists residing in a articular locality. *he cadre may, however, !e assigned to another unit in the active force while the &eogra hical 0nits to which they are assigned are on inactive status. 687 Whenever dictated !y military necessity, and u on the recommendation of the Secretary of (ational >efense and a roved !y the 1resident, the CitiAen Armed +orce may !e called or mo!iliAed to com lement the o erations of the regular force of the A+1 or to su ort the regular force formations or units. +or this ur ose, Active Au%iliary 0nits which shall !e art of the CitiAen Armed +orce &eogra hical 0nits, may !e utiliAed, to !e constituted out of volunteers to !e screened in consultations with the local e%ecutives and civic !usiness leaders. *he status of Active Au%iliary 0nits shall !e of a degree of activation of military reservists short of full active duty status. *hey shall not !e vested with law#enforcement or olice functions. 697 All mem!ers of the CitiAen Armed +orce on training or service shall !e su!'ect to military law and the Articles of War. Secti ! %8. Tactical and Territorial ,r!anization. # 0nless otherwise rescri!ed !y law, the ma'or services and other units of the A+1 may !e organiAed into such commands, forces and organiAations as may !e rescri!ed !y the Secretary of (ational >efense. +or this ur ose, the territory of the 1hili ines may !e divided into such tactical and geogra hical areas and Aones or regions and districts as the Secretary of (ational >efense may direct. Secti ! %9. ,r!anizational Principles. # *he organiAational structure of the A+1 shall rovide for2 617 CentraliAed direction and control of &eneral Head5uarters to insure unity and coordination of efforts throughout the military esta!lishment" 687 >ecentraliAed e%ecution of o erations to the Fa'or Services and other se arate units to achieve ma%imum o erational efficiency within the military esta!lishment" 697 Common doctrine, standardiAed rocedures and techni5ues throughout the military esta!lishment to assure common understanding among all its forces and elements, facilitating there!y the attainment of ma%imum o erational efficiency and effectiveness" 6;7 >evelo ment of self#reliance conce ts for each Fa'or Service to insure national defense and security and ma%imum utiliAation of resources" and

6<7 >evelo ment of the ca a!ility to artici ate in the infrastructure ro'ects of the government. CHAPTER 7 GENERA$ HEAD1UARTERS Secti ! &). (unctions. # *he &eneral Head5uarters, A+1, shall2 617 Serve as military advisor and staff to the Secretary of (ational >efense" 687 1re are strategic lans and rovide for the strategic direction of the A+1, including the direction of o erations of unified or s ecified commands" 697 1re are integrated logistic res onsi!ilities in accordance with those lans" 6;7 1re are integrated lans for military mo!iliAation" 6<7 1rovide ade5uate, timely and relia!le 'oint intelligence for use within the >e artment" 6=7 Review ma'or ersonnel, material and logistic re5uirements of the A+1 in relation to strategic and logistic lans" 677 Review lans and rograms of the Fa'or Services and se arate units to determine their ade5uacy, feasi!ility and suita!ility for the erformance of their res ective detailed lans" 6$7 1artici ate in the re aration of com!ined lans or military action in con'unction with the armed forces of other nations" 697 Recommend to the Secretary of (ational >efense the esta!lishment and force structure of unified or s ecified commands" 61B7 >etermine the head5uarters su ort, such as facilities, ersonnel and communications re5uired !y unified or s ecified commands, and assign the res onsi!ility of roviding that su ort to a ro riate Fa'or Services" 6117 1re are and su!mit to the Secretary of (ational >efense for his consideration in the re aration of !udgets and statements of military re5uirements !ased u on strategic war lans, tas3s, riority of tas3s, force re5uirements, and general strategic guidance for the develo ment of military force" 6187 Advise and assist the Secretary of (ational >efense on research and engineering matters !y su!mitting eriodic re orts on !oard strategic guidance, overall military re5uirements, and relative military im ortance of develo ment activities to meet the needs of the A+1" 6197 1re are and su!mit to the secretary of (ational >efense recommendations to a ro riate agencies concerning general strategic guidance for the develo ment of industrial mo!iliAation rograms" 61;7 +ormulate olicies and guidelines on the organiAation of the Fa'or Services and other elements of the military esta!lishment, the training of military forces, the em loyment of

forces in the rosecution of tas3s re5uired !y law, and the em loyment of forces to assist government agencies in the im lementation of laws and regulations when so directed !y higher authorities" and 61<7 1erform such other functions as may !e rovided !y law or assigned !y higher authorities. Secti ! &1. Composition. # *he &eneral Head5uarters shall !e the command and control element of the A+1. ,t shall !e com osed of the )ffice of the Chief of Staff, )ffice of the @ice#Chief of Staff, the A+1 &eneral Staff, and other staff offices and units necessary for effective command and control of the A+1. Secti ! &2. The Chief of Staff . # 617 *he Chief of Staff, under the authority and direction of the 1resident and the Secretary of (ational >efense shall !e res onsi!le for the develo ment and e%ecution of the national defense rograms and armed forces mission" and rescri!e, in accordance with olicies of the Secretary of (ational >efense, the organiAation, owers, functions and duties of the various staff, services, installations and other units of the A+1. 687 *he 1resident shall nominate and with the consent of the Commission on A ointments, a oint the Chief of Staff from among the general and flag officers of the !asic services. He shall hold the grade of general 6+our#Star7 and shall if eligi!le !e retired in such a grade, u on relief from his assignment. 697 *he tour of duty of the Chief of Staff shall not e%ceed three 697 years. However, in times of war or other national emergency declared !y the Congress, the 1resident may e%tend such tour of duty. Secti ! &%. 3ice&Chief of Staff . # *he @ice#Chief of Staff shall !e the rinci al assistant of the Chief of Staff and shall erform the functions of the Chief of Staff during the latterEs a!sence or disa!ility. He shall !e a ointed in the same manner as the Chief of Staff and shall hold the grade of :ieutenant &eneral 6*hree#Star7. He shall !e retired in that grade if eligi!le for retirement after his relief from his assignment, unless a ointed as Chief of Staff. Secti ! &&. The %(P General Staff . # *he A+1 &eneral Staff shall advise and assist the Chief of Staff in the erformance of his functions and in the accom lishment of the tas3s of the &eneral Head5uarters. ,t shall !e headed !y the >e uty Chief of Staff, who shall !e a ointed !y the Chief of Staff. *he A+1 &eneral Staff shall !e a 'oint staff. *he various &eneral Staff )ffices shall each !e headed !y a >e uty Chief of Staff whose a ointment and tenure shall !e determined !y the Chief of Staff. *he organiAation, functions and duties of the &eneral Staff shall !e rescri!ed !y the Chief of Staff. Secti ! &'. %uthority to #eor!anize the General 1ead$uarters . # 617 *he Secretary of (ational >efense, u on recommendation of the Chief of Staff in the interest of efficiency and economy, may2 6a7 Esta!lish and organiAe staffs, offices and units in the &eneral Head5uarters in addition to the Armed +orces &eneral Staff, and rescri!e the titles, functions and duties of their mem!ers"

6!7 A!olish e%isting staffs, offices and units in the &eneral Head5uarters not s ecifically rovided in this Cha ter or !y any other rovision of law, or transfer or consolidate their functions and duties with other staffs, offices or units" and 6c7 A!olish the osition of any >e uty Chief of Staff or any general staff office and transfer or consolidate its functions and duties with those of another >e uty Chief of Staff or &eneral Staff )ffice 687 ,f the 1resident does not rescri!e otherwise, the organiAation, functions, and duties of various staffs, offices and units in the &eneral Head5uarters shall continue as rovided under e%isting laws and regulations not in conflict with rovisions of this Cha ter. CHAPTER 8 MA,OR SERVICES Secti ! &(. ,r!anization.& *he Fa'or Services shall !e organiAed !y the Chief of Staff in accordance with the olicies laid down !y the Secretary of (ational >efense. *he commanders of the Fa'or Services shall hold such grade as rovided !y law, and shall !e a ointed !y the 1resident u on the recommendation of the Secretary of (ational >efense. Secti ! &7. General Provisions. # *he Secretary of (ational >efense, u on recommendation of the Chief of Staff, A+1, shall assign to the Fa'or Services s ecific functions in su ort of the overall res onsi!ilities of the A+1 and the >e artment. Secti ! &8. The Philippine %rmy. # *he 1hili ine Army shall !e res onsi!le for the conduct of o erations on land, in coordination with the other Fa'or Services. ,t shall !e organiAed as rescri!ed !y the Secretary of (ational >efense, u on recommendation of the Chief of Staff. Secti ! &9. (unctions. # *he 1hili ine Army shall2

617 )rganiAe, train and e5ui forces for the conduct of rom t and sustained o erations on land" 687 1re are such units as may !e necessary for the effective rosecution of the national defense lans and rograms and armed forces missions, including the e% ansion of the eacetime army com onent to meet any emergency" 697 >evelo , in coordination with the other Fa'or Services, tactics, techni5ues and e5ui ment of interest to the army for field o erations" 6;7 )rganiAe, train and e5ui all army reserve units" and 6<7 1erform such other functions as may !e rovided !y law or assigned !y higher authorities. Secti ! '). The Philippine %ir (orce. # *he 1hili ine Air +orce shall !e res onsi!le for the air defense of the 1hili ines. ,t shall !e organiAed as rescri!ed !y the Secretary of (ational >efense, u on recommendation of the Chief of Staff. Secti ! '1. (unctions. # *he 1hili ine Air +orce shall2

617 )rganiAe, train, and e5ui forces for rom t and sustained air o erations for the defense of the 1hili ines" 687 )rganiAe, train, and e5ui for airlift, air!orne and tactical air o erations unilaterally or in coordination with surface forces" 697 +ormulate and develo doctrines, conce ts, systems, olicies, rocedures, strategies, tactics and techni5ues for o erations eculiar to the Air +orce" 6;7 )rganiAe, train, and e5ui all air force reserve units" and 6<7 1erform such other functions as may !e rovided !y law or assigned !y higher authorities. Secti ! '2. The Philippine Navy. # *he 1hili ine (avy shall !e res onsi!le for the naval defense of the 1hili ines. ,t shall !e organiAed as rescri!ed !y the Secretary of (ational >efense, u on recommendation of the Chief of Staff. Secti ! '%. (unctions. # *he 1hili ine (avy shall2

617 )rganiAe, train and e5ui forces for rom t and sustained naval o erations" 687 1re are the necessary naval units for the effective enforcement of all a lica!le laws u on the 1hili ine seas and waters, the rosecution of national defense lans and rograms and armed forces missions, including the e% ansion of a eacetime navy com onent to meet any emergency" 697 +ormulate and develo doctrines, conce ts, systems, olicies, rocedures, strategies, tactics and techni5ues for o erations eculiar to the (avy" 6;7 Enforce laws and regulations ertaining to navigation safety of life at sea, immigration, customs revenues, narcotics, 5uarantine, fishing and neutrality of the territory contiguous waters of the 1hili ines" 6<7 )rganiAe, train and e5ui all naval reserve units" and 6=7 1erform such other functions as may !e rovided !y law of assigned !y higher authorities. Secti ! '&. The Philippine Coast Guard. # *he 1hili ine Coast &uard shall remain as a ma'or su!ordinate unit of the 1hili ine (avy and assigned functions ertaining to safety of life at sea as vested in it !y law. Secti ! ''. The Philippine Constabulary. # 0nless otherwise rovided !y law, the 1hili ine Consta!ulary, as the national olice force, shall !e rimarily res onsi!le for the reservation of eace and order and the enforcement of laws throughout the 1hili ines. ,t shall !e organiAed, trained and e5ui ed rimarily as a law enforcement agency. ,t shall !e organiAed as rescri!ed !y the Secretary of (ational >efense u on recommendation of the Chief of Staff. Secti ! '(. (unctions. #

617 *he 1hili

ine Consta!ulary shall2

6a7 1revent and su ress lawless violence, re!ellion, insurrection, riots, !rigandage, !reaches of the eace and other distur!ances, and see to it that er etrators of those offenses are !rought to 'ustice" 6!7 )rganiAe, retain, e5ui and re are its forces for effective law enforcement o erations and olice duties" 6c7 )rganiAe, train and e5ui consta!ulary draftees, reservists and reserve units" 6d7 >evelo tactics, techni5ues, organiAation, wea ons, e5ui ment and su essential to the accom lishment of its missions" and lies

6e7 1erform such other functions as may !e rovided !y law or assigned !y higher authorities. 687 ,n times of war or national emergency, the 1hili ine Consta!ulary or any of its su!ordinate units may !e em loyed 'ointly with, or in su ort of the o erations of, the other Fa'or Services, as the 1resident may direct. Secti ! '7. %uthority of Constabulary ,fficers and Enlisted Personnel. # 617 Commissioned officers and enlisted ersonnel of the 1hili ine Consta!ulary, as eace officers, shall e%ecute lawful warrants and orders of arrest issued against any erson for any violation of law. 687 *he 1hili ine Consta!ulary shall have olice 'urisdiction throughout the 1hili ines.

697 When the consta!ulary forces in any area are una!le to co e effectively with violations of law, the Secretary of (ational >efense in accordance with the olicies or directives of the 1resident, may assign or detail commissioned officers and enlisted ersonnel of the Army, Air +orce, or (avy, to the 1hili ine Consta!ulary or any of its su!ordinate units. *he officers and enlisted ersonnel so assigned or detailed shall have the authority and duties of eace officers and shall !e governed !y the rovisions of this section for the duration of their assignment or detail. CHAPTER 9 PHI$IPPINE MI$ITARY ACADEMY Secti ! '8. ,r!anization. # 617 *he 1hili ine Filitary Academy is the rimary training and educational institution of the A+1. ,t shall !e the rimary sources of regular officers of the Standing +orce. 687 *he Academy shall !e organiAed as rescri!ed !y the Secretary of (ational >efense, u on recommendation of the Chief of Staff, A+1. 697 *he student !ody of the Academy shall !e 3nown as the Cadet Cor s of the Armed +orces of the 1hili ines 6CC#A+17 and shall have such strength as the Secretary of

(ational >efense shall determine u on the recommendation of the Chief of Staff, and within the strength limited !y the annual A ro riation Act. 6;7 *here shall !e an Academic ?oard organiAed !y the Chief of Staff, which shall !e com osed of not more than fifteen 61<7 mem!ers selected from the officers of the Academy u on recommendation of the Su erintendent. *he ?oard shall, in accordance with the rules and regulations rescri!ed !y the Chief of Staff, have the ower to confer !accalaureate degrees u on the cadets who satisfactorily com lete the a roved course of study. Secti ! '9. (unctions. # *he Academy shall re are the candidates for commission in the regular force of the A+1 and shall instruct, train and develo cadets so that each graduate shall ossess the characters, the !road and !asic military s3ills and the education essential to the successful ursuit of a rogressive military career. CHAPTER 1) NATIONA$ DEFENSE CO$$EGE OF THE PHI$IPPINES Secti ! (). ,r!anization and %dministration. # 617 *he (ational >efense College of the 1hili ines, hereafter referred to as the College, shall !e under the direction, su ervision and control of the Secretary of (ational >efense. 687 *he College shall !e headed !y a 1resident who shall administer the affairs of the College with the assistance of an E%ecutive @ice#1resident, a @ice#1resident for Academic Affairs, a @ice#1resident for Administrative Affairs and a @ice#1resident for Research and S ecial Studies. *he E%ecutive @ice#1resident shall act for the 1resident in his a!sence and shall erform such other functions as may !e assigned to him !y the 1resident. 697 *he @ice#1resident for Academic Affairs shall !e res onsi!le for the develo ment, im lementation, su ervision and evaluation of academic rograms" the @ice#1resident for Administrative Affairs, for the overall administrative su ort to all the activities of the College" and the @ice#1resident for Research and S ecial Studies, on the conduct of research wor3 and s ecial studies. 6;7 *he College shall have an Academic ?oard to assist the 1resident discharge the following functions2 6a7 Su ervise the academic affairs of the College" 6!7 Recommend academic consultants, rofessors, lecturers, instructors, research assistants and other resource ersons of the College" and 6c7 Recommend the courses of studies to !e conducted !y the College to accom lish its o!'ectives. *he ?oard shall !e com osed of the @ice#1resident for Academic Affairs as Chairman, and the Heads of the various academic disci lines as mem!ers, who shall !e designated !y the 1resident su!'ect to the a roval of the Secretary of (ational >efense. 6<7 All resource ersons of the College including !ut not limited to academic consultants, rofessors, lecturers, instructor, thesis advisers, mem!ers of e%amining and evaluating

anels, e%aminers, correctors, and technicians who are regularly em loyed in the &overnment shall, in addition to their salaries, !e entitled to receive honoraria, fees and other emoluments fi%ed !y the Secretary of (ational >efense. Secti ! (1. Po-ers and (unctions. # 617 *he College shall train and develo the s3ills and com etence of otential national defense leaders, civilian officials of the different agencies and instrumentalities of the &overnment, and selected e%ecutives from the rivate sector in the formulation and im lementation of national security olicies, and for high command and staff duty. 687 *he College shall have the ower to confer the degree of Faster in (ational Security Administration 6F(SA7 u on all its students who have satisfactorily com leted the rescri!ed course of study. Secti ! (2. Graduates of the #e!ular Course of the Colle!e. # 617 &raduates of the College will receive for ur oses of romotion to 3ey and sensitive ositions in the military and civilian offices, referential consideration andHor credit oints in the grade or class of their res ective ositions. 687 All civilian graduates who are holders of the degree of Faster in (ational Security Administration shall 5ualify for a ointment to the initial ran3 of :ieutenant Colonel in the reserve force of the Armed +orces of the 1hili ines. 697 Authority to use with honor the a!!reviation F(SA after their names is here!y given to all graduates of the regular course of the College. CHAPTER 11 INTEGRATED NATIONA$ PO$ICE Secti ! (%. Composition. # 0nless otherwise rovided !y law, the ,ntegrated (ational 1olice shall !e com osed of the 1hili ine Consta!ulary as the nucleus and the ,ntegrated 1olice +orce, +ire Services and Cail Fanagement Services as com onents, under the >e artment of (ational >efense. Secti ! (&. ,r!anizational Structures. # *he Chief of Consta!ulary shall rescri!e, su!'ect to the a roval of the Secretary of (ational >efense, the ta!le of organiAation and e5ui ment, ran3s, and osition titles, functions, duties and owers of the various staffs, services, installations and other units of the ,ntegrated (ational 1olice. *he different head5uarters of the 1hili ine Consta!ulary in the national, Aone or regional and rovincial levels shall !e the nuclei of the corres onding head5uarters of the ,ntegrated (ational 1olice. *he a ro riate offices in the different head5uarters levels may !e 'ointly staffed !y the consta!ulary, olice, 'ail and fire service officers and ersonnel so that an integrated olice and u!lic safety services would !e effectively discharged. Secti ! ('. 1ead of the /nte!rated National Police. # *he Chief of Consta!ulary to !e 3nown as >irector#&eneral shall !e the head of the ,ntegrated (ational 1olice. He shall have command of all elements thereof. He may issue from time to time instructions regarding ersonnel, funds, records, ro erty, corres ondence and such other matters to carry out the rovisions of this Cha ter. As >irector#&eneral, the Chief of Consta!ulary shall !e assisted !y the >e uty Chiefs of Consta!ulary, the general staff and the s ecial, administrative and technical staffs of the 1hili ine Consta!ulary.

Secti ! ((. (unctions. # *he ,ntegrated (ational 1olice shall2 617 Enforce law and maintain eace and order" 687 ,nsure u!lic safety" 697 1revent and control fires" 6;7 Administer city and munici al 'ails" and 6<7 1erform such other functions rovided !y law or assigned !y higher authorities. Secti ! (7. Authority of the 1resident )ver the ,ntegrated (ational 1olice. # ,n the e%ercise of its ower to maintain eace, law, order, and u!lic safety, the ,ntegrated (ational 1olice shall !e su!'ect to the command and su ervision and control of the 1resident and shall function directly under the Secretary of (ational >efense. CHAPTER 12 ATTACHED AGENCIES Secti ! (8. %ttached %!encies. # Agencies which are attached to the >e artment shall o erate in accordance with their res ective organiAational structures and erform the functions and duties assigned to them !y law, su!'ect to the re5uirements of economy, efficiency, and effectiveness. S34tit-e III THE NATIONA$ PO$ICE COMMISSION Secti ! (9. Declaration of Policy. # 617 *he State shall esta!lish and maintain one olice force which shall !e national in sco e and civilian in character, to !e administered and controlled !y a national olice commission and shall rovide, !y law, the authority of local e%ecutives over the olice units in their 'urisdiction. 687 *he maintenance of eace and order, the rotection of life, li!erty, and ro erty, and the romotion of the general welfare are essential for the en'oyment !y all the eo le of the !lessings of democracy. Secti ! 7). The National Police Commission. # 0nless otherwise rovided !y law, the (ational 1olice Commission shall !e under the control and su ervision of the )ffice of the 1resident and shall continue to o erate in accordance with its resent organiAational structure and erform the functions and duties assigned to it !y law. Secti ! 71. Po-ers and (unctions. # As rovided !y law, the Commission shall e%ercise the following functions2 617 ,nvestigate, decide, and review administrative cases against mem!ers of the ,ntegrated (ational 1olice"

687 Ad'udicate death and ermanent disa!ility !enefit claims of mem!ers of the ,ntegrated (ational 1olice" 697 Administer a 6;7 Attest a ro riate e%aminations for the olice, fire and 'ail services"

ointments of mem!ers of the ,ntegrated (ational 1olice"

6<7 ,ns ect and audit the erformance of the ,ntegrated (ational 1olice" 6=7 1re are a (ational Crime 1revention 1rogram and coordinate its im lementation u on a roval !y the 1resident" and 677 1erform other duties rovided !y law or assigned !y higher authorities. Tit-e IX HEA$TH CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State shall rotect and romote the right to health of the eo le and instill health consciousness among them" ado t an integrated and com rehensive a roach to health develo ment, with riority for the under rivileged sic3, elderly, disa!led, women and children" endeavor to ma3e essential goods, health and other social services availa!le to all the eo le at afforda!le cost" esta!lish and maintain an effective food and drug regulatory system" and underta3e a ro riate health man ower develo ment and research, res onsive to the countryEs health needs and ro!lems. Secti ! 2. andate. # *he >e artment shall !e rimarily res onsi!le for the formulation, lanning, im lementation, and coordination of olicies and rograms in the field of health. *he rimary function of the >e artment is the romotion, rotection, reservation or restoration of the health of the eo le through the rovision and delivery of health services and through the regulation and encouragement of roviders of health goods and services. Secti ! %. Po-ers and (unctions. # *he >e artment shall2 617 >efine the national health olicy and formulate and im lement a national health lan within the framewor3 of the governmentEs general olicies and lans, and resent ro osals to a ro riate authorities on national issues which have health im lications" 687 1rovide for health rograms, services, facilities and other re5uirements as may !e needed, su!'ect to availa!ility of funds and administrative rules and regulations" 697 Coordinate or colla!orate with, and assist local communities, agencies and interested grou s including international organiAations in activities related to health" 6;7 Administer all laws, rules and regulations in the field of health, including 5uarantine laws and food and drug safety laws"

6<7 Collect, analyAe and disseminate statistical and other relevant information on the countryEs health situation, and re5uire the re orting of such information from a ro riate sources" 6=7 1ro agate health information and educate the o ulation on im ortant health, medical and environmental matters which have health im lications" 677 0nderta3e health and medical research and conduct training in su rograms and activities" ort of its riorities,

6$7 Regulate the o eration of and issue licenses and ermits to government and rivate hos itals, clinics and dis ensaries, la!oratories, !lood !an3s, drugstores and such other esta!lishments which !y the nature of their functions are re5uired to !e regulated !y the >e artment" 697 ,ssue orders and regulations concerning the im lementation of esta!lished health olicies" and 61B7 1erform such other functions as may !e rovided !y law. Secti ! &. ,r!anizational Structure. # *he >e artment shall consist of the >e artment 1ro er, (ational Health +acilities, Regional )ffices, 1rovincial Health )ffices, >istrict Health )ffices and :ocal Health Agencies. CHAPTER 2 DEPARTMENT PROPER Secti ! '. Department Proper. # *he >e artment 1ro er shall !e com osed of the )ffice of the Secretary, the )ffice for Fanagement Services, the )ffice for 1u!lic Health Services, the )ffice for Hos ital and +acilities Services, the )ffice for Standards and Regulations, and the E%ecutive Committee for (ational +ield ) erations. Secti ! (. ,ffice of the Secretary. # *he )ffice of the Secretary shall !e com osed of the Secretary of Health and his immediate staff" the undersecretary acting as Chief of Staff in the )ffice of the Secretary" the Assistant Secretary for :egal Affairs" the Assistant Secretary for +inancial, ) erations and +ront :ine Services Audit" and the Staff Services for the Secretary. Secti ! 7. Duties of the )ndersecretary %ctin! as Chief of Staff . # *he 0ndersecretary acting as Chief of Staff in the )ffice of the secretary, shall su ervise the Assistant Secretary for :egal Affairs, the Assistant Secretary for +inancial ) erations, and +ront :ine Services Audit, and the Staff Su ort Services to the Secretary" and head the secretariat of the E%ecutive Committee for (ational +ield ) erations. Secti ! 8. Duties of the %ssistant Secretary for "e!al %ffairs. # *he Assistant Secretary for :egal Affairs shall head the office that shall rovide the Secretary with legal advice on all olicy, rogram and o erational matters of the >e artment" act as Counsel for the >e artment in cases in which it is a arty" handle administrative cases against >e artment ersonnel and su!mit recommendations ertaining thereto" and review legislative ro osals. Secti ! 9. Duties of the %ssistant Secretary for (inancial ,peration. # *he Assistant Secretary for +inancial ) erations, and +ront :ine Services Audit shall head the office that shall monitor the

>e artmentEs financial affairs, internal o erations, and the delivery of frontline services with a view to assuring the integrity of the >e artmentEs financial o erations and the re5uirements of the Commission on Audit" o timiAing the internal o erating efficiency of the >e artment and its field offices" and ensuring that the >e artmentEs constituencies are rovided front line services from the >e artment with the ade5uacy, 5uality, and efficiency that they are entitled to. Secti ! 1). The Staff Support Services. # *he following Staff Su ort Services shall underta3e such staff services intended to assist the Secretary in erforming his functions" 617 Community Health Service which shall rovide services related to formulating and im lementing lans and rograms for coordinating with local governments and non# government organiAations in health related activities, rograms and ro'ects" 687 1u!lic ,nformation and Health Education Service which shall rovide services related to formulating and im lementing lans, rograms, and ro'ects for u!lic education on health and for the timely and accurate u!lic communication of >e artment olicy on health issues" 697 Health ,ntelligence Service which shall rovide services related to the formulation of disease intelligence, assessment of the state of health of the country and develo ment and maintenance of effective and com rehensive health information system to su ort lanning and im lementation of health rograms" 6;7 ,nternal 1lanning Service which shall rovide the >e artment with necessary services related to lanning, rogramming and ro'ect develo ment" 6<7 +oreign Assistance Coordination Service which shall rovide staff services related to the develo ment, coordination, monitoring, re orting and assessment of foreign assisted ro'ects of the >e artment. Secti ! 11. )ndersecretaries. # *he Secretary shall !e assisted !y five 6<7 0ndersecretaries who shall e%ercise the following functions" 617 Advise the Secretary in the romulgation of >e artment orders, administrative orders and other issuances" 687 E%ercise su ervision and control over the offices, services, o erating units and individuals under their authority and res onsi!ility" 697 Recommend the romulgation of rules and regulations, consistent with >e artment olicies, that will effectively im lement the activities of o erating units under their authority and res onsi!ility" 6;7 Coordinate the functions and activities of the units under their authority with that of the 0ndersecretaries and regional health directors" 6<7 E%ercise delegated authority on su!stantive and administrative matters related to the functions and activities of agencies under their office to the e%tent granted !y the Secretary through administrative issuances" 6=7 1erform such other functions as may !e rovided !y law or a Secretary. ro riately assigned !y the

CHAPTER % DEPARTMENT SERVICES Secti ! 12. ,ffice for ana!ement Services. # *he )ffice for Fanagement Services, headed !y an 0ndersecretary who shall !e su orted !y an Assistant Secretary, shall include si% 6=7 staff services involved in roviding su ort services to the >e artment 1ro er, field offices and attached agencies, which are as follows2 617 +inancial Services which shall rovide the >e artment with staff advice and assistance on accounting, !udget and financial matters" su ervise the coordinated re aration and im lementation of annual and long term financial and wor3 lan and !udget estimates" conduct eriodic de artment#wide erformance and financial reviews" and design and im lement im rovements in financial management systems, rocedures and ractices" 687 Fanagement Advisory Service which shall rovide staff advice and assistance on internal control and management system im rovement, including management information systems" su ervise the esta!lishment of a management accounting system, control rocedures and management information systems for im roved decision#ma3ing" 697 Health Fan ower >evelo ment and *raining Service which shall formulate lans, olicies, standards and techni5ues for the effective and efficient man ower develo ment and training of >e artment ersonnel" rovide consultative, training and advisory services to im lementing agencies" conduct studies and research related to health man ower develo ment and training" and develo lans and rograms for im roved recruitment, de loyment, develo ment, and maintenance of ersonnel" 6;7 1rocurement and :ogistics Service which shall underta3e the central rocurement of the health care roducts and su lies needed !y the >e artment and its field offices which are not roduced !y or !eyond the roduction ca acity of its in#house roduction facilities" and ensure the ro er, ade5uate and timely flow of health roducts and services to the >e artmentEs field offices" 6<7 ?iological 1roduction Services which shall formulate lans, olicies, rograms, standards and techni5ues for the rocessing, manufacture, standardiAation, and im rovement of !iological roducts for >e artment use" manufacture vaccines, sera, anti#iodins, and other !iologicals" rovide consultative training and advisory services to im lementing agencies" and conduct studies and research related to !iological roduction, distri!ution and use" 6=7 Administrative Service which shall rovide the >e artment with efficient and effective services relating to ersonnel, records, collections, dis!ursements, security, custodial wor3, and other general services not covered !y the receding Services. CHAPTER & OFFICES AND "UREAUS Secti ! 1%. ,ffice for Public 1ealth Services. # *he )ffice for 1u!lic Health Services, headed !y an 0ndersecretary, shall include ten 61B7 staff services involved in olicy formulation, standards develo ment, rograms develo ment, and rogram monitoring of disease control and service delivery rograms im lemented !y the field offices. *he 0ndersecretary for 1u!lic Health Services, who shall !e su orted !y an Assistant Secretary, shall su ervise the following2

617 Faternal and Child Health Services which shall formulate lans, olicies, rograms, standards and techni5ues relative to maternal and child health" rovide consultative training and advisory services to im lementing agencies" and conduct studies and research related to health services for mothers and children" 687 *u!erculosis Control Service which shall formulate lans, olicies, rograms, standards and techni5ues relative to control mor!idity and mortality from tu!erculosis" rovide consultative, training and advisory services to im lementing agencies" and conduct studies and research related to tu!erculosis" 697 +amily 1lanning Service which shall formulate lans, olicies, rograms, standards and techni5ues relative to family lanning in the conte%t of health and family welfare" rovide consultative, training and advisory services to im lementing agencies" and conduct studies and research related to family lanning" 6;7 Environmental Health Service which shall formulate lans, olicies, rograms, standards and techni5ues relative to environmental health and sanitation" rovide consultative, training and advisory services to im lementing agencies" and conduct studies and research related to environmental health" 6<7 (utrition Service which shall formulate lans, olicies, rograms, standards and techni5ues relative to nutrition services in the conte%t of rimary health care, rovide consultative, training and advisory services to im lementing agencies" and conduct studies and research related to (utrition" 6=7 >ental Health Service which shall formulate lans, olicies, rograms, standards and techni5ues relative to dental health services" rovide consultative, training and advisory services to im lementing agencies" and conduct studies and research related to dental services. 677 Falaria Control Service which shall formulate lans, olicies, rograms, standards and techni5ues relative to the control of malaria" rovide consultative, training and advisory services to im lementing agencies" and conduct studies and research to malaria and its control" 6$7 Schistosomiasis Control Service which shall formulate lans, olicies, rograms, standards and techni5ues relative to the control of schistosomiasis" rovide consultative, training and advisory services to im lementing agencies" and conduct studies and research related to schistosomiasis and its control" 697 Communica!le >isease Control Service which shall formulate lans, olicies, rograms, standards and techni5ues relative to the control of communica!le diseases, other than the ma'or causes or mortality and mor!idity, such as le rosy, se%ually transmitted diseases, filariasis and others" rovide consultative, training and advisory services to im lementing agencies" and conduct studies and research related to these other communica!le diseases" 61B7 (on#communica!le >isease Control Services which shall formulate lans, olicies, rograms, standards and techni5ues relative to the control of non#communica!le diseases" rovide consultative, training and advisory services to im lementing agencies" and conduct studies and research related to mental illness, cardiovascular#diseases, cancer, other non# communica!le diseases, and occu ational health.

Secti ! 1&. ,ffice for 1ospital and (acilities Services. # *he )ffice for Hos ital and +acilities Services, headed !y an 0ndersecretary who shall !e su orted !y an Assistant Secretary, shall include four 6;7 staff services involved in olicy formulation, standards develo ment, rogram monitoring and rovision of s ecialiAed assistance in the o erations of hos itals and the management of facilities, which are as follows2 617 Hos ital ) erations and Fanagement Service which shall formulate and im lement lans, rograms, olicies, standards and techni5ues related to management im rovement and 5uality control of hos ital o erations" rovide consultative, training and advisory services to field offices in relation to the su ervision and management of hos ital com onents" and conduct studies and research related to hos ital o erations and management" 687 Radiation Health Service which shall formulate and im lement lans, olicies, rograms, standards and techni5ues to ensure radiation health safety" rovide consultative, monitoring, training and advisory services to rivate and government facilities with radiation#emitting a aratus" and conduct studies and research related to radiation health" 697 Hos ital Faintenance Service which shall formulate and im lement lans, rograms, olicies, standards and techni5ues related to assuring the ro er maintenance of >e artment e5ui ment" rovide consultative, training and advisory services to im lementing agencies in relation to reservation, re air and maintenance of medical and non#medical e5ui ment of the >e artment" and conduct studies and research related to e5ui ment and facility maintenance" 6;7 Health ,nfrastructure Service which shall formulate and im lement lans, olicies, rograms, standards and techni5ues related to develo ment and reservation of health infrastructure" rovide consultative, training and advisory services to im lementing agencies in relation to infrastructure ro'ects to assure economical and efficient im lementation" and conduct studies and research related to infrastructure develo ment and utiliAation. Secti ! 1'. ,ffice for Standards and #e!ulations. # *he )ffice for Standards and Regulations, headed !y an 0ndersecretary and su orted !y an Assistant Secretary, shall include three 697 !ureaus and one 617 national office that shall !e res onsi!le for the formulation of regulatory olicies and standards over the various areas of concern in the health sector, whose im lementation shall !e the general res onsi!ility of the >e artmentEs regional field offices. *he same !ureaus shall also !e res onsi!le for those areas of activity covered !y regulatory olicy to rovide the Secretary with current information on the status of these regulated areas of activity and to rovide the Secretary with a !asis for reliminary evaluation of the efficiency of the >e artmentEs field offices in erforming their regulatory functions. *he same !ureaus shall conduct studies and research ertinent to their areas of res onsi!ility . ,n certain instances the !ureaus may also erform consultative, training and advisory services to the ractitioners and institutions in the area of regulated activity. *he same !ureaus and national office are the following2 617 ?ureau of Research and :a!oratories which shall develo and formulate lans, standards and olicies for the esta!lishment and accreditation and licensing of la!oratories" !lood !an3s and entities handling !iological roducts, rovide consultative, training and advisory services to u!lic and rivate la!oratories" and conduct studies and research related to la!oratory rocedures and o erations" 687 ?ureau of +ood and >rugs which shall act as the olicy formulation and sector monitoring arm of the Secretary on matters ertaining to foods, drugs, traditional medicines, cosmetics and household roducts containing haAardous su!stances, and the formulation of rules,

regulations and standards in accordance with Re u!lic Act 978B 619=97, as amended !y E%ecutive )rder (o. 17<, s. 19$7, and other ertinent laws for their ro er enforcement" rescri!e general standards and guidelines with res ect to the veracity of nutritional and medicinal claims in the advertisement of food, drugs and cosmetics in the various media, to monitor such advertisements" advise the >e artmentEs field offices to call u on any erring manufacturer, distri!utor, or advertiser to desist from such inaccurate or misleading nutritional or medicinal claims in their advertising" should such manufacturer, distri!utor, or advertiser refuse or fail to o!ey the desistance order issued !y the ?ureau, he shall !e su!'ect to the a lica!le enalties as may !e rescri!ed !y law and regulations" the ?ureau shall rovide consultative, training and advisory services to all agencies and organiAations involved in food and drug manufacturing and distri!ution with res ect to assuring safety and efficacy of food and drugs" conduct studies and research related to food and drug safety" maintain a cor s of s ecially trained food and drugs ins ectors for assignment to the various field offices of the >e artment" while these ins ectors shall !e under the technical su ervision and guidance of the ?ureau, they shall !e under the administrative su ervision of the head of the field office to which they shall !e assigned, the latter !eing res onsi!le for regulatory rogram im lementation within the geogra hic area of his 'urisdiction" 697 ?ureau of :icensing and Regulation which shall formulate olicies and esta!lish the standards for the licensing and regulation of hos itals, clinics and other health facilities" esta!lish standards that shall !e the !asis of ins ections and licensure rocedures of the >e artmentEs field offices" and rovide consultative, training and advisory services to field offices on the conduct of licensing and regulatory functions over hos itals, clinics and other health facilities. 6;7 (ational /uarantine )ffice which shall formulate and im lement 5uarantine laws and regulations and, through its field offices, e%ercise su ervision over rat# roof Aones in designated international orts and air orts and over medical e%amination of aliens for immigration ur oses. CHAPTER ' FIE$D OFFICES Secti ! 1(. ,ffice for National (ield ,perations. # *he )ffice for (ational +ield ) erations, through an E%ecutive Committee, shall su ervise the o erations of the various Regional +ield )ffices and the (ational Health +acilities, as enumerated in Section 17697 and further descri!ed in Sections 1$, 19 and 8B hereof. Secti ! 17. Department (ield ,ffices. # *he >e artment field offices, under the su ervision and control of the E%ecutive Committee for (ational +ield ) erations, shall !e com osed of the following2 617 Regional Health )ffices 6other than the (ational Ca ital Region7 and su!ordinate units that include regional medical centers, regional hos itals, rovincial health offices including com onent hos itals and district health offices, city health offices" 687 Regional Health )ffice for the (ational Ca ital Region2 Funici al Health )ffices of Fa3ati, Fandaluyong, 1asig, Fari3ina, :as 1iJas, Funtinlu a, San Cuan, @alenAuela, (avotas, Fala!on, 1araJa5ue, *aguig, 1ateros" 697 (ational Health +acilities which are health facilities classified as (ational Health Resources !ecause their services and activities accrue to the whole countryEs health care

and infrastructure. *hese facilities are of two classifications2 (ational Fedical Centers and the S ecial Research Centers and Hos itals, which are attached to the >e artment2 6a7 (ational Fedical Centers2 San :aAaro Hos ital, *ondo Fedical Center, Cose +a!ella Femorial Hos ital, /uirino Femorial Hos ital, RiAal Fedical Center, (ational ChildrenEs Hos ital, Cose Reyes Femorial Fedical Center and the East Avenue Fedical Center. 6!7 S ecial Research Centers and Hos itals" 1hili ine Heart Center, :ung Center of the 1hili ines, (ational )rtho edic Hos ital, (ational Center for Fental Health, Research ,nstitute for *ro ical Fedicine, (ational Gidney ,nstitute, and the 1hili ine ChildrenEs Fedical Center. Secti ! 18. #e!ional 1ealth ,ffices. # *he >e artment is authoriAed to esta!lish, o erate, and maintain a >e artment#wide Regional )ffice, in each of the administrative regions of the country, under the su ervision of an E%ecutive Committee chaired !y the Secretary. Each Regional )ffice shall !e headed !y a Regional >irector to !e a ointed !y the 1resident, and su orted !y an Assistant Regional >irector. *he a ointment of the Regional >irector and Assistant Regional >irector shall !e to the >e artment#at#large and assignment shall !e !y administrative issuances of the Secretary. *he Regional Health )ffice shall !e res onsi!le for the field o erations of the >e artment in its administrative region and for roviding the region with efficient and effective health and medical services. ,t shall su ervise all >e artment agencies in its administrative region including whatever medical centers, regional hos itals, sanitaria, rovincial health officers and city health offices are located in the region e%ce t those laced under the >e artment 1ro er. ,n addition to the foregoing, a Regional )ffice shall have within its administrative region, the following functions2 617 ,m lement laws and rules, regulations, olicies, lans, rograms and ro'ects of the >e artment in the region" 687 1rovide efficient and effective health and medical services to the eo le" 697 Coordinate with regional offices of other de artments, offices, and agencies in the region" 6;7 Coordinate with local government units" and 6<7 1erform such other functions as may !e rovided !y law. Secti ! 19. Provincial 1ealth ,ffice. # *he 1rovincial Health )ffice shall !e the >e artment agency in the rovince. ,t shall e%ercise su ervision and control over district health offices and other field units of the de artment in the rovince, e%ce t those otherwise laced under the >e artment 1ro er or directly under the Regional Health )ffice. *he 1rovincial Health )ffice shall !e headed !y a 1rovincial Health )fficer. >e ending on the siAe, o ulation, and health facilities of the rovince as well as !udgetary rovisions, a rovince may have one Assistant 1rovincial Health )fficer assisting the 1rovincial Health )fficers, or two Assistant 1rovincial Health )fficers, one assisting the 1rovincial Health )fficer in u!lic health activities and the other assisting in hos ital o erations. *he 1rovincial Health )fficers and Assistant 1rovincial Health )fficers shall !e a ointed !y the Secretary to a region, and their assignment to a rovince shall !e made !y the Secretary on recommendation of the Regional Health >irector.

Secti ! 2). District 1ealth ,ffice. # *he >istrict Health )ffice shall e%ercise su ervision and control over district hos itals, munici al hos itals, rural health units, !arangay health stations and all other >e artment units in the health district, e%ce t those otherwise laced directly under the 1rovincial Health )ffice, or Regional Health )ffice, or the >e artment 1ro er. *he >istrict Health )ffice shall !e headed !y a >istrict Health )fficer who shall also serve as the Chief of the district hos ital as well as the head of all field units in the district. >istrict Health )fficers shall !e a ointed !y the Secretary to a region, and their assignments shall !e made !y the Secretary on the recommendation of the Regional Health >irector. Secti ! 21. "ocal 1ealth %!encies. # *he >e artment shall review and monitor the esta!lishment, o eration and maintenance of health agencies funded !y local governments. 1ro osals for integrating locally funded health agencies under the su ervision and control of the >e artment without regard to the sourcing of funds shall !e made !y the >e artment for the a ro riate local governmentEs a roval. Any such agreement shall !e allowed and, whenever ossi!le, funding from national sources may !e e%tended to achieve a nationally integrated government health service under the >e artment. Secti ! 22. City 1ealth ,fficers. # *he City Health )fficers and Assistant City Health )fficers shall !e a ointed !y the Secretary. *heir com ensation shall !e aid out of national funds. Secti ! 2%. Dele!ation of Po-er by Secretary. # *he Secretary shall have the authority to delegate such su!stantive and administrative owers and authority as may !e necessary to the heads of the Regional Health )ffices, in addition to such administrative authority as have !een mandated for delegation for all >e artments !y the 1resident. *he Secretary shall also delegate such owers and authority to the heads of the 1rovincial Health )ffices and those of other su!ordinate units of the Regional Health )ffices as in his sound 'udgment would ma3e for a more efficient and effective administration of health and medical services. CHAPTER ( ATTACHED AGENCIES Secti ! 2&. %ttached Entities. # *he 1hili ine Fedical Care Commission and the >angerous >rugs ?oard shall !e attached to the >e artment and shall continue to o erate and function in accordance with the law creating them, e%ce t as otherwise rovided in this Code. Secti ! 2'. The Philippine edical Care Commission. # *he 1hili ine Fedical Care Commission shall !e com osed of the Secretary of Health as Chairman, an 0ndersecretary of Health designated !y the Secretary as @ice#Chairman, and the following mem!ers2 the Administrator of the Social Security System, the 1resident and &eneral Fanager of the &overnment Service ,nsurance System, the Secretary of +inance, the Secretary of :ocal &overnment, the Secretary of :a!or and Em loyment, and four 6;7 other mem!ers re resenting the !eneficiaries, the rivate em loyers, the hysicians and the hos itals. *he four other mem!ers shall !e a ointed !y the 1resident of the 1hili ines for a term of si% 6=7 years. *he e% officio mem!ers may designate their re resentatives who shall e%ercise the lenary owers of their rinci als as well as en'oy the !enefits availa!le to the latter. Secti ! 2(. The Dan!erous Dru!s +oard. # *he >angerous >rugs ?oard shall !e com osed of the Secretary of Health, who shall !e e% officio chairman, an 0ndersecretary of Health designated !y the Secretary, who shall !e e% officio @ice#Chairman, an E%ecutive >irector and the following mem!ers2 the Secretary of Custice or his re resentative" the Secretary of (ational >efense or his

re resentative" the Secretary of Education or his re resentative" the Secretary of +inance or his re resentative" and the Secretary of the >e artment of Social Welfare and >evelo ment or his re resentative. *he >irector of the (ational ?ureau of ,nvestigation shall !e the ermanent consultant of the ?oard. Tit-e X TRADE AND INDUSTRY CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State shall develo a self#reliant and inde endent national economy effectively controlled !y +ili inos. ,t recogniAes the indis ensa!le role of the rivate sector, encourages rivate enter rise, and rovides incentives to needed investments. *he State shall romote industrialiAation and full em loyment !ased on sound agricultural develo ment and agrarian reform, through industries that ma3e full and efficient use of human and natural resources, and which are com etitive in !oth domestic and foreign mar3ets. ,t shall rotect +ili ino enter rises against unfair foreign com etition and trade ractices. ,n ursuit of these goals, all sectors of the economy and all regions of the country shall !e given o timum o ortunity to develo . 1rivate enter rises, including cor orations, coo eratives, and similar collective organiAations shall !e encouraged to !roaden the !ase of their ownershi . *he State shall ursue a trade olicy that serves the general welfare and utiliAes all forms and arrangements of e%change on the !asis of e5uality and reci rocity. *he State shall regulate or rohi!it mono olies when the u!lic interest so re5uires. (o com!inations in restraint of trade or unfair com etition shall !e allowed. *he state shall rotect consumers from trade mal ractices and from su!standard or haAardous roducts. Secti ! 2. andate. # *he >e artment of *rade and ,ndustry shall !e the rimary coordinative, romotive, facilitative and regulatory arm of the E%ecutive ?ranch of government in the area of trade, industry and investments. ,t shall romote and develo an industrialiAation rogram effectively controlled !y +ili inos and shall act as catalyst for intensified rivate sector activity in order to accelerate and sustain economic growth through2 6a7 com rehensive industrial growth strategy, 6!7 a rogressive and socially res onsi!le li!eration rogram, 6c7 olicies designed for the e% ansion and diversification of trade, and 6d7 olicies to rotect +ili ino enter rises against unfair foreign com etition and trade ractices. Secti ! %. Po-ers and (unctions. # *he >e artment of *rade and ,ndustry, shall2 617 +ormulate and im lement olicies, lans and rograms relative to the develo ment, e% ansion, romotion and regulation of trade, industry, and investments" 687 Consolidate and coordinate all functions and efforts ertaining to the romotion of e% orts, diversification and decentraliAation of industries, and develo ment of foreign trade" 697 Encourage and romote the growth and e% ansion of industries which ma3e full use of human and natural resources and which are com etitive in domestic and foreign mar3ets"

6;7 Ado t and im lement measures to rotect +ili ino enter rises against unfair foreign com etition and trade ractices. 6<7 1rovide incentives to !roaden the !ase of ownershi of large#scale industrial enter rises and accelerate the formulation and growth of small and medium#scale enter rises" 6=7 Regulate the im ortation of essential consumer and roducer items to maintain their fair and com etitive rices to end#users" 677 1rotect consumers from trade mal ractices and from su!standard or haAardous roducts" 6$7 Ado t and im lement measures to rohi!it com!inations in restraint of trade and unfair com etition" 697 >evelo the ca a!ilities of industry to increase the domestic content of its roducts and u grade the 5uality of roducts according to com etitive international standards" 61B7 Encourage and su ort the formation of 1eo leEs Economic Councils at regional, rovincial and munici al levels as well as other trade, industry and consumer rotection institutions or associations" 6117 0 grade and develo the manufacture of local ca ital goods and recision machinery com onents" 6187 +ormulate the a ro riate mechanics to guide and manage the transfer of a industrial technology in the country" ro riate

6197 +ormulate country and roduct e% ort strategies which will guide the e% ort romotion and develo ment thrusts of the government" and im lement rograms and activities geared towards the overseas romotion of 1hili ine e% orts in overseas mar3ets" 61;7 *a3e the rimary role in negotiating and reviewing e%isting international trade agreements, articularly those affecting commodity 5uotas limiting e%isting e% orts of 1hili ine roducts to determine rograms for renegotiations of more favora!le terms" 61<7 Administratively ad'udicate and im ose reasona!le fines and enalties for violation of e%isting trade and industry laws" 61=7 1re are, for consideration of the Fonetary ?oard, ro osed rograms in the commercial !an3ing sector for directing commercial lending facilities towards riority areas of commercial and industrial develo ment, as well as coordinate government direct funding and financial guarantee rograms to achieve trade and industry growth" 6177 ,ssue su! oena and su! oena duces tecum to com el the attendance of witnesses and the roduction of the necessary information, a ers and documents which it may deem necessary in the e%ercise of its owers and functions" 61$7 1rescri!e and enforce com liance with such rules and regulations as may !e necessary to im lement the intent and rovisions of this Code, which rules and regulations shall ta3e effect fifteen 61<7 days following their u!lication in the )fficial &aAette" and

6197 1erform such other functions as may !e necessary or incidental in carrying into effect the rovisions of this Code and as may !e rovided !y law. Secti ! &. ,r!anizational Structure. # *he de artment shall consist of the offices of the secretary, undersecretaries and assistant secretaries, national service centers, regional offices, and line cor orate agencies and government entities. CHAPTER 2 DEPARTMENT PROPER Secti ! '. ,ffice of the Secretary. # *he )ffice of the Secretary shall consist of the Secretary, his immediate staff, the 0ndersecretary for 1olicy 1lanning and Su ort Services, and the )ffices and Services directly su ortive of the )ffice of the Secretary. *he functions of the foregoing shall !e as follows2 617 *he 0ndersecretary for 1olicy 1lanning and Su ort Services shall su ervise the )ffice of 1olicy Research, the )ffice of ) erational 1lanning, the )ffice of :egal Affairs, the Human Resource >evelo ment Service, the &eneral Administrative Service, the Fanagement ,nformation Service, the +inancial Fanagement Service and the 1u!lic Relations )ffice" 687 *he )ffice of 1olicy Research shall coordinate and hel formulate general trade and industry olicies for the >e artment" evaluate the effectiveness of trade and industry rograms as such, as their im lementation !y the >e artmentEs :ine ) erating 0nits" and research on trade and industry issues for olicy analysis and formulation" 697 *he )ffice of ) erational 1lanning shall develo o erating lans, rograms and ro'ects of the >e artment as such" su ervise the Annual *rade and ,ndustry >evelo ment 1lanning Conferences !etween government and the rivate sector" evaluate the cost#effectiveness of various ro'ects and activities of the >e artment" coordinate the u dating of the >e artmentEs o erating lans in res onse to relevant environment changes" review the >e artmentEs erformance against standards and targets reviously esta!lished" and rovide staff services related to the develo ment, monitoring, re orting and assessment of foreign assisted ro'ects of the >e artment" 6;7 *he )ffice of :egal Affairs shall rovide the Secretary with legal advise on all olicies, rograms, and o erational matters of the >e artment, serve as Counsel for the >e artment in cases in which it is a arty" handle administrative cases against >e artment ersonnel and su!mit recommendations ertaining thereto" and review legislative ro osals" 6<7 *he Human Resource >evelo ment Service shall design and im lement human resource develo ment lans and rograms for the ersonnel of the >e artment" rovide for resent and future man ower needs of the organiAation" and maintain high morale and favora!le em loyee attitudes towards the organiAation through the continuing design and im lementation of em loyee develo ment rograms" 6=7 *he +inancial Fanagement Service shall formulate and manage a financial rogram to ensure availa!ility and ro er utiliAation of funds" and rovide for an effective monitoring system of the financial o erations of the >e artment" 677 *he &eneral Administrative Service shall rovide services relative to rocurement and allocation of su lies and e5ui ment, trans ortation, messengerial wor3, cashiering,

ayment of salaries and other >e artment o!ligations, office maintenance, ro erty safety and security, and other utility services" and com ly with government regulatory re5uirements in the areas of erformance a raisal, com ensation and !enefits, em loyment records and re orts" 6$7 *he Fanagement ,nformation Service shall design and im lement a com rehensive management information system, !oth com uteriAed and manual, for the >e artment" rovide technical assistance to the various information generating units within the >e artment" and esta!lish data e%change lin3ages with u!lic and rivate agencies whenever feasi!le" 697 *he 1u!lic Relations )ffice shall erform *he >e artmentEs u!lic relations function2 rovide a two#way flow of information !etween the >e artment and its constituencies" and coordinate the SecretaryEs regular ress conferences and the >e artmentEs relations with the mass media" 61B7 *he *rade and ,nvestment ,nformation Center shall, as the rimary information arm of the >e artment, design and o erate a com uteriAed system of collection, documentation, storage, retrieval, and timely dissemination of com rehensive and relevant information on trade, industry, and investment for use !y other government agencies and the !usiness sector" coordinate and monitor the information cam aigns on the >e artmentEs services, rograms, and ro'ects" develo a communications rograms to romote 1hili ine investment o ortunities and the countryEs e% ort roducts which shall !e directed at foreign audiences" and rovide creative services to other units of the >e artment in su ort of their own information rograms" 6117 *he (ational ,ndustrial Fan ower *raining Council shall act as the um!rella agency to coordinate and o erate the Cottage ,ndustry *echnology Center, the Construction Fan ower >evelo ment +oundation, and the Construction Fan ower >evelo ment Center and erform other functions such as initiating s ecialiAed industrial training centers and identifying su ly# demand factors and industrial s3ills su!'ect to the direction formulated !y the (ational Fan ower and Douth Council" and 6187 *here is here!y created in the )ffice of the Secretary the )ffice of S ecial Concerns to attend to matters that re5uire s ecial attention, whether involving a matter that crosses several functional areas, demands urgent action, or otherwise necessitates, in the SecretaryEs o inion, attention !y a s ecial grou . Secti ! (. )ndersecretaries. # *he Secretary shall !e assisted !y five 6<7 0ndersecretaries. *hey shall e%ercise su ervision over the offices, services, o erating units and individuals under their authority and res onsi!ility. *he Secretary may designate any 0ndersecretary to su ervise the !ureaus, offices, and agencies, including the attached entities, consistent with the mandate of the de artment. Secti ! 7. %ssistant Secretaries. # *he Secretary shall also !e assisted !y five 6<7 Assistant Secretaries who shall !e a ointed !y the 1resident u on the recommendation of the Secretary. *he Secretary is here!y authoriAed to delineate and assign the res ective areas of functional res onsi!ility of the Assistant Secretaries. Within his functional area of res onsi!ility, an Assistant Secretary shall assist the Secretary and the 0ndersecretaries in the formulation, determination and im lementation of laws, olicies, lans, rograms and ro'ects on trade and industry and shall oversee the day#to#day administration of the constituent units of the >e artment.

Secti ! 8. Staff +ureaus and Services. # *he ?ureaus and Service 0nits shall !e res onsi!le for research, formulation of olicy, develo ment of standards, framing of rules and regulations, rogram formulation and rogram monitoring, related to the concerns covered !y the >e artmentEs mandate, owers and functions. ,m lementation of such olicies, standards, rules and regulations, and rograms shall !e the res onsi!ility of the >e artmentEs :ine ) erating 0nits. Secti ! 9. Department "ine ,peratin! )nits. # *he >e artment :ine ) erating 0nits shall !e com osed of the following2 617 Regional )ffices. *hese are offices which shall !e located in the (ational Ca ital Region and each of the twelve 6187 other administrative regions of the country. *hey shall !e o erated and maintained on a >e artment#wide !asis, acting as im lementing arms in the regions under their 'urisdiction, of the >e artmentEs olicies, rograms, rules and regulations as well as those laws which the >e artment is mandated to enforce. 687 :ine Cor orate Agencies and &overnment Entities. *hese are the government entities and the government#owned or controlled cor orations under the administrative su ervision of the >e artment which are deemed to !e integral arts of the >e artment structure notwithstanding their organiAational form, and which erform a focal and im lemental role in the >e artmentEs rograms for the develo ment of trade, industry and investments. CHAPTER % OFFICE OF THE UNDERSECRETARY FOR DOMESTIC TRADE Secti ! 1). ,ffice of the )ndersecretary for Domestic Trade. # *he )ffice of the 0ndersecretary for >omestic *rade shall include all the staff !ureaus and services involved in olicy formulation, standards develo ment, regulatory, and service delivery rograms ertinent to domestic trade and commerce !eing im lemented !y the >e artmentEs line o erating units. *he 0ndersecretary for >omestic *rade shall su ervise the following2 617 ?ureau of *rade Regulations and Consumer 1rotection. *his ?ureau shall formulate and monitor the im lementation of rograms for the effective enforcement of laws, correct inter retation and ado tion of olicies on mono olies and restraint of trade, misla!elling, roduct misre resentation and other unfair trade ractices" monitor the registration of !usiness names and the licensing and accreditation of esta!lishments and ractitioners" rotect and safeguard the interest of consumers and the u!lic, articularly the health and safety im lications of intrinsic roducts features, roduct re resentation, and the li3e" and esta!lish the !asis for evaluating consumer com laints and roduct utility failures. 687 ?ureau of >omestic *rade 1romotion. *his ?ureau shall re are and monitor the im lementation of lans and rograms directed at the romotion and develo ment of domestic trade, articularly in the area of efficiency, fairness and !alance in the distri!ution of essential roducts and services and in the strengthening of the domestic !ase for e% ort activities" conce tualiAe, monitor, and evaluate rograms, lans and ro'ects intended to create awareness of domestic mar3eting o ortunities for new ro'ects, new technologies and investments. 697 ?ureau of 1atents, *rademar3s, and *echnology *ransfer. *his ?ureau shall e%amine a lications for grant of letters, atent for inventions, utility models and industrial designs, and the su!se5uent grant or refusal of the same" register trademar3s, tradenames, service mar3s and other mar3s of ownershi " hear and ad'udicate contested roceedings affecting rights to atents and trademar3s" receive, rocess for registration and evaluate technology

transfer arrangements as to their a ro riateness and need for the technology or industrial ro erty rights, reasona!leness of the technology ayment, and for the rohi!ition of restrictive !usiness clauses, and com ly with all its statutory u!lication re5uirements !y u!lishing the same in a news a er of general circulation or in the )fficial &aAette. 6;7 ?ureau of 1roduct Standards. *his ?ureau shall review the roducts contained in the critical im orts list in accordance with esta!lished national standards or relevant international standards and !uyer#seller s ecifications" romulgate rules and regulations necessary for the countryEs shift to the international system of units" study and carry out research on the various reference materials to !e used as !asis for the start of whatever analysis or evaluation is demanded !y the roducts under e%amination or investigation" esta!lish standards for all roducts of the 1hili ines for which no standards have as yet !een fi%ed !y law, e%ecutive order, rules and regulations and which roducts are not covered !y the standardiAation activities of other government agencies" artici ate actively in international activities on standardiAation, 5uality control and metrology" ensure the manufacture, roduction, and distri!ution of 5uality roducts for the rotection of consumers" test and analyAe standardiAed and unstandardiAed roducts for ur oses of roduct standard formulation and certification" e%tend technical assistance to roducers to im rove the 5uality of their roducts" chec3 length, mass and volume measuring instruments" and maintain consultative liaison with the ,nternational )rganiAation for StandardiAation, 1acific Area Standards Congress, and other international standards organiAations. 6<7 @ideo Regulatory ?oard. *his ?oard shall regulate videogram esta!lishments" revent unfair ractices, unfair com etition, irating of legitimately roduced video roducts, and other dece tive, unfair and unconsciona!le acts and ractices to rotect the viewing u!lic and the general u!lic. CHAPTER & OFFICE OF THE UNDERSECRETARY FOR INTERNATIONA$ TRADE Secti ! 11. ,ffice of the )ndersecretary for /nternational Trade. # *he )ffice of the 0ndersecretary for ,nternational *rade shall include all the units involved in olicy formulation, standards develo ment, rogram monitoring of the develo ment, regulatory, and service delivery rograms of the >e artment ertinent to international trade and commerce !eing im lemented !y the >e artmentEs line o erating units. *he 0ndersecretary for ,nternational *rade shall su ervise the following2 617 ?ureau of ,nternational *rade Relations. *his ?ureau shall !e the rimary agent res onsi!le for all matters ertaining to foreign trade relations, whether !ilateral, regional or multilateral, es ecially mar3et access and mar3et access related matters" formulate ositions and strategies for trade negotiations, consultations and conferences as well as su ervise trade negotiations, consultations and conferences" coordinate with other >e artments and agencies of the 1hili ine government with the view of assuring consistency in the governmentEs ositions in trade negotiations and on other activities ertaining to foreign trade relations" consult with industry grou s and rovide technical advice and information on the a!ove matters and activities" identify tariff and non#tariff !arriers affecting roducts of e% ort interest to the 1hili ines, and negotiate measures for li!eraliAing them at !ilateral, regional and multilateral form" and evaluate and su!mit recommendations on e%isting and ro osed commercial olicies of the 1hili ines. 687 ?ureau of E% ort *rade 1romotion. *his ?ureau shall formulate and monitor rograms, lans, and ro'ects ertinent to the develo ment, romotion, and e% ansion of the foreign

trade of the 1hili ines" formulate country and roduct e% ort strategies" conduct research on new roduct develo ment and ada tation o ortunities in the e% ort mar3ets, as well as identify the domestic su ly !ase for such roducts, re are situation re orts on all e% ort roduction" re are and u date country and regional mar3et rofiles" maintain an integrated information system on all as ects of the roducts and commodities relevant to e% ort mar3eting" formulate, lan, su ervise, coordinate and monitor the im lementation of !oth rivate and official incoming and outgoing missions, and review the results of such" romote and coordinate international su!contracting arrangements !etween and among foreign and 1hili ine investors where!y roduction o erations and facilities may !e located in the 1hili ines" formulate and monitor the im lementation of olicies and guidelines for the registration and certification of !ona fide e% orters eligi!le for the various e% ort incentive rograms of the 1hili ines" and review and identify a ro riate measures to minimiAe or deregulate e% ort#im ort rocedures and other foreign trade laws necessary to stimulate the international mar3eting of 1hili ine roducts. 697 +oreign *rade Service Cor s. *his Cor s shall assist 1hili ine !usinessmen, roducers, and e% orters with mar3eting information, ro'ect develo ment su ort, and liaison with foreign government agencies" develo mar3eting and commercial intelligence for dissemination to 1hili ine !usinessmen through the *rade and ,nvestment ,nformation Center" rovide direct su ort to the >e artmentEs overseas romotional rograms" assist 1hili ine !usinessmen handle trade com laints against foreign firms and governments" su ort >e artment units in im ort and e% ort administration, monitoring of trade agreements, and investments romotion" and !e accounta!le for esta!lishment of foreign investment and e% ort targets for their res ective areas of res onsi!ility. ,n addition to the e%isting +oreign *rade Service Cor s. the 1resident may a oint *rade Commissioners with the ran3 of Assistant Secretary to coordinate trade and investment matters in the various continents to which they are assigned for the ur ose of increasing trade and investments. 6;7 ?onded E% ort Far3eting ?oard. *his ?oard shall romote the esta!lishment of !onded manufacturing and trading facilities for the re#e% ort of those roducts where a clear net value added may !e generated !ased on the emerging com arative advantage of the 1hili ine e% ort industry" study and analyAe the international mar3et for s ecific roducts where the 1hili ines has or can develo a com arative advantage" recommend to the ?ureau of Customs the licensing of !onded manufacturing facilities and monitor all !onded manufacturing sites, with the o!'ective of ensuring o erational efficiency" identify and designate sites where e% ort !onded manufacturing sites shall !e located with a view of dis ersal to the regions" and initiate studies on the develo ment and maintenance of the countryEs com etitive advantage in e% ort roducts. 6<7 1hili ine Shi ersE Council. *his Council shall re resent 1hili ine shi ers in international liner conferences and negotiate in their !ehalf, for more favora!le freight and shi ing rates" evaluate and issue waivers to the use of 1hili ine flag carriers" and rovide assistance and information to 1hili ine shi ers, s ecially e% orters, in matters related to shi ing. 6=7 1hili ine *rade *raining Center. *his Center shall develo training modules on e% ort and im ort techni5ues and rocedures" raise the level of awareness of 1hili ine !usinessmen of e% ort o ortunities and the availa!ility of alternative sources of im ort roducts or diversified mar3ets for e% orts" offer s ecialiAed courses for s ecific industry

grou s directed at overcoming !arriers to overseas mar3et enetration" and conduct training rograms in international trade ractices, ins ection techni5ues and e%hi!itions mounting. 677 1roduct >evelo ment and >esign Center of the 1hili ines. *his Center shall rovide roduct identification, research, and develo ment services to the rivate sector" conduct seminars and wor3sho s on roduct design and develo ment" set u design e%hi!itions" u!lish roduct design related materials" and conduct continuing research on roduct and roduct ac3aging design trends and rocessing technologies. CHAPTER ' OFFICE OF THE UNDERSECRETARY FOR INDUSTRY AND INVESTMENTS Secti ! 12. ,ffice of the )ndersecretary for /ndustry and /nvestments. # *he )ffice of the 0ndersecretary for ,ndustry and ,nvestments shall su ervise all agencies involved in the formulation and im lementation of rograms and ro'ects ertinent to the develo ment of domestic industries and the romotion of investments in activities or enter rises critical to the >e artmentEs trade and industry develo ment rogram. 617 ?ureau of Small and Fedium ?usiness >evelo ment. *his ?ureau shall formulate and monitor develo ment rograms for rivate institutions involved in assisting the trade and industry sector, delivery mechanisms and lin3ages for mar3eting, financial and su!contracting services, and develo ment rograms for livelihood and micro, small and medium enter rises. 687 ?oard of ,nvestments, whose functions are defined !elow. 697 E% ort 1rocessing -one Authority, whose functions are defined !elow. 6;7 ?ureau of ,m ort Services. *his ?ureau shall monitor im ort levels and rices, articularly li!eraliAed items" analyAe and forecast im ort levels" analyAe and u!lish im ort return statistics" erform annual reviews of the su!stantive com onents of the 1hili ine *ariff System and su!mit recommendations thereon" erform such other functions on im ort transactions as the 1resident or the Central ?an3 of the 1hili ines shall delegate or authoriAe" and ensure that the >e artmentEs views on goods under the 'urisdiction of other >e artments are ta3en into consideration. 6<7 ,ron and Steel Authority. 6=7 Construction ,ndustry Authority of the 1hili ines.

CHAPTER ( OFFICE OF THE UNDERSECRETARY FOR REGIONA$ OPERATIONS Secti ! 1%. ,ffice of the )ndersecretary for #e!ional ,perations. # *he )ffice of the 0ndersecretary for Regional ) erations shall e%ercise su ervision and control over the >e artmentEs Regional )ffices, descri!ed in Section 9, ar. 1 hereof. ,t shall !e res onsi!le for the field o erations of the >e artment, ensuring full com liance with >e artment olicies, rigorous im lementation of >e artment and regulations, and ro er im lementation of >e artment lans and rograms !y the Regional )ffices in their res ective administrative 'urisdictions.

Secti ! 1&. #e!ional ,ffices. # *he >e artment is here!y authoriAed to esta!lish, o erate and maintain a >e artment#wide regional office in each of the countryEs administrative regions. Each Regional )ffice shall !e headed !y a Regional >irector who shall !e assisted !y an Assistant Regional >irector. A Regional )ffice shall have, within its administrative region, the following functions2 617 ,m lement ertinent laws, and the rules, regulations, olicies, lans, rograms and ro'ects of the >e artment" 687 1rovide efficient and effective service to the eo le" 697 Coordinate with the regional offices of other de artments, offices and agencies in the region" 6;7 Coordinate with the local government units" and 6<7 1erform such other functions as may !e rovided !y law or a Secretary. CHAPTER 7 ATTACHED AGENCIES Secti ! 1'. "ine Corporate %!encies and Government Entities. # *he following are the :ine Cor orate Agencies and &overnment Entities that will erform their s ecific regulatory functions, articular develo mental res onsi!ilities, and s ecialiAed !usiness activities in a manner consonant with the >e artmentsE mandate, o!'ectives, olicies, lans, and rograms2 617 (ational >evelo ment Com any. *his Com any shall romote investments in or esta!lish enter rises for the e% ress ur oses of encouraging the rivate sector to follow suit !y roving the financial via!ility of such enter rises" or of filling critical ga s in the in ut# out ut structure of 1hili ine commerce and industry when the rivate sector is unwilling or una!le to engage in such enter rises !ecause of the magnitude of investments re5uired or the ris3 com le%ion of the underta3ing. 687 &arments and *e%tile E% ort ?oard. *his ?oard, which shall !e su ervised !y the 0ndersecretary for ,nternational *rade, shall oversee the im lementation of the garment and te%tile agreements !etween the 1hili ines and other countries, articularly garments and te%tiles 5uotas" a rove 5uota allocations and e% ort authoriAations" issue e% ort licenses and ado t a ro riate measures to e% edite their rocessing" rovide the necessary information and statistics relating to the administration of garments and te%tiles e% ort 5uotas and the flow of garments and te%tiles e% orts for monitoring ur oses and for negotiations with other countries" im lement rules and regulations for the administration of all international te%tile agreements entered into !etween the 1hili ines and im orting countries" and fi% and collect reasona!le fees for the issuance of e% ort 5uotas, e% ort authoriAations, e% ort licenses, and other related services, in accordance with the >e artment olicies, rules and regulations. 697 ,nternational Coffee )rganiAation#Certifying Agency. *his Agency, which shall !e su ervised !y the 0ndersecretary for ,nternational *rade, shall oversee the im lementation of the coffee agreements !etween the 1hili ines and other countries, articularly coffee 5uotas. ro riately assigned !y the

6;7 1hili ine ,nternational *rading Cor oration. *his Cor oration, which shall !e su ervised !y the 0ndersecretary for ,nternational *rade, shall only engage in !oth e% ort and im ort trading on new or non#traditional roducts and mar3ets not normally ursued !y the rivate !usiness sector" rovide a wide range of e% ort oriented au%iliary services to the rivate sector" arrange for or esta!lish com rehensive system and hysical facilities for handling the collection, rocessing, and distri!ution of cargoes and other commodities" monitor or coordinate ris3 insurance services for e%isting institutions" romote or organiAe, whenever warranted, roduction enter rises and industrial esta!lishments and colla!orate or associate in 'oint venture with any erson, association, com any, or entity, whether domestic or foreign, in the fields of roduction, mar3eting, rocurement, and other related !usinesses" and rovide technical, advisory, investigatory, consultancy, and management services with res ect to any and all of the functions, activities, and o erations of the cor oration. 6<7 ?oard of ,nvestments. *his ?oard, which shall !e su ervised !y the 0ndersecretary for ,ndustry and ,nvestments shall !e res onsi!le for coordinating the formulation and im lementation of short, medium and long term industrial lans as well as romoting investments in the 1hili ines in accordance with national olicies and riorities" register, monitor, and grant investment incentives to individual enter rises" formulate olicies and guidelines aimed at creating an environment conducive to the e% ansion of e%isting investments or attracting ros ective investments in the 1hili ines, 1rovided, *hat the ?oard shall lace rimary em hasis on its romotive functions. 6=7 E% ort 1rocessing -one Authority. *his Authority which shall !e su ervised !y the 0ndersecretary for ,ndustry and ,nvestments, shall develo and manage e% ort rocessing Aones, in consonance with >e artment olicies and rograms. 677 *he Center for ,nternational *rade E% ositions and Fissions, ,nc. is here!y merged with the 1hili ine *rade E%hi!ition Center. *he latter shall !e the surviving entity and is here!y renamed 4Center for ,nternational *rade E% ositions and Fissions.4 Tit-e XI AGRARIAN REFORM CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State shall underta3e an agrarian reform rogram founded on the right of farmers and regular farmwor3ers who are landless to own directly or collectively the lands they till or, in the case of other farmwor3ers, to receive a 'ust share of the fruits thereof. *he State shall recogniAe the right of farmers, farmwor3ers, and landowners, as well as coo eratives, and other inde endent farmersE organiAations to artici ate in the lanning, organiAation and management of the land reform rogram, and shall rovide su ort to agriculture through a ro riate technology and research, and through ade5uate financial, roduction, mar3eting, and other su ort services. *he State shall rovide incentives for voluntary land#sharing. ,t may resettle landless farmers and farmwor3ers in its own agricultural estates which shall !e distri!uted to them in the manner rovided !y law.

Secti ! 2. andate. # *he >e artment shall rovide central direction and coordination to the national agrarian reform rogram e%tended to transform farm lessees and farm tenants into owner# cultivators of economic family#siAe farms to im rove their living conditions. *he >e artment shall formulate and im lement olicies, lans and rograms for the distri!ution and cultivation of all agricultural lands, including sugar and coconut lands, with the artici ation of farmers, farmwor3ers, landowners, coo eratives, and other inde endent farmersE organiAations. ,t shall rovide leadershi in develo ing su ort services to tenant#owners, farm managers, and other cultivators through a ro riate research and develo ment rograms, and shall render ade5uate assistance in finance, mar3eting, roduction and other as ects of farm management. Secti ! %. Po-ers and (unctions. # *o accom lish its mandate, the >e artment shall2 617 ,m lement laws, rograms and olicies for the ac5uisition and distri!ution of all agricultural lands as rovided !y laws" 687 Resettle landless farmers and farmwor3ers in government#owned agricultural estates which shall !e distri!uted to them as rovided !y law" 697 Recommend and rovide incentives for voluntary sharing of lands !y owners of agricultural lands" 6;7 Ac5uire, determine the value, su!divide into family#siAe farms, develo and distri!ute to 5ualified tillers, actual occu ants and dis laced ur!an oor, rivate agricultural lands regardless of area and cro s lanted" 6<7 Administer and dis ose of, under a settlement scheme, all ortions of the u!lic domain declared as aliena!le and dis osa!le lands for s eedy distri!ution to and develo ment !y deserving and 5ualified ersons who do not own any land and under such terms and conditions as the >e artment may rescri!e, giving riority to 5ualified and deserving farmers in the rovince where such lands are located" 6=7 1rovide free legal assistance to farmers covered !y agrarian reform and e% edite the resolution of agrarian conflicts and land tenure ro!lems either through conciliatory or adversary roceedings" 677 1rovide creative, res onsive and effective information, education and communication rograms and ro'ects !oth for the tenant !eneficiaries, landowners, the government and rivate sectors and the general u!lic, there!y generating a !road s ectrum of su ort and understanding of the new agrarian reform rogram" 6$7 Strengthen agrarian reform !eneficiaries organiAations to a degree of national via!ility that would ena!le them to share in the sha ing of government olicies and institutionaliAe farmersE artici ation in agrarian reform olicy formulation, rogram im lementation and evaluation" 697 1romote the organiAation and develo ment of coo eratives of agrarian reform !eneficiaries and register the same" 61B7 ,m lement all agrarian reform laws and for the this ur ose issue su! oena, su! oena duces tecum, and writs of e%ecution of its orders, and decisions and other legal rocesses to

ensure com liance from all arties concerned for successful and e% editious rogram im lementation" 6117 0nderta3e land surveys on lands covered !y agrarian reform, and issue atents to farmers covered !y agrarian reform, !oth on rivate and u!lic lands" 6187 >evelo , im lement and underta3e alternative and innovative land develo ment schemes and land tenure systems such as, !ut not limited to land consolidation, land farming coo erative farming and agro#industrial estates" 6197 A rove or disa rove conversion of agricultural lands to non#agricultural uses such as residential and industrial conversions in accordance with the e%isting rovisions of law" 61;7 0nderta3e land use management studies" 61<7 Com ensate the landowners covered !y agrarian reform" 61=7 ,ntegrate and synchroniAe rogram im lementation of the :and ?an3 of the 1hili ines and other relevant civilian and military government and rivate entities involved and mandated to su ort the agrarian reform rogram through ,nter#Agency Committees and Agrarian Reform Coordinating Councils" and 6177 1erform such other functions as may !e rovided !y law. Secti ! &. ,r!anizational Structure. # *he >e artment shall consist of the )ffice of the Secretary, the 0ndersecretary, the Assistant Secretary, the Services and Staff ?ureaus, the Regional )ffices, the 1rovincial )ffices, and the *eam )ffices. CHAPTER 2 DEPARTMENT PROPER Secti ! '. )ffice of the Secretary. # *he )ffice of the Secretary shall consist of the Secretary and his immediate staff. Secti ! (. )ndersecretary. # *he Secretary shall !e assisted !y one 617 0ndersecretary who shall erform the following functions2 617 )versee the o erational activities of the >e artment delegated to him !y and for which he shall !e res onsi!le to the Secretary" 687 Coordinate rograms and ro'ects within the >AR and with other government agencies and farmer organiAations when so delegated !y the Secretary" 697 Assist the Secretary on matters relating to the o erations of the >e artment" 6;7 Assist the Secretary in the re aration of re orts" and 6<7 1erform such other duties and functions as may !e rovided !y law or assigned !y the Secretary.

Secti ! 7. %ssistant Secretary. # *he Secretary shall !e assisted !y one Assistant Secretary. CHAPTER % DEPARTMENT SERVICES Secti ! 8. ana!ement and E2ecutive Services. # *he Fanagement and E%ecutive Services shall have the following functions2 617 Recommend the im lementation of a ro riate systems and rocedures as it relates to the overall monitoring and feed!ac3 mechanisms re5uired !y the )ffice of the Secretary" 687 &ather, consolidate, a raise, re are and su!mit regular to management re orts ertaining to the >e artment and overall administration, financial, rograms and ro'ects im lementation status for decision ma3ing ur oses" 697 >esign and maintain a rogramH ro'ect dis lay center6s7 that will showcase the >e artmentEs various lans, rograms and accom lishments" 6;7 1re are and review office orders, memoranda and other communications" 6<7 1rovide secretariat su ort during meetings and conferences including international conferences and seminars relative to agrarian reform" 6=7 Su ervise the im lementation of de artment#wide records management and dis osal system" 677 >evelo alternative management systems which will increase efficiency in the delivery of services, attain !etter means of control, ma%imiAe use of availa!le human and hysical resources" 6$7 Conduct eriodic systems and rocedures audit of the various units of the >e artment" 697 1re are news items on agrarian reform accom lishments and handle ress and media relations wor3 for the Secretary" and 61B7 1erform such other functions as may !e assigned !y the Secretary. Secti ! 9. "e!al and Public %ssistance Service. # *he :egal and 1u!lic Assistance Service shall have the following functions2 617 1re are legal decisions and resolutions of administrative cases and render legal o inions, inter retation of contracts, laws, rules and other administrative issuances" 687 1re are legal decisions and resolutions of administrative cases" and 697 1rovide u!lic assistance services. Secti ! 1). #esearch and Strate!ic Plannin! Service. # *he Research and Strategic 1lanning Service shall have the following functions2

617 Review, analyAe and integrate su!mitted lans and rograms and s ecial ro'ect ro osals !y ?ureaus, services, and field offices and determine if lans and rograms are in accordance with riorities set for !udgetary su ort" 687 Review, coordinate and integrate all recommendations for re rogramming and revision of wor3 rograms of the >e artment to su ort fund releases or re5uests" 697 ,nitiate, integrate, or rioritiAe research studies and recommend for funding in coordination with units concerned and review and inter ret research findings for olicy a lica!ility" 6;7 Conduct researches or case studies for olicy recommendations and a lication"

6<7 Coordinate, integrate and assist in the assessment of rograms and ro'ects against lans, costs and resources, standards and erformance targets" 6=7 Coordinate, integrate and analyAe eriodic accom lishment re orts of the >e artment as may !e re5uired or necessary" 677 Faintain liaison with u!lic and rivate develo ment and lanning !odies, u!lic and rivate" and 6$7 1erform such other functions as may !e rovided !y law or assigned !y the Secretary. Secti ! 11. (inance and Physical %ssets ana!ement Service. # *he +inance and 1hysical Assets Fanagement Services shall have the following functions2 617 1re are, e%ecute and administer the >e artmentEs !udget including standards and guidelines" 687 Fonitor and evaluate the im lementation of the Central and Regional !udget" 697 1rocess all money claims related to all ty es of >e artment e% enditures including ersonal services, maintenance and other o erating e% enses and ca ital outlays" 6;7 1re are financial re orts and maintain !oo3s of accounts" 6<7 1re are, release and control chec3 dis!ursements and inde% or monitor chec3 ayments" 6=7 ,m lement ro er internal control mechanisms" 677 +ormulate and im lement olicies and systems on the dis osition of su lies, materials and e5ui ment re5uirements of all o erating units for their effective functioning" 6$7 0nderta3e re air and maintenance of all e5ui ment furniture, !uilding facilities and grounds of the >e artment" and 697 Fanage and maintain an inventory of hysical assets in the >e artmentEs Central and Regional offices.

Secti ! 12. %dministrative and Personnel Service. # *he Administrative and 1ersonnel Service shall e%ercise the following functions2 617 +ormulate and im lement olicies and guidelines on ersonnel lacement, a action" raisal and

687 +ormulate and im lement olicies and guidelines on em loyee services, em loyee relations management and staff develo ment" 697 Service the re roduction, utility and messengerial re5uirements of all >e artmental grou s and offices" 6;7 1rovide the ma'or o erating units of the >e artment with !asic e5ui ment, su materials including logical su ort" 6<7 Engage in general canvassing and urchasing of su lies and

lies, materials and e5ui ment"

6=7 ,m lement guidelines with res ect to rocurement services" and 677 1erform such other functions as the Secretary may assign. CHAPTER & "UREAUS Secti ! 1%. +ureau of %!rarian "e!al %ssistance. # *he ?ureau of Agrarian :egal Assistance shall have the following functions2 617 +ormulate guidelines, lans and rograms for the effective delivery of legal assistance to the clientele" 687 Ado t the rocess of mediation and conciliation to 'udiciously settle agrarian ro!lems" 697 ,nvestigate cases, review recommendations, and re are orders, decisions and resolutions on matters involving agrarian dis ute" 6;7 Faintain a doc3et of cases on claims and conflicts and issue clearance in relation thereto" 6<7 1rovide legal information and re are materials for u!lication" 6=7 Conduct and com ile legal research and studies on agrarian reform and maintain a law li!rary" 677 1re are legal o inions on matters ertaining to agrarian reform rogram im lementation" 6$7 Re resent agrarian reform !eneficiaries or mem!ers of their immediate farm households !efore all courts and 5uasi#'udicial and administrative !odies in civil, criminal or administrative cases instituted !y or against them, arising from or are connected with, an agrarian dis ute" 697 >evelo , maintain and coordinate ara#legal services for agrarian reform clientele"

61B7 Advise and assist the )ffice of the Secretary and field offices in agrarian legal matters" 6117 Conduct a continuing follow#u and evaluation of the handling and dis osition of 'udicial cases, claims and conflicts ad'udication, legal information and ara#legal services of the >e artment" and 6187 1erform such other functions and duties as may !e rovided !y law. Secti ! 1&. +ureau of "and Development. # *he ?ureau shall have the following functions2 617 >raw u lans and rograms of land surveys and determine which land survey ro'ects can !e done !y administration or !y contract" 687 >evelo and rescri!e rocedures and techni5ues on land surveys in accordance with a roved standards" 697 >evelo lans and rograms, guidelines, rocedures and techni5ues for soil surveys and classification and for com lete aerial hotogrammetry" 6;7 AnalyAe and com ile soil data and survey re orts essential for the roduction of soil ma s and identify articular areas for soil research" 6<7 >evelo land use atterns, rocedures and com ile ade5uate ma s for ro er land use" 6=7 >raw u lans, rograms and designs for agricultural develo ment under the scheme of land consolidation" 677 +ormulate olicies, guidelines and rocedures for the regulation of conversion of rivate agricultural lands to non#agricultural use, in accordance with the rovisions of e%isting laws, as amended, and other related issuances" 6$7 Esta!lish a schedule of riorities in the construction of houses, waterwor3s, irrigations systems and other community facilities" 697 +ormulate olicies and guidelines in the rocurement, maintenance or reha!ilitation of agricultural machinery and e5ui ment, and review, and evaluate lans, rograms, s ecifications, and cost estimates of land develo ment ro'ects" 61B7 1rovide functional and technical assistance on the im lementation of land develo ment" 6117 Fonitor and evaluate activities of field offices on land develo ment" and 6187 1erform such other functions as may !e rovided !y law. Secti ! 1'. +ureau of "and Tenure Development. # *he ?ureau shall have the following functions2 617 >evelo olicies, lans and rograms, and standard o erating rocedures in the ac5uisition and distri!ution of u!lic and rivate agricultural lands, including measures to ensure that the lands distri!uted !y the government to the !eneficiaries of the agrarian

reform rogram shall !e su!se5uently transferred or sold only to 5ualified tenant#tillers, agricultural wor3ers and other landless citiAens" 687 >esign socio#economic survey lans and rescri!e standards, guidelines and rocedures in the conduct of such surveys in areas sought to !e ac5uired or administered !y the >e artment of Agrarian Reform" 697 >evelo standards for the valuation of lands laced under the agrarian reform rogram and formulate a ro riate land com ensation schemes for affected landowners" 6;7 +ormulate, general olicies and guidelines in the identification of tillers and agricultural lands to !e urchased or e% ro riated, su!'ect of etitions or a lications for the e%ercise of the right of re#em tion or redem tion, or voluntarily offered for coverage under the agrarian reform rogram, and ortions of the u!lic domain which may !e o ened for settlement" 6<7 Faintain a current inventory of tillers, landowners, land#holdings, including cro s and roduction thereon, and other related records" 6=7 Streamline rocedures governing the titling of lands transferred to the !eneficiaries of agrarian reform and the documentation of leasehold and other tenurial arrangements" 677 >evelo alternative tenurial or wor3ing arrangements or relationshi s in agrarian reform areas aimed at ensuring security of tenure and e5uita!le distri!ution of income" 6$7 +ormulate olicies, guidelines, standards, rocedures and rograms in the develo ment and conduct of land tenure research" 697 ,dentify areas of research relevant to land tenure, determine riority needs, and re are land tenure research designsH ro osals" 61B7 0nderta3e o erational research and evaluation studies on land tenure rograms and ro'ects" 6117 Fonitor research findings on land tenure and other related studies !y various research agencies" 6187 Review and evaluate documents for the generation, registration, and issuance of Emanci ation 1atentsH*itle, land valuation, and landowners com ensation claims as to its com leteness, accuracy and validity" 6197 ,nitiate verification andHor investigation of 5uestiona!le or inconsistent documents as well as data or information critical for e% editious dis osition of land transactions !y authorities concerned" and 61;7 1erform such other functions as may !e rovided !y law. Secti ! 1(. +ureau of %!rarian #eform /nformation Education. # *he ?ureau shall have the following functions2 617 1rovide olicy guidance and develo lans and rograms for effective and continuing information, education and romotional activities of the >e artment"

687 >evelo , conduct, assist and coordinate training and education rograms to increase farmer, >AR and other governmental ersonnel artici ation in rogram im lementation" 697 Coordinate or im lement lin3age training or education rograms and ro'ects" 6;7 ,ntegrate agrarian reform conce ts into all levels of the national education system" 6<7 >evelo a ro riate communication materials or aids to su romotion and training" ort agrarian reform

6=7 1roduce and disseminate media materials to im lement the information rograms of the >e artment" 677 Faintain and u date a li!rary of materials on agrarian reform" 6$7 1rovide for the esta!lishment of a center for agrarian reform studies" 697 1rovide functional and technical assistance on farmer education and u!lic information" 61B7 Coordinate and evaluate training rograms and activities underta3en !y the regional offices and other units of the >e artment" and 6117 1erform such other functions as may !e rovided !y law. Secti ! 17. +ureau of %!rarian #eform +eneficiaries Development. # *he ?ureau shall have the following functions2 617 +ormulate lans, rograms, olicies and guidelines for the develo ment of agrarian reform areas into via!le agro#industrial estates, the romotion of coo erative systems of roduction, rocessing, mar3eting, distri!ution, credit and services" 687 +ormulate olicies, rograms and guidelines for the develo ment and management of resettlement areas and landed estates" 697 1romote the organiAation and artici ation of agrarian reform !eneficiaries to enhance the dignity and welfare of the !eneficiaries and to serve as sources of develo ment information in uts and feed!ac3 as !asis for olicy formulation" 6;7 Serve as liaison !etween the >AR and the legitimate organiAations of agrarian reform !eneficiaries and serve as receiving Aone for re5uest and ro osals from legitimately organiAed agrarian reform !eneficiaries associations for a ro riate action !y any of the ?ureaus or Services" 6<7 >evelo and underta3e research and ilot studies of alternative land tenure systems such as agro#industrial estates, coo erative farming and other coo erative#cultivatorshi schemes" 6=7 >evelo ro'ect models such as !ut not limited to com act farms, and other income generating ro'ects, and underta3e research and ilot studies on these models and other innovative schemes in coordination with field offices"

677 Esta!lish lin3ages with concerned agencies for farm su immediate and effective ro'ect im lementation"

ort services and to ensure

6$7 1rovide functional and technical assistance on develo ment and management of resettlement areas and landed estates, organiAation of agrarian reform !eneficiaries and im lementation of economic ro'ects" 61B7 1erform such other functions as may !e rovided !y law. CHAPTER ' REGIONA$ AND DISTRICT OFFICES AND ATTACHED AGENCIES Secti ! 18. #e!ional ,ffice. # *he Regional )ffice shall !e res onsi!le for su orting the field units and su ervising rogram im lementation of the >e artment within the region. ,t shall2 617 ,m lement laws, olicies, lans, rules and regulations of the >e artment in the regional area" 687 >evelo and im lement a regional ersonnel management rogram" 697 1re are, su!mit, e%ecute and control the !udget for the region" 6;7 1re are and ro erly maintain !oo3s of accounts" 6<7 1ay salaries and wages and other a roved vouchers"

6=7 1rovide administrative services to the regional and rovincial offices" 677 1re are and su!mit lans and rograms for the region on2 a. land tenure develo ment !. information and education c. land use management and land develo ment d. legal services e. agrarian reform !eneficiaries develo ment 6$7 1rovide technical assistance to the rovincial offices and agrarian reform teams in the im lementation of a roved lans and rograms" 697 E%tend effective legal assistance, advice or service to agrarian reform !eneficiaries" 61B7 Conduct o erations research and evaluation of agrarian reform rogram im lementation within the region"

6117 Coordinate with other government and rivate agencies and farmer organiAations at the Regional level through the Agrarian Reform Coordinating Council, to carry out rogramsH ro'ects for the general welfare of the agrarian reform !eneficiaries" 6187 Coordinate ara#legal services" 6197 Faintain a data#!ased information system in coordination with the esta!lished monitoring system" 61;7 Review documents su!mitted !y the 1rovincial and *eam )ffices or !y the clientele" 61<7 Su!mit eriodic feed!ac3 and recommend olicy changes andHor modification of rocedures on rogram im lementation" and 61=7 1erform such other functions as may !e necessary in the service of the clientele. Secti ! 19. Provincial ,ffices. # *he Agrarian Reform 1rovincial )ffice is res onsi!le for the direction and coordination of the o eration and activities of the Agrarian Reform *eams o erating within the rovince and has the following functions2 617 Set riorities, s ecific targets, schedules and deadlines for the e%ecution of a lans, rograms and ro'ects on2 roved

a. land ac5uisition, distri!ution, transfer of land ownershi to actual tillers, including land tiller#landowners identification, tenurial security and leasehold arrangements, land surveys, land valuation and landowners com ensation" !. continuing information and education rograms on agrarian reform" c. organiAation and develo ment of Agrarian Reform ?eneficiaries Coo eratives and institutionaliAing farmers#government artnershi in agrarian olicy formulation and rogram im lementation" d. landownerEs com ensation and diversion of landownerEs ca ital to industrial develo ment" e. develo ment and im lementation of alternative land tenure systems such as coo erative farming, agro#industrial estates and coo erative#cultivatorshi schemes" f. land use management" g. com act farming, land consolidation, land reclamation, integrated farming systems, slo ing agricultural land technology, and other land conservation measures in agrarian reform covered areas" h. legal services to farmers covered !y agrarian reform and resolution of agrarian conflicts and land tenure ro!lems" 687 1rovide administrative services to the Agrarian Reform *eams within the rovince"

697 1rovide legal services to agrarian reform !eneficiaries in cases arising from or are connected with agrarian dis utes, handling of e% ro riation roceedings, registering coo eratives organiAed !y Agrarian Reform *eams and reviewing and acting on all matters initially investigated and elevated !y Agrarian Reform *eams" 6;7 1rovide technical assistance to the Agrarian Reform *eams in the im lementation of a roved lans and rograms" 6<7 Coordinate with government, rivate agencies and farmer organiAations at the rovincial level to carry out rograms" 6=7 Conduct eriodic erformance audit surveys in colla!oration with the regional office, and monitor agrarian reform rogram accom lishments of Agrarian Reform *eams including o erational ro!lems and constraints and recommend a ro riate remedial measures for effective rogram im lementation" and 677 1erform such other functions as may !e necessary in the service of the clientele. Secti ! 2). Team ,ffices. # *he Agrarian Reform *eam shall !e res onsi!le for directly im lementing the agrarian reform rograms and delivering e% ected results. ,t shall2 617 ,m lement olicies and rograms on land ac5uisition, and distri!ution, and transfer of landownershi to actual tillers, including farmer#landownerEs identification, leasehold arrangements, land valuation and landowners com ensation and transfer actions" 687 0nderta3e continuing information and education rograms on agrarian reform among the !eneficiaries" 697 1romote the organiAation and develo ment of agrarian reform !eneficiaries and assist in the registration of organiAed coo eratives" 6;7 ,nstitutionaliAe farmers artici ation in agrarian reform olicy formulation and rogram im lementation" 6<7 )rganiAe and esta!lish com act farms, land consolidation, integrated farm systems, slo ing agricultural land technology and other coo erative#cultivatorshi schemes" 6=7 1rovide assistance in agrarian reform research" 677 1rovide assistance to various legal services, including legal information and legal counselling, documentation and reliminary rocessing of a lications for free atent and a lications to urchase lots, reliminary investigation of conflicting claims on lot !oundaries and a raisal of ro erties, and mediation of different ro!lems arising from tenancy relationshi , e%ecution and registration of lease contracts, initial investigation of administrative cases, and other legal services" 6$7 1rovide assistance on ro'ect identification, formulation and develo ment that would u lift the socio#economic status of the !eneficiaries including ro'ects that would divert landlord ca ital to industrial develo ment"

697 Coordinate with other government and rivate agencies and farmer organiAations within the area of coverage for effective rogramH ro'ect im lementation" 61B7 Su!mit eriodic re orts on rogramH ro'ect accom lishments including ro!lems identified and recommended solutions thereto" 6117 ,m lement >AR commitment rograms su ortive of national riority rograms" and

6187 1erform such other functions as may !e assigned from time to time. Secti ! 21. %ttached %!encies. # *he following agencies are attached to the >e artment for administrative su ervision and olicy coordination2 617 :and ?an3 of the 1hili ines

687 Agricultural Credit Administration 697 Agrarian Reform Coordinating Council Tit-e XII $OCA$ GOVERNMENT CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State shall ensure the autonomy of local governments. +or this ur ose, it shall rovide for a more res onsive and accounta!le local government structure instituted through a system of decentraliAation. *he allocation of owers and resources to local government units shall !e romoted, and inter#local government grou ing, consolidation and coordination of resources shall !e encouraged. *he State shall guarantee the local government units their 'ust share in national ta%es and their e5uita!le share in roceeds from the use of natural resources, and afford them a wider latitude for resources generation. Secti ! 2. andate. # *he >e artment shall assist the 1resident in the e%ercise of general su ervision over local governments and in ensuring autonomy, decentraliAation and community em owerment. Secti ! %. Po-ers and (unctions. # *o accom lish its mandate, the >e artment shall2 617 Advise the 1resident on the romulgation of olicies, rules, regulations and other issuances relative to the general su ervision of local government units" 687 Esta!lish and rescri!e rules, regulations and other issuances and im lementing laws on the general su ervision of local government units and on the romotion of local autonomy and monitor com liance thereof !y said units" 697 1rovide assistance in the re aration of national legislation affecting local government units"

6;7 Esta!lish and rescri!e lans, olicies, rograms and ro'ects to strengthen the administrative, technical and fiscal ca a!ilities of local government offices and ersonnel" 6<7 +ormulate and im lement olicies, lans, rograms and ro'ects to meet national and local emergencies arising from natural and man#made disasters" and 6=7 1erform such other functions as may !e rovided !y law. Secti ! &. ,r!anization Structure. # *he >e artment, shall !e com osed of the )ffice of the Secretary and the staff and line offices which shall consist of the following2 617 ?ureau of :ocal &overnment Su ervision" 687 ?ureau of :ocal &overnment >evelo ment" 697 (ational ?arangay ) erations )ffice" 6;7 1ro'ect >evelo ment Services" 6<7 >e artment Services" 6=7 )ffice of 1u!lic Affairs" and 677 Regional and +ield )ffices. CHAPTER 2 DEPARTMENT PROPER Secti ! '. ,ffice of the Secretary. # *he )ffice of the Secretary shall consist of the Secretary and his immediate staff. Secti ! (. )ndersecretaries and %ssistant Secretaries. # *he Secretary shall !e assisted !y not more than three 697 0ndersecretaries and three 697 Assistant Secretaries who shall !e a ointed !y the 1resident u on the recommendation of the Secretary. *he Secretary is here!y authoriAed to delineate and assign the res ective functional areas of res onsi!ility of the 0ndersecretaries and Assistant Secretaries. CHAPTER % DEPARTMENT SERVICES Secti ! 7. Plannin! Service. # *he 1lanning Service shall !e res onsi!le for roviding the >e artment with efficient and effective services relating to lanning, rogramming, research and statistics. Secti ! 8. (inancial and ana!ement Service. # *he +inancial and Fanagement Service shall !e res onsi!le for roviding the >e artment with efficient and effective staff advise and assistance on !udgetary, financial and management im rovement matters. Secti ! 9. "e!al Service. # *he :egal Service shall !e res onsi!le for roviding the >e artment with efficient and effective legal counselling services, assistance to the Secretary in the review or

determination of su!ordinate !odies or agencies, colla!oration with Solicitor &eneral in handling cases affecting the >e artment, and investigation of administrative cases involving >e artment ersonnel and local officials" Secti ! 1). %dministrative Service. # *he Administrative Service shall !e res onsi!le for roviding the >e artment with efficient and effective services relative to ersonnel, information, records, su lies, e5ui ment, collection, dis!ursement, security and custodial wor3, and other 3inds of services not related to the other services a!ove enumerated. Secti ! 11. Electronic Data Processin! Service. # *he Electronic >ata 1rocessing Service shall !e res onsi!le for roviding ade5uate and u #to#date data and management information in uts, including monitoring of all field o erations, to serve as !asis for effective lanning, management and control, olicy formulation and decision#ma3ing. CHAPTER & "UREAUS AND OFFICES Secti ! 12. +ureau of "ocal Government Supervision. # *he ?ureau of :ocal &overnment Su ervision, to !e headed !y a ?ureau >irector a ointed !y the 1resident u on the recommendation of the Secretary, shall have the following functions2 617 Advise and assist the Secretary in the e%ercise of the ower of general su ervision of the 1resident over local government units, articularly in the formulation and im lementation of national laws, olicies, and standards concerning local government o erations and their ersonnel" 687 Esta!lish and rescri!e guidelines for the administration of the Gatarungang 1am!arangay :aws" 697 Fonitor com liance with national laws and olicies !y local government units" 6;7 1rovide assistance in the re aration of national legislation affecting local government units and in the romotion of local autonomy" 6<7 E%tend consultation service and advice to local government units involved in romoting local autonomy" and 6=7 1rovide assistance to local governments in the romotion of citiAens artici ation in local government activities" 677 1rovide technical and financial assistance, as well as secretariat services to the :eagues of 1rovinces, Cities and Funici alities" and 6$7 1erform such other functions as may !e rovided !y law. Secti ! 1%. +ureau of "ocal Government Development. # *he ?ureau of :ocal &overnment >evelo ment, to !e headed !y a ?ureau >irector a ointed !y the 1resident u on the recommendation of the Secretary shall have the following functions2 617 Esta!lish and rescri!e lans, olicies, rograms, and ro'ects to strengthen the administrative and technical ca a!ilities of local government offices and ersonnel"

687 1rovide technical assistance to enhance the administrative, fiscal and technical ca a!ilities of local government officers and ersonnel" 697 +ormulate, rescri!e and eriodically evaluate local develo ment olicies, lans, rograms and ro'ects designed to enhance the artici ation of local government units in lanning and im lementation" 6;7 Esta!lish a system of incentives and grants to local governments and rescri!e olicies, rocedures and guidelines in the im lementation of self#hel assistance ro'ects" 6<7 +ormulate and develo models, standards and technical materials on local government develo ment" 6=7 E%tend consultation service and advice to local government units involved in develo ment rograms" 6=7 E%tend consultation service and advice to local government units involved in develo ment rograms" 677 Esta!lish a via!le system of strategies and a roaches for local governments anchored on citiAen artici ation within a wholistic and integrated framewor3 for the develo ment of communities" and 6$7 1erform such other functions as may !e rovided !y law. Secti ! 1&. ,ffice of Public %ffairs. # *he )ffice of 1u!lic Affairs shall have the following functions2 617 1rovide technical assistance in the moderniAation and maintenance of a >e artment# wide micro#telecommunica# tions systems" 687 1rovide mechanisms for the o erationaliAation of the intent of the rovisions of u!lic information, coverages and documentation of the activities of the >e artment" 697 1erform functional su ervision over regional information centers in roviding the citiAenry with relevant information on the rogram of the >e artment and the &overnmentEs thrust towards the artici ation of the citiAens in the democratic rocesses" 6;7 +ormulate lans and rograms to im lement the administrative and technical ca a!ilities of u!lic officers and ersonnel !oth on the central and regional levels" 6<7 Esta!lish and rescri!e guidelines in the administration of ,nformation and 1u!lic Assistance Services" 6=7 E%tend consultation services and advice in the im lemen# tation of Regional ,nformation Services" 677 Assess information needs of the eo le through o inion olls and surveys" 6$7 1rovide assistance on various u!lic rograms of the >e artment"

697 Esta!lish and im lement olicies, lans, rograms and ro'ects to meet local emergencies arising from natural and man#made disasters" and 61B7 1erform such other duties and res onsi!ilities and ro'ects assigned or delegated !y the Secretary in the effective delivery of u!lic services or as may !e re5uired !y law. Secti ! 1'. "ocal Government %cademy. # *he :ocal &overnment Academy shall !e res onsi!le for human resource develo ment and training of local government officials and >e artment ersonnel. *he Academy shall !e under the direct su ervision of a ?oard of *rustees com osed of the Secretary of :ocal &overnment as Chairman and four 6;7 other mem!ers to !e a ointed !y the 1resident u on recommendation of the Secretary. *he structure and staffing attern of the :ocal &overnment Academy shall !e rescri!ed and a roved !y the Secretary. Secti ! 1(. National +aran!ay ,perations ,ffice. # *he (ational ?arangay ) erations )ffice which shall !e headed !y a >irector to !e a ointed !y the 1resident u on the recommendation of the Secretary, shall have the following functions2 617 +ormulate olicies, lans and rograms that will romote community and citiAen artici ation in the olitical develo ment of the !arangay through the mo!iliAation and artici ation of !arangay assem!lies" 687 ,nitiate ro'ects on innovative !arangay develo ment strategies and a coordination with the ?ureau of :ocal &overnment >evelo ment" roaches in close

697 1rovide secretariat services to the Association of ?arangay Councils and serve as a clearing house on matters affecting !arangay officialsE insurance, hos italiAation, educational and other !enefits as rovided !y law" 6;7 1rovide continuing information dissemination to !arangay units on national develo ment efforts and issues in order for !arangay assem!ly mem!ers to artici ate meaningfully in national develo ment" 6<7 Esta!lish and maintain masterlists of !arangays, !arangay officials and !arangay socio# economic rofiles" 6=7 1rovide situational and olitical analysis for the Secretary on !arangay affairs" and 677 1erform other functions as may !e delegated !y the Secretary or as rovided for !y law. Secti ! 17. ,ffice of Pro8ect Development Services. # *he )ffice of 1ro'ect >evelo ment Services shall have the following functions2 617 +ormulate innovative a roaches and strategies designed to romote technical ca a!ilities of local governments" 687 Assist in the develo ment of rogram com onents for the im lementation of tested and a ro riate system and rocesses at the local level" and 697 1erform other functions as may !e delegated !y the Secretary or as rovided !y law.

CHAPTER ' REGIONA$ AND FIE$D OFFICES Secti ! 18. #e!ional and (ield ,ffices. # *he Secretary is authoriAed to esta!lish, o erate and maintain one Regional )ffice in each of the administrative regions esta!lished !y law. A Regional )ffice shall have, within its administrative region, the following functions2 617 ,m lement laws, rules, and regulations, other issuances, olicies, lans, rograms and ro'ects of the >e artment" 687 1rovide efficient and effective service to local government" 697 Coordinate with regional offices of other de artments, offices and agencies affecting local administration and develo ment" 6;7 Assist local government units in develo ing their ca a!ilities for local government administration and develo ment" and 6<7 1erform such other functions as may !e delegated !y the Secretary or as rovided !y law. CHAPTER ( $EAGUES OF PROVINCES. CITIES AND MUNICIPA$ITIES Secti ! 19. "ea!ues of Provinces* Cities and of 1rovinces, Cities and Funici alities. unicipalities. # *here is here!y created the :eagues

*he functions, !udget and records of the Gati unan ng mga Sanggunian (ational Secretariat and the 1am!ansang Gati unan ng mga 1unong ?ayan sa 1ili inas, shall !e transferred to the :eagues of 1rovinces, Cities and Funici alities. *he :eagues shall !e under the su ervision of the ?ureau of :ocal &overnment Su ervision. *he Secretary is here!y authoriAed to romulgate the necessary im lementing rules that will activate these :eagues. Tit-e XIII TOURISM CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State shall romote, encourage and develo tourism as a ma'or national activity in which rivate sector investment, effort and initiative are fostered and su orted, and through which socio#economic develo ment may !e accelerated, foreign e%change earned, international visitors offered the o ortunity to travel to the 1hili ines and a reciate its natural !eauty, history and culture, and +ili inos themselves ena!led to see more of their country and im!ued with greater ride in and commitment to the nation. Secti ! 2. andate. # *he >e artment of *ourism shall !e the rimary government agency charge with the res onsi!ility to encourage, romote and develo tourism as a ma'or socio#economic

activity to generate foreign currency and em loyment and to s read the !enefits of tourism to a wider segment of the o ulation with the su ort, assistance and coo eration of !oth the rivate and u!lic sectors, and to assure the safe, convenient, en'oya!le stay and travel of the foreign and local tourists in the country. Secti ! %. Po-ers and (unctions. # *he >e artment shall have the following owers and functions2 617 +ormulate olicies, lans, rograms and ro'ects for the develo ment of the tourism industry" 687 Administer, coordinate and su ervise all activities of the &overnment concerning tourism" 697 Advise the 1resident on the romulgation of laws relative to the olicy, lans, rograms and ro'ects designed to romote and develo the tourism industry" 6;7 Effect the removal of unnecessary !arriers to travel, the integration and sim lification of travel regulations as well as their efficient, fair and courteous enforcement to assure e% editious and hos ita!le rece tion of all tourists and travelers" 6<7 Re resent the government in all such conferences and meetings concerning tourism and travel and discharge such res onsi!ilities of the government as may arise from treaties, agreements and other commitments on tourism and travel to which it is signatory" 6=7 +ormulate standards for tourism#oriented esta!lishments that will rescri!e minimum levels of o erating 5uality and efficiency in order to ensure that facilities, ersonnel and services are maintained in accordance with acce ta!le local and international norms in the o erations of tourism#oriented esta!lishments" 677 A rove the construction standards of accredited tourism#oriented esta!lishments including hotels, resorts, inns, motels and other related facilities and services and rescri!e information re orting on the urchase, sale or lease of the said esta!lishments and facilities" 6$7 1rovide the rotection, maintenance and reservation of historical, cultural and natural assets which are tourist attractions with the a ro riate government agencies or with the rivate sector or with the owners of said assets or attractions" 697 0nderta3e research studies and surveys for the continuing analysis of economic conditions and trends relating to tourism and maintain a statistical data !an3 on the tourism industry" 61B7 >esign rograms to encourage rivate#sector investment and artici ation in tourism activities and ro'ects" 6117 Set u and organiAe foreign field offices for the ur ose of overseeing all mar3eting and romotional activities and im lementing rograms of the >e artment" 6187 Arrange, whenever deemed a ro riate, for the reclamation of any land ad'acent to or ad'oining a tourist Aone in coordination with a ro riate government agencies" 6197 >elegate any s ecific owers and functions in favor of the regional offices to romote efficiency and effectiveness in the delivery of u!lic service"

61;7 Enlist the aid, assistance and su ort of any and all government agencies, civil or military, in the im lementation of the rovisions of laws ertaining to the >e artment or of its rules and regulations" 61<7 E%ercise such owers and functions as may !e necessary, ro er, or incidental to the attainment of its mandate" 61=7 1erform such other functions as may !e rovided !y law. Secti ! &. ,r!anizational Structure. # *he >e artment shall consist of the >e artment 1ro er, >e artment Services, ?ureaus and )ffices, Regional and +oreign )ffices. *he >e artment 1ro er shall consist of the )ffices of the Secretary and 0ndersecretaries which shall !e res onsi!le for the re aration and develo ment of olicies, lans, rograms and ro'ects of the >e artment. CHAPTER 2 DEPARTMENT PROPER Secti ! '. ,ffice of the Secretary. # *he )ffice of the Secretary shall consist of the Secretary and his immediate staff. Secti ! (. )ndersecretaries. # *he Secretary shall !e assisted !y four 6;7 0ndersecretaries, namely2 617 0ndersecretary for 1lanning, 1roduct >evelo ment and Coordination, who shall !e res onsi!le for the )ffice of *ourism >evelo ment 1lanning, )ffice of 1roduct >evelo ment and )ffice of *ourism Coordination" 687 0ndersecretary for *ourism Services and Regional )ffices, who shall !e res onsi!le for the )ffice of *ourism Standards and all Regional )ffices" 697 0ndersecretary for *ourism 1romotions, who shall !e res onsi!le for the ?ureau of ,nternational *ourism 1romotion, ?ureau of >omestic *ourism 1romotion and )ffice of *ourism ,nformation" and 6;7 0ndersecretary for ,nternal Services, who shall !e res onsi!le for the +inancial and Fanagement Service, Administrative Service and :egal Service. CHAPTER % DEPARTMENT SERVICES Secti ! 7. Department Service Character and 1ead. # *he >e artment Services shall !e essentially staff in character, each of which shall !e headed !y a Service Chief. 619$77, sec. 1;7 Secti ! 8. (inancial and ana!ement Service. # *he +inancial and Fanagement Service shall rovide the >e artment with staff advice and assistance on !udgetary, financial and management matters and shall erform such other related functions as may !e assigned or delegated to it !y the Secretary. Secti ! 9. %dministrative Service. # *he Administrative Service shall rovide the >e artment with staff advice and assistance on ersonnel information, records, communications, su lies,

e5ui ment, collection, dis!ursements, security, other custodial wor3 and such other related duties and res onsi!ilities as may !e assigned or delegated to it !y the Secretary. Secti ! 1). "e!al Service. # *he :egal Service shall rovide the >e artment with staff advice and assistance on all legal matters affecting the >e artment and erform such other related functions as may !e assigned or delegated to it !y the Secretary. CHAPTER & "UREAUS AND OFFICES Secti ! 11. +ureau and ,ffice Character and 1ead. # *he ?ureaus and )ffices shall !e essentially staff in character, each of which shall !e headed !y a Staff >irector. Secti ! 12. +ureau of Domestic Tourism Promotions and /nformation. # *he ?ureau of >omestic *ourism 1romotions and ,nformation shall have the following functions2 617 )rganiAe and coordinate rograms of u!lic relations, romotions, and u!licity" encourage domestic tourism and encourage overseas visitors to travel throughout the 1hili ines" 687 >esign and rovide su ort for dissemination of materials for u!licity as tourist attractions in the 1hili ines" romote educational and cultural tours to increase travel within the country" 6;7 1lan romotional cam aigns through advertising and u!licity and coordinate romotional efforts with the rivate sector through sales cam aigns and information dissemination" and 6<7 )rganiAe s ecial events for the romotion of local destinations. Secti ! 1%. +ureau of /nternational Tourism Promotions. # *he ?ureau of ,nternational *ourism romotions shall have the following functions2 617 &enerate favora!le u!licity on the 1hili ines"

687 >isseminate current information on the country and its tourist roducts" 697 1rovide su ort for the rivate sector in the romotional cam aign"

6;7 )rganiAe s ecial events to romote the country as a tourist destination" 6<7 &ather mar3et intelligence and research information on tourist mar3ets through the +oreign +ield )ffices" 6=7 Fonitor trends and develo ments in international tourism through the +oreign +ield )ffices" 677 )rganiAe, set u and artici ate in international meetings, conferences and conventions on tourism" and

6$7 Su ervise foreign field offices charged with coordinating and assisting in the mar3eting and romotional activities and rograms of the >e artment. Secti ! 1&. ,ffice of Tourism /nformation. # *he )ffice of *ourism ,nformation shall have the following functions2 617 1romote a continuing wholesome and informative relationshi !etween the >e artment and the travelling u!lic" 687 Cause the widest u!licity of e%isting and forthcoming activities and rograms of the >e artment through a functional relationshi with the media" and 697 )rganiAe and disseminate romotional and tourist information materials to various tourist assistance centers. Secti ! 1'. ,ffice of Tourism Standards. # *he )ffice of *ourism Standards shall have the following functions2 617 A rove the construction standards of tourism#oriented esta!lishments including hotels, resorts, inns, motels, and other related facilities and services, rescri!e information re orting on urchase, sale or lease of accredited tourism#oriented facilities and ensure a harmonious, ositive and constructive develo ment of the tourism, industry" 687 +ormulate o erating standards for tourism#oriented esta!lishments including hotels and resorts, restaurants, inns, motels, and other related facilities and services, that will rescri!e minimum levels of o erating 5uality and efficiency in order to ensure that facilities, ersonnel and services are maintained in accordance with acce ta!le local and international norms in the o erations of tourism#oriented esta!lishments" 697 Regulate and issue licenses to 5ualified travel agencies in accordance with the rules and regulations romulgated !y the Secretary" 6;7 Encourage formation of industry associations for accreditations !y the >e artment" 6<7 Assist in auditioning +ili ino entertainers in order to ro'ect ro erly and enhance the +ili ino image in the entertainment field and there!y gain !etter international res ect and re utation" and 6=7 Coordinate with all agencies concerned on the enforcement of rules and regulations romulgated !y the >e artment. Secti ! 1(. ,ffice of Tourism Development Plannin!. # *he )ffice of *ourism >evelo ment 1lanning shall have the following functions2 617 +ormulate lans and olicies for the develo ment of the tourism industry, including !ut not limited to national tourism lans and the identification of master hysical lans for tourism Aones within the country" 687 Fonitor and evaluate lans, rograms and ro'ects of the >e artment to ensure their effective im lementation"

697 0nderta3e research studies and surveys for the continuing analysis of the tourism industry" 6;7 Com ile and integrate statistical data on the tourism industry and u!lish the same" 6<7 Coordinate and assist in the im lementation of tourism#oriented ro'ects, lans or o erations of local governments, governmental agencies, u!lic cor orations, and where clearly necessary and feasi!le, those of rivate entities so as to ma3e ossi!le the accelerated and !alanced growth and develo ment of tourism in the 1hili ines which is res onsi!le to the needs of targetted travel mar3ets, domestic and foreign, and !eneficial to a greater num!er of +ili ino communities" 6=7 AnalyAe s ecific geogra hical areas with otential tourism value leading to the re aration of a national tourism develo ment lan which will esta!lish the order of riority for the develo ment lan of tourist Aone" 677 +ormulate a government lan for each Aone in coordination with other government agencies and local government units e%ercising olitical 'urisdiction over the area, rovided, that the lan of the Aone to !e develo ed shall cover s ecifically those as ects ertaining to tourisms" rovided further, that the tourism develo ment lan is fully coordinated and integrated with other sectoral lans for the area" and 6$7 Coordinate with a ro riate local government units and other government agencies to assist in formulating and im lementing Aone regulations, including !uilding codes, hotel standards and such other restrictions as may !e necessary within a tourist Aone to control its orderly develo ment" reserve such historical, cultural or natural assets or relics giving the Aone its tourism value and significance" and assure adherence to a roved Aone develo ment lans" 697 Ensure through ro er coordination with a ro riate government agencies and local rivate agencies the social growth of the community within a tourist Aone" carefully control ossi!le negative social im act !rought a!out !y tourism develo ment. Secti ! 17. ,ffice of Product Development. # *he )ffice of 1roduct >evelo ment shall have the following functions2 617 >evelo and conce tualiAe new roducts which can lead to the enhancement of tourist sites and facilities" 687 0nderta3e ilot tests for testing the via!ility and acce ta!ility of new tourism#related roducts and rograms" and 697 Encourage and romote 'oint underta3ings with the rivate sector of new tourism#related roducts and rograms. Secti ! 18. ,ffice of Tourism Coordination. # *he )ffice of *ourism Coordination shall have the following functions2 617 ,nitiate and coordinate with all sectors, !oth government and rivate, the develo ment of the national tourism lans and olicies"

687 Coordinate riority activities and ro'ects of the >e artment, and other government agencies, and the rivate sector" 697 Enlist the assistance and su ort of any or all of the government agencies in the im lementation of the olicies of the >e artment" and 6;7 1rovide su assistance. ort to all tourism#related activities of the rivate sector needing government

CHAPTER ' FOREIGN AND REGIONA$ OFFICES Secti ! 19. (orei!n (ield ,ffices. # Su!'ect to the a roval of the 1resident, the >e artment shall have foreign offices as may !e necessary in the mar3eting and romotion of the 1hili ines as an international tourist destination, which shall oversee and im lement the mar3eting and romotional rograms of the >e artment. Secti ! 2). #e!ional ,ffice. # *he >e artment is authoriAed to esta!lish, o erate and maintain a Regional )ffice in each of the administrative regions of the country, under the immediate su ervision of the Assistant Secretary for *ourism Services and Regional )ffices. A Regional )ffice shall !e headed !y a Regional >irector and shall, within its administrative region, have the following functions2 617 ,m lement laws, olicies, lans, rograms, rules and regulations of the >e artment" 687 1rovide economical, efficient and effective service to the eo le" 697 Coordinate with regional offices of other de artments, !ureaus, and agencies" 6;7 Coordinate with local government units" and 6<7 1erform such other functions as may !e rovided !y law. CHAPTER ( ATTACHED AGENCIES Secti ! 21. %ttached %!encies. # *he 1hili ine *ourism Authority, and 1hili ine Convention ?ureau, ,ntramuros Administration, and (ational 1ar3s >evelo ment Committee are here!y attached to the >e artment and shall continue to o erate and function in accordance with the res ective chartersHlawsHorders rovided in this Code. Tit-e XIV ENVIRONMENT AND NATURA$ RESOURCES CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. #

617 *he State shall ensure, for the !enefit of the +ili ino eo le, the full e% loration and develo ment as well as the 'udicious dis osition, utiliAation, management, renewal and conservation of the countryEs forest, mineral, land, waters, fisheries, wildlife, off#shore areas and other natural resources, consistent with the necessity of maintaining a sound ecological !alance and rotecting and enhancing the 5uality of the environment and the o!'ective of ma3ing the e% loration, develo ment and utiliAation of such natural resources e5uita!ly accessi!le to the different segments of the resent as well as future generations. 687 *he State shall li3ewise recogniAe and a ly a true value system that ta3es into account social and environmental cost im lications relative to the utiliAation, develo ment and conservation of our natural resources. Secti ! 2. andate. #

617 *he >e artment of Environment and (atural Resources shall !e rimarily res onsi!le for the im lementation of the foregoing olicy. 687 ,t shall, su!'ect to law and higher authority, !e in charge of carrying out the StateEs constitutional mandate to control and su ervise the e% loration, develo ment, utiliAation, and conservation of the countryEs natural resources. Secti ! %. Guidelines for /mplementation. # ,n the discharge of its res onsi!ility the >e artment shall !e guided !y the following o!'ectives2 617 Assure the availa!ility and sustaina!ility of the countryEs natural resources through 'udicious use and systematic restoration or re lacement, whenever ossi!le" 687 ,ncrease the roductivity of natural resources in order to meet the demands for the roducts from forest, mineral, land and water resources of a growing o ulation" 697 Enhance the contri!ution of natural resources for achieving national economic and social develo ment" 6;7 1romote e5uita!le access to natural resources !y the different sectors of the o ulation" and 6<7 Conserve s ecific terrestrial and marine areas re resentative of the 1hili and cultural heritage for resent and future generations. Secti ! &. Po-ers and (unctions. # *he >e artment shall2 617 Advise the 1resident and the Congress on the enactment of laws relative to the e% loration, develo ment, use, regulation and conservation of the countryEs natural resources and the control of ollution" 687 +ormulate, im lement and su ervise the im lementation of the governmentEs olicies, lans and rograms ertaining to the management, conservation, develo ment, use and re lenishment of the countryEs natural resources" ine natural

697 1romulgate rules and regulations in accordance with law governing the e% loration, develo ment, conservation, e%traction, dis osition, use and such other commercial activities tending to cause the de letion and degradation of our natural resources" 6;7 E%ercise su ervision and control over forest lands, aliena!le and dis osa!le u!lic lands, mineral resources and, in the rocess of e%ercising such control, im ose a ro riate ta%es, fees, charges, rentals and any such form of levy and collect such revenues for the e% loration, develo ment, utiliAation or gathering of such resources" 6<7 0nderta3e the e% loration, assessment, classification and inventory of the countryEs natural resources, using ground surveys, remote sensing and com lementary technologies" 6=7 1romote ro er and mutual consultation with the rivate sector on matters involving natural resources e% loration, develo ment, use and conservation" 677 0nderta3e geological surveys of the whole country including its territorial waters" 6$7 ,ssue licenses and ermits for activities related to the use and develo ment of a5uatic resources, treasure hunting, salvaging of sun3en vessels and other similar activities2 697 Esta!lish olicies and im lement rograms for the2 6a7 Accelerated inventory, survey and classification of lands, forest and mineral resources, using a ro riate technology, to !e a!le to come u with a more accurate assessment of resource 5uality and 5uantity" 6!7 E5uita!le distri!ution of natural resources through the 'udicious administration, regulation, utiliAation, develo ment and conservation of u!lic lands, forest, water and mineral resources 6including mineral reservation areas7, that would !enefit a greater num!er of +ili inos" 6c7 1romotion, develo ment and e% ansion of natural resource#!ased industries" 6d7 1reservation of cultural and natural heritage through wildlife conservation and segregation of national ar3s and other rotected areas" 6e7 Faintenance of a wholesome natural environment !y enforcing environmental rotection laws" and 6f7 Encouragement of greater eo le artici ation and rivate initiative in rural resource management" 61B7 1romulgate rules and regulations necessary to2 6a7 Accelerate cadastral and emanci ation atent surveys, land use lanning and u!lic land titling2 6!7 Harness forest resources in a sustaina!le manner, to assist rural develo ment, su ort forest#!ased industries, and rovide raw materials to meet increasing demands, at the same time 3ee ing ade5uate reserves for environmental sta!ility"

6c7 E% edite mineral resources surveys, romote the roduction of metallic and non# metallic minerals and encourage mineral mar3eting" 6d7 Assure conservation and 'udicious and sustaina!le develo ment of a5uatic resources. 6117 Assess, review and rovide direction to, in coordination with concerned government agencies, energy research and develo ment rograms, including identification of sources of energy and determination of their commercial feasi!ility for develo ment" 6187 Regulate the develo ment, dis osition, e%traction, e% loration and use of the countryEs forest, land, water and mineral resources" 6197 Assume res onsi!ility for the assessment, develo ment, rotection, licensing and regulation as rovided for !y law, where a lica!le, of all energy and natural resources" the regulation and monitoring of service contractors, licensees, lessees, and ermit for the e%traction, e% loration, develo ment and use of natural resources roducts" the im lementation of rograms and measures with the end in view of romoting close colla!oration !etween the government and the rivate sector" the effective and efficient classification and su!classification of lands of the u!lic domain" and the enforcement of natural resources and environmental laws, rules and regulations" 61;7 1romulgate rules, regulations and guidelines on the issuance of licenses, ermits, concessions, lease agreements and such other rivileges concerning the develo ment, e% loration and utiliAation of the countryEs marine, freshwater, and !rac3ish water and over all a5uatic resources of the country and shall continue to oversee, su ervise and olice our natural resources" cancel or cause to cancel such rivileges u on failure, non#com liance or violations of any regulation, order, and for all other causes which are in furtherance of the conservation of natural resources and su ortive of the national interest" 61<7 E%ercise e%clusive 'urisdiction on the management and dis osition of all lands of the u!lic domain and serve as the sole agency res onsi!le for classification, su!#classification, surveying and titling of lands in consultation with a ro riate agencies" 61=7 ,m lement measures for the regulation and su ervision of the rocessing of forest roducts, grading and ins ection of lum!er and other forest roducts and monitoring of the movement of tim!er and other forest roducts" 6177 1romulgate rules and regulations for the control of water, air and land ollution" 61$7 1romulgate am!ient and effluent standards for water and air 5uality including the allowa!le levels of other ollutants and radiations" 6197 1romulgate olicies, rules and regulations for the conservation of the countryEs genetic resources and !iological diversity, and endangered ha!itats" 68B7 +ormulate an integrated, multi#sectoral, and multi#disci linary (ational Conservation Strategy, which will !e resented to the Ca!inet for the 1residentEs a roval" 6817 1erform such other functions as may !e rovided !y law.

Secti ! '. ,r!anizational Structure. # *he >e artment shall consist of the >e artment 1ro er, the Staff )ffices, the Staff ?ureaus, and the Regional )ffices, 1rovincial )ffices and Community )ffices. CHAPTER 2 THE DEPARTMENT PROPER Secti ! (. Composition. # *he >e artment 1ro er shall !e com osed of the )ffice of the Secretary, the )ffices of the 0ndersecretaries and Assistant Secretaries, and the 1u!lic Affairs )ffice, S ecial Concerns )ffice, and the 1ollution Ad'udication ?oard. Secti ! 7. ,ffice of the Secretary. # *he )ffice of the Secretary shall consist of the Secretary and his immediate staff. Secti ! 8. The Secretary. # *he Secretary shall2 617 Advise the 1resident on the romulgation of rules, regulations and other issuances relative to the conservation, management, develo ment and ro er use of the countryEs natural resources" 687 Esta!lish olicies and standards for the efficient and effective o erations of the >e artment in accordance with the rograms of the government" 697 1romulgate rules, regulations and other issuances necessary in carrying out the >e artmentEs mandate, o!'ectives, olicies, lans, rograms and ro'ects. 6;7 E%ercise su ervision and control over all functions and activities of the >e artment" 6<7 >elegate authority for the erformance of any administrative or su!stantive function to su!ordinate officials of the >e artment" and 6=7 1erform such other functions as may !e rovided !y law or assigned !y the 1resident. Secti ! 9. )ndersecretaries. # *he Secretary shall !e assisted !y five 6<7 0ndersecretaries u on the recommendation of the Secretary. *he Secretary is there!y authoriAed to delineate, assign andHor reassign the res ective functional areas of res onsi!ility of each 0ndersecretary, 1rovided, *hat such res onsi!ility shall !e with res ect to the mandate and o!'ectives of the >e artment" and 1rovided, further, *hat no 0ndersecretary shall !e assigned rimarily administrative res onsi!ilities. Within his functional area of res onsi!ility, an 0ndersecretary shall have the following functions2 617 Advise the Secretary in the romulgation of >e artment orders, administrative orders and other issuances, with res ect to his area of res onsi!ility" 687 E%ercise su ervision and control over the offices, services, o erating units and officers and em loyees under his res onsi!ility" 697 1romulgate rules and regulations, consistent with >e artment olicies, that will efficiently and effectively govern the activities of units under his res onsi!ility" 6;7 Coordinate the functions and activities of the units under his res onsi!ility with those of other units under the res onsi!ility of other 0ndersecretaries"

6<7 E%ercise such authority on su!stantive and administrative matters related to the functions and activities of units under his res onsi!ility to the e%tent granted !y the Secretary through administrative issuances" and 6=7 1erform such other functions as may !e rovided !y law or assigned !y the Secretary. Secti ! 1). %ssistant Secretaries. # *he Secretary and the 0ndersecretaries shall, in the formulation, management and im lementation of natural resources laws, olicies, lans and rograms and ro'ects, also !e assisted !y seven 677 Assistant Secretaries who shall !e res onsi!le for the following2 one 617 for 1olicy and 1lanning Studies, one 617 for +oreign#Assisted and S ecial 1ro'ects, one 617 for +ield ) erations in :uAon, one 617 for +ield ) erations in the @isayas, and one 617 for +ield ) erations in Findanao, one 617 for :egal Affairs, and one 617 for Fanagement Services. Secti ! 11. Public %ffairs ,ffice. # *he 1u!lic Affairs )ffice, under the )ffice of the Secretary, shall !e headed !y a >irector to !e assisted !y an Assistant >irector, and shall serve as the u!lic information arm of the >e artment. ,t shall !e res onsi!le for disseminating information on natural resources develo ment olicies, lans, rograms and ro'ects and res ond to u!lic 5ueries related to the develo ment and conservation of natural resources. Secti ! 12. Special Concerns ,ffice. # *he S ecial Concerns )ffice, also under the )ffice of the Secretary, shall !e headed !y a >irector to !e assisted !y an Assistant >irector, and shall !e res onsi!le for handling riority areas or su!'ects identified !y the Secretary which necessitate s ecial and immediate attention. Secti ! 1%. Pollution %d8udication +oard. # *he 1ollution Ad'udication ?oard, under the )ffice of the Secretary, shall !e com osed of the Secretary as Chairman, two 0ndersecretaries as may !e designated !y the Secretary, the >irector of Environmental Fanagement, and three others to !e designated !y the Secretary as mem!ers. *he ?oard shall assume the owers and functions of the CommissionHCommissioners of the (ational 1ollution Control Commission with res ect to the ad'udication of ollution cases under Re u!lic Act 9991 and 1residential >ecree 9$;, articularly with res ect to Section = letters 6e7, 6f7, 6g7, 6'7, 637 and 6 7 of 1.>. 9$;. *he Environmental Fanagement ?ureau shall serve as the Secretariat of the ?oard. *hese owers and functions may !e delegated to the regional officers of the >e artment in accordance with rules and regulations to !e romulgated !y the ?oard. CHAPTER % THE STAFF SECTORA$ "UREAUS Secti ! 1&. (orest ana!ement +ureau. # *he +orest Fanagement ?ureau shall !e headed !y a >irector and assisted !y an Assistant >irector, and shall integrate and a!sor! the owers of the ?ureau of +orest >evelo ment and the Wood ,ndustry >evelo ment Authority which were a!olished !y E%ecutive )rder (o. 191, e%ce t those line functions and owers thereof which are transferred to the regional field office. ,t shall advise the Secretary on matters ertaining to forest develo ment and conservation. As its rimary functions, it shall2 617 Recommend olicies andHor rograms for the effective rotection, develo ment, occu ancy, management and conservation of forest lands and watersheds, including the graAing and mangrove areas" reforestation and reha!ilitation of critically denuded or degraded forest reservations, im rovement of water resource use and develo ment,

develo ment of national ar3s, reservation of wilderness areas, game refuges and wildlife sanctuaries, ancestral lands, wilderness areas and other natural reserves, develo ment of forest lantations, including rattan, !am!oo, and other valua!le non#tim!er forest resources" and rationaliAation of the wood#!ased industries, regulation of the utiliAation and e% loitation of forest resources, including wildlife, to ensure continuous su ly of forest and goods and services" 687 Advise the regional offices in the im lementation of the a!ove olicies andHor rograms" 697 >evelo lans, rograms, o erating standards and administrative measures to romote the ?ureauEs o!'ectives and functions" 6;7 Assist in the monitoring and evaluation of forestry and watershed develo ment ro'ects to ensure efficiency and effectiveness" 6<7 0nderta3e studies on the economics of forestry and forest#!ased industries, including su ly and demand trends on the local, national and international levels, identifying investment ro!lems and o ortunities in various areas" and 6=7 1erform such other functions as may !e rovided !y law or assigned !y the Secretary. Secti ! 1'. "ands ana!ement +ureau. # *he :ands Fanagement ?ureau, to !e headed !y >irector and assisted !y an Assistant >irector, shall a!sor! the functions and owers of the ?ureau of :ands a!olished !y E%ecutive )rder (o. 191, e%ce t those line functions and owers thereof which are transferred to the regional field offices. ,t shall advise the Secretary on matters ertaining to rational management and dis osition and shall have the following functions2 617 Recommend olicies and rograms for the efficient and effective administration, surveys, management and dis osition of aliena!le and dis osa!le lands of the u!lic domain and other lands outside the res onsi!ilities of other government agencies, such as reclaimed areas and other areas not needed for or are not !eing utiliAed for the ur oses for which they have !een esta!lished" 687 Advise the Regional )ffices on the efficient and effective im lementation of olicies, rograms and ro'ects for more effective u!lic lands management" 697 Assist in the monitoring and evaluation of land surveys, management and dis osition of lands to ensure efficiency and effectiveness thereof" 6;7 ,ssue standards, guidelines, regulations and orders to enforce olicies for the ma%imiAation of land use and develo ment" 6<7 >evelo o erating standards and rocedures to romote the ?ureauEs o!'ectives and functions" and 6=7 1erform such other functions as may !e rovided !y law or assigned !y the Secretary. Secti ! 1(. ines and Geo&Sciences +ureau. # *he Fines and &eo#Sciences ?ureau, to !e headed !y a >irector and assisted !y an Assistant >irector shall a!sor! the functions of the ?ureau of Fines

and &eo#Sciences, Fineral Reservation >evelo ment ?oard, and the &old Fining >evelo ment ?oard which were a!olished !y E%ecutive )rder (o. 191, e%ce t line functions and owers thereof which are transferred to the regional field offices. ,t shall advise the Secretary on matters ertaining to geology and mineral resources e% loration, develo ment, utiliAation and conservation and shall2 617 Recommend olicies, regulations or rograms ertaining to mineral resources develo ment and geology" 687 Advise the Secretary on the granting of mining rights and contracts over areas containing metallic and non#metallic mineral resources" 697 Advise the Regional )ffices on the effective im lementation of mineral develo ment and conservation rograms as well as geological surveys" 6;7 Recommend olicies, regulations and oversee the develo ment and e% loitation of mineral resources of the sea within the countryEs 'urisdiction such as silica sand, gold lacer, magnetic and chromite sand, etc" 6<7 Assist in the monitoring and evaluation of the ?ureauEs rograms and ro'ects to ensure efficiency and effectiveness thereof" 6=7 >evelo and romulgate standards and o erating rocedures on mineral resources develo ment and geology" 677 Su ervise and control the develo ment and ac3aging of nationally a lica!le technologies on geological survey, mineral resource assessment, mining and metallurgy" the rovision of geological, metallurgical, chemical and roc3 mechanics la!oratory services" the conduct of marine geological and geo hysical survey and natural e% loration drilling rograms" and 6$7 1erform such other functions as may !e rovided !y law or assigned !y the Secretary. Secti ! 17. Environmental ana!ement +ureau. # *he Environmental Fanagement ?ureau, to !e headed !y a >irector who shall !e assisted !y an Assistant >irector shall, su!'ect to the rovisions of this Code relative to the 1ollution Ad'udication ?oard, a!sor! and integrate the owers and functions of the (ational Environmental 1rotection Council, the (ational 1ollution Control Commission, and the Environmental Center of the 1hili ines which are here!y a!olished. ,t shall advise the Secretary on matters relating to environmental management, conservation, and ollution control, and shall2 617 Recommend ossi!le legislation, olicies and rograms for environmental management and ollution control" 687 Advise the Regional )ffices in the efficient and effective im lementation of olicies, rograms, and ro'ects for the effective and efficient environmental management and ollution control"

697 +ormulate environmental 5uality standards such as the 5uality standards for water, air, land, noise and radiations" 6;7 Recommend rules and regulation for environmental im act assessments and rovide technical assistance for their im lementation and monitoring" 6<7 +ormulate rules and regulations for the ro er dis osition of solid wastes, to%ic and haAardous su!stances" 6=7 Advise the Secretary on the legal as ects of environmental management and ollution control and assist in the conduct of u!lic hearings in ollution cases" 677 1rovide secretariat assistance to the 1ollution Ad'udication ?oard" 6$7 Coordinate the inter#agency committees that may !e created for the re aration of the State of the 1hili ine Environment Re ort and the (ational Conservation Strategy" 697 1rovide assistance to the Regional )ffice in the formulation and dissemination of information on environmental and ollution matters to the general u!lic" 61B7 Assist the Secretary and the Regional )fficers !y roviding technical assistance in the im lementation of environmental and ollution laws" and 6117 1rovide scientific assistance to the Regional )ffices in the conduct of environmental research rograms. Secti ! 18. Ecosystems #esearch and Development +ureau. # *he Ecosystems Research and >evelo ment ?ureau, to !e headed !y a >irector and assisted !y an Assistant >irector, shall a!sor! the owers and functions of the +orest Research ,nstitute and the (ational Fangrove Committee, which are here!y a!olished. ,t shall2 617 +ormulate and recommend an integrated research rogram relating to 1hili ine ecosystems and natural resources such as minerals, lands, forests, as holistic and interdisci linary fields of in5uiry" 687 Assist the Secretary in determining a system of riorities for the allocation of resources to various technological research rograms of the de artment" 697 1rovide technical assistance in the im lementation and monitoring of the aforementioned research rograms" 6;7 &enerate technologies and rovide scientific assistance in the research and develo ment of technologies relevant to the sustaina!le uses of 1hili ine ecosystems and natural resources" and 6<7 Assist the Secretary in the evaluation of the effectiveness of the im lementation of the integrated research rograms.

*he Ecosystems Research and >evelo ment ?ureau shall directly manage and administer the +orest Research ,nstitute Research )ffices, la!oratories, and forest e% eriment stations located at 01 :os ?aJos and such other field la!oratories as the Secretary may assign to its direct su ervision. *he ?ureau shall coordinate all technological researches underta3en !y the field offices, assess and translate all recommenda!le findings and disseminate such findings for all ossi!le users and clientele. Secti ! 19. Protected %reas and Wildlife +ureau. # *he 1rotected Areas and Wildlife ?ureau, to !e headed !y a >irector and assisted !y an Assistant >irector, shall a!sor! the >ivision of 1ar3s and Wildlife and the Farine 1ar3s 1rogram of the ?ureau of +orest >evelo ment as well as the Calauit &ame 1reserve and Wildlife Sanctuary, 1residential Committee on the Conservation of *amaraw, (inoy A5uino 1ar3s and Wildlife Center 6formerly 1ar3s and Wildlife (ature Center7, shares in Ga!uhayan 1rogram and Agro +orestry State 1ro'ects of the GGG 1rocessing Authority, all national ar3s, wildlife sanctuaries and game reserves reviously managed and administered !y the Finistry of Human Settlement including (ational 1ar3s Reservation situated in the rovinces of ?ulacan, RiAal, :aguna and /ueAon formerly declared as ?agong :i unan Sites of said Finistry, Fagat +orest Reservation and Ft. Arayat (ational 1ar3, formerly with the Finistry of *ourism. *he ?ureau shall2 617 +ormulate and recommend olicies, guidelines, rules and regulations for the esta!lishment and management of an ,ntegrated 1rotected Areas Systems such as national ar3s, wildlife sanctuaries and refuge, marine ar3s, and !ios heric reserves" 687 +ormulate and recommend olicies, guidelines, rules and regulations for the reservation of !iological diversity, genetic resources, the endangered 1hili ine flora and fauna" 697 1re are an u #to#date listing of endangered 1hili ine flora and fauna and recommend a rogram of conservation and ro agation of the same" 6;7 Assist the Secretary in the monitoring and assessment of the management of the ,ntegrated 1rotected Areas System and rovide technical assistance to the Regional )ffices in the im lementation of rograms for these areas" and 6<7 1erform such other functions as may !e rovided !y law or assigned !y the Secretary. CHAPTER & THE DEPARTMENT FIE$D OFFICES Secti ! 2). (ield ,ffices of the Department. # *he +ield offices of the >e artment are the Environmental and (atural Resources Regional )ffices in the thirteen 6197 administrative regions of the country" the Environment and (atural Resources 1rovincial )ffice in every rovince, and the Community )ffice in every munici ality, whenever deemed necessary. Secti ! 21. Environment and Natural #esources #e!ional ,ffice. # A Regional )ffice shall !e directly under the su ervision and control of the 0ndersecretary for +ield ) erations and shall !e headed !y a Regional E%ecutive >irector 6with the ran3 of Regional >irector7 who shall !e assisted !y five 6<7 Assistant Regional *echnical >irectors, 6with the ran3 of Assistant Regional >irector7, one 617 each for +orestry, for :ands Fanagement, for Fines and &eo#Sciences, Environmental Fanagement and Ecosystems Research, res ectively, and who shall !e Career E%ecutive Service )fficers.

An Environment and (atural Resources Regional )ffice shall !e located in the identified regional ca ital and shall have the following functions2 617 ,m lement laws, olicies, lans, rograms, ro'ects, and rules and regulations of the >e artment to romote the sustaina!ility and roductivity of natural resources, social e5uity in natural resource utiliAation and environmental rotection" 687 1rovide efficient and effective delivery of services to the eo le" 697 Coordinate with regional offices of other de artments, offices, agencies in the region and local government units in the enforcement of natural resource conservation laws and regulations, and in the formulationHim lementation of natural resource rograms and ro'ects" 6;7 Recommend and, u on a roval, im lement rograms and ro'ects on forestry, minerals, and land management and dis osition" 6<7 Conduct a com rehensive inventory of natural resources in the region and formulate regional short and long#term develo ment lans for the conservation, utiliAation and re lacement of natural resources" 6=7 Evolve res ective regional !udget in conformity with the riorities esta!lished !y the Regional >evelo ment Councils" 677 Su ervise the rocessing of natural resources roducts, grade and ins ect minerals, lum!er and other wood rocessed roducts, and monitor the movement of these roducts" 6$7 Conduct field researches for a and ro riate technologies recommended for various ro'ects"

697 1erform such other functions as may !e rovided !y law or assigned !y the Secretary. Secti ! 22. Provincial and Community ,ffices. # *he (atural resources rovincial and community offices shall each !e headed !y a rovincial natural resource officer and community natural resource officer, res ectively. *hey shall ta3e over the functions of the district offices of the former ?ureau of +orest >evelo ment, ?ureau of :ands, and ?ureau of Fines and &eo#Sciences. CHAPTER ' ATTACHED AGENCIES AND CORPORATIONS Secti ! 2%. %ttached %!encies and Corporations. # *he following agencies and cor orations shall !e attached to and under the administrative su ervision of the >e artment2 617 (ational Fa ing and Research ,nformation Authority"

687 (ational Electrification Administration" and 697 (ational Resources >evelo ment Cor oration. *he agencies attached to the >e artment shall continue to o erate and function in accordance with the res ective laws creating them, e%ce t as otherwise rovided in this Code.

Tit-e XV TRANSPORTATION AND COMMUNICATIONS CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State is committed to the maintenance and e% ansion of via!le, efficient, fast, safe and de enda!le trans ortation and communications systems as effective instruments for national recovery and economic rogress. ,t shall not com ete as a matter of olicy with rivate enter rise and shall o erate trans ortation and communications facilities only in those areas where rivate initiatives are inade5uate or non#e%istent. Secti ! 2. andate. # *he >e artment of *rans ortation and Communications shall !e the rimary olicy, lanning, rogramming, coordinating, im lementing, regulating and administrative entity of the E%ecutive ?ranch of the government in the romotion, develo ment and regulation of de enda!le and coordinated networ3s of trans ortation and communications systems as well as in the fast, safe, efficient and relia!le ostal, trans ortation and communications services. Secti ! %. Po-ers and (unctions.# *o accom lish its mandate, the >e artment shall2 617 +ormulate and recommend national olicies and guidelines for the re aration and im lementation of integrated and com rehensive trans ortation and communications systems at the national, regional and local levels" 687 Esta!lish and administer com rehensive and integrated rograms for trans ortation and communications, and for this ur ose, it may call on any agency, cor oration or organiAation, whether u!lic or rivate, whose develo ment rograms include trans ortation and communications as integral arts thereof, to artici ate and assist in the re aration and im lementation of such rograms" 697 Assess, review and rovide direction to trans ortation and communications research and develo ment rograms of the government in coordination with other institutions concerned" 6;7 Administer and enforce all laws, rules and regulations in the field of trans ortation and communications" 6<7 Coordinate with the >e artment of 1u!lic Wor3s and Highways in the design, location, develo ment, reha!ilitation, im rovement, construction, maintenance and re air of all infrastructure ro'ects and facilities of the >e artment. However, government cor orate entities attached to the >e artment shall !e authoriAed to underta3e s ecialiAed telecommunications, orts, air orts and railways ro'ects and facilities as directed !y the 1resident of the 1hili ines or as rovided !y law" 6=7 Esta!lish, o erate and maintain a nationwide ostal system that shall include mail rocessing, delivery services and money order services and romote the art of hilately" 677 ,ssue certificates of u!lic convenience for the o eration of u!lic land and rail trans ortation utilities and services"

6$7 Accredit foreign aircraft manufacturers or international organiAations for aircraft certification in accordance with esta!lished rocedures and standards" 697 Esta!lish and rescri!e rules and regulations for identification of routes, Aones or areas of o eration of articular o erators of u!lic land services" 61B7 Esta!lish and rescri!e rules and regulations for the esta!lishment, o eration and maintenance of such telecommunications facilities in areas not ade5uately served !y the rivate sector in order to render such domestic and overseas services that are necessary with due consideration for advances in technology" 6117 Esta!lish and rescri!e rules and regulations for the issuance of certificates of u!lic convenience for u!lic land trans ortation utilities, such as motor vehicles, trimo!iles and railways" 6187 Esta!lish and rescri!e rules and regulations for the ins ection and registration of air and land trans ortation facilities, such as motor vehicles, trimo!iles, railways and aircraft" 6197 Esta!lish and rescri!e rules and regulations for the issuance of licenses to 5ualified motor vehicle drivers, conductors and airmen" 61;7 Esta!lish and rescri!e the corres onding rules and regulations for enforcement of laws governing land trans ortation, air trans ortation and ostal services, including the enalties for violations thereof, and for the de utation of a ro riate law enforcement agencies in ursuance thereof" 61<7 >etermine, fi% or rescri!e charges or rates ertinent to ostal services and to the o eration of u!lic air and land trans ortation utility facilities and services, e%ce t such rates or charges as may !e rescri!ed !y the Civil Aeronautics ?oard under its charter and, in cases where charges or rates are esta!lished !y international !odies or associations of which the 1hili ines is a artici ating mem!er or !y !odies or associations recogniAed !y the 1hili ine government as the ro er ar!iter of such charges or rates" 61=7 Esta!lish and rescri!e the rules, regulations, rocedures and standards for the accreditation of driving schools" 6177 Administer and o erate the Civil Aviation *raining Center 6CA*C7 and the (ational *elecommunications *raining ,nstitute 6(**,7" and 61$7 1erform such other owers and functions as may !e rovided !y law. Secti ! &. ,r!anizational Structure. # *he >e artment shall consist of the >e artment 1ro er, the >e artment Regional )ffices, the :and *rans ortation +ranchising and Regulatory ?oard, and the Attached Agencies. CHAPTER 2 DEPARTMENT PROPER Secti ! '. ,ffice of the Secretary. # *he )ffice of the Secretary shall consist of the Secretary, his immediate staff, the +ranchising Review Staff and the ,nvestigation, Security and :aw Enforcement Staff.

*he +ranchising Review Staff shall !e headed !y a Review Staff >irector with the same ran3, salary and rivileges of a >e artment Regional >irector who shall !e a ointed !y the 1resident u on the recommendation of the Secretary. *he +ranchising Review Staff shall assist the Secretary in the review of cases and matters ertaining to, among others, grants of franchises and the regulation thereof. *he ,nvestigation, Security and :aw Enforcement Staff shall !e headed !y a Staff >irector with the same ran3, salary and rivileges of a >e artment Service Chief. *he ,nvestigation, Security and :aw Enforcement Staff shall !e res onsi!le for2 6a7 roviding security and intelligence for the >e artment" 6!7 coordinating security and intelligence activities of security units of its offices and attached agencies" and 6c7 underta3ing law enforcement, functions and activities relating to land trans ortation. Secti ! (. )ndersecretaries. # *he Secretary shall !e assisted !y four 6;7 0ndersecretaries. Each 0ndersecretary shall have control and su ervision over the res ective offices and services assigned to him !y the Secretary. Secti ! 7. %ssistant Secretaries. # *he Secretary shall also !e assisted !y eight 6$7 Assistant Secretaries each of whom shall !e res onsi!le for the four 6;7 staff offices and four 6;7 line offices. Each Assistant Secretary shall re ort to the res ective 0ndersecretary to whom he is assigned !y the 1resident. Secti ! 8. Staff ,ffices. # *he >e artment shall have the following staff offices2 617 *he )ffice of the Assistant Secretary for Administrative and :egal Affairs com osed of the Administrative Service and the :egal Service" 687 *he )ffice of the Assistant Secretary for +inance and Com trollershi com osed of the +inance and Fanagement Service and the Com trollershi Service" 697 *he )ffice of the Assistant Secretary for 1lanning and 1ro'ect >evelo ment com osed of the 1lanning Service and the 1ro'ect >evelo ment Service" and 6;7 *he )ffice of the Assistant Secretary for Fanagement ,nformation and 1ro'ect Fanagement com osed of the Fanagement ,nformation Service and the 1ro'ect Fanagement Service. Secti ! 9. "ine ,ffices. # *he >e artment shall have the following line offices2 617 *he )ffice of the Assistant Secretary for :and *rans ortation" 687 *he )ffice of the Assistant Secretary for 1ostal Services" 697 *he )ffice of the Assistant Secretary for *elecommunications" and 6;7 *he )ffice of the Assistant Secretary for Air *rans ortation. *he line offices shall each have an E%ecutive >irector who shall assist the res ective Assistant Secretary in the im lementation and enforcement of the olicies, rograms and ro'ects, and the ertinent laws on their res ective areas of res onsi!ilities.

Secti ! 1). Service )nits in the ,ffice of the %ssistant Secretary for "and Transportation. # *here shall !e two service units in the )ffice of the Assistant Secretary for :and *rans ortation, namely2 617 :aw Enforcement Service, and 687 *raffic Ad'udication Service. Each of the aforesaid service units shall !e headed !y a Service Chief to !e a ointed !y the 1resident u on recommendation of the Secretary of *rans ortation and Communication. Secti ! 11. (unctions of the "a- Enforcement Service. # *he :aw Enforcement Service shall have the same functions and owers as those that the former :aw Enforcement >ivision in the )ffice of the Assistant Secretary for :and *rans ortation e%ercised. Secti ! 12. (unctions of the Traffic %d8udication Service. # *he *raffic Ad'udication Service shall have the following owers and functions2 617 *o hear and decide cases involving violations of laws, rules and regulations governing land trans ortation and to im ose fines andHor enalties therefor" rovided that violations resulting in damage to ro erty andHor hysical in'uries or violations constituting offenses unisha!le under the Revised 1enal Code and other enal laws shall !e under the 'urisdiction of the regular courts" 687 *o order the im ounding of motor vehicles and confiscation of lates or the arrest of violators of laws, rules and regulations governing land trans ortation" 697 *o issue su! oena and su! oena duces tecum and to summon witnesses to a any roceedings thereof, and to administer oaths and affirmations" ear in

6;7 *o romulgate rules and regulations governing the roceedings !efore it" rovided that e%ce t with res ect to aragra h c, the rules of rocedure and evidence revailing in the courts of law shall not !e controlling and all reasona!le means to ascertain the facts in each case shall !e used without regard to technicalities of law and rocedures !ut all in the interest of due rocess" and 6<7 *o erform such other functions and duties as may !e rovided !y law, or as may !e necessary, or ro er or incidental to its owers and functions. CHAPTER % DEPARTMENT SERVICES Secti ! 1%. Department Services. # *he >e artment Services shall include the following2 617 Administrative Service" 687 :egal Service" 697 +inance and Fanagement Service" 6;7 Com trollershi Service"

6<7 1lanning Service" 6=7 1ro'ect >evelo ment Service" 677 Fanagement ,nformation Service" and 6$7 1ro'ect Fanagement Service. Each of the a!ove named services shall !e headed !y a Service Chief a u on the recommendation of the Secretary. CHAPTER & REGIONA$ OFFICES Secti ! 1&. #e!ional ,ffices. # *he >e artment shall have three 697 Regional )ffices in each of the administrative regions of the country2 the Regional )ffice for :and *rans ortation, the Regional )ffice for *elecommunications and the Regional )ffice for 1ostal Services. Each Regional )ffice shall !e headed !y a Regional >irector to !e assisted !y an Assistant Regional >irector. *he Regional )ffices shall essentially !e line in character and shall !e res onsi!le for the delivery of all front line services of the >e artment. +or such ur oses, the Regional )ffices shall have, within their res ective administrative regions, the following functions2 617 ,m lement laws, olicies, lans, rograms, ro'ects, rules and regulations of the >e artment" 687 1rovide efficient and effective service to the eo le" 697 Coordinate with regional offices of other de artments, offices and agencies" 6;7 Coordinate with local government units" and 6<7 1erform such other functions as may !e rovided !y law. *he )ffice of the Secretary shall have direct line su ervision and control over Regional )ffices. CHAPTER ' REGU$ATORY "OARD Secti ! 1'. "and Transportation (ranchisin! and #e!ulatory +oard. # *he 5uasi#'udicial owers and functions with res ect to land trans ortation shall !e e%ercised through the :and *rans ortation and Regulatory ?oard, hereinafter referred to as the 4?oard4. Secti ! 1(. Composition of the +oard. # *he ?oard shall !e com osed of a Chairman and two 687 mem!ers with the ran3, salary and rivileges of an Assistant Secretary, all of whom shall !e a ointed !y the 1resident of the 1hili ines u on recommendation of the Secretary of *rans ortation and Communications. )ne 617 mem!er of the ?oard shall !e a mem!er of the ?ar and shall have !een engaged in the ractice of law in the 1hili ines for at least five 6<7 years, ointed !y the 1resident

another a holder of a degree in civil engineering, and the other a holder of a degree in economics, finance or management !oth with the same num!er of years of e% erience and ractice. Secti ! 17. E2ecutive Director and Support Staff of the +oard. # *he ?oard shall have an E%ecutive >irector who shall also !e a ointed !y the 1resident of the 1hili ines u on the recommendation of the Secretary of *rans ortation and Communications. He shall have the ran3, salary and rivileges of a >e artment Service Chief. He shall assist the ?oard in the erformance of its owers and functions. *he ?oard shall !e su orted !y the *echnical Evaluation >ivision, :egal >ivision, Fanagement ,nformation >ivision, Administrative >ivision and +inance >ivision. Secti ! 18. Supervision and Control ,ver the +oard. # *he Secretary of *rans ortation and Communications, through his duly designated 0ndersecretary, shall e%ercise administrative su ervision and control over the :and *rans ortation +ranchising and Regulatory ?oard. Secti ! 19. Po-ers and (unctions of the "and Transportation (ranchisin! and #e!ulatory +oard. # *he ?oard shall2 617 1rescri!e and regulate routes, economically via!le ca acities, and Aones or areas of o eration of u!lic land trans ortation services rovided !y motoriAed vehicles in accordance with the u!lic land trans ortation develo ment lans and rograms a roved !y the >e artment of *rans ortation and Communications" 687 ,ssue, amend, revise, sus end or cancel Certificates of 1u!lic Convenience or ermits authoriAing the o eration of u!lic land trans ortation services rovided !y motoriAed vehicles, and rescri!e the a ro riate terms and conditions therefor" 697 >etermine, rescri!e, a rove and eriodically review and ad'ust reasona!le fares, rates and other related charges, relative to the o eration of u!lic land trans ortation services rovided !y motoriAed vehicles" 6;7 ,ssue reliminary or ermanent in'unctions, whether rohi!itory or mandatory, in all cases in which it has 'urisdiction and in which cases the ertinent rovisions of the Rules of Court shall a ly" 6<7 1unish for contem t of the ?oard, !oth direct and indirect, in accordance with the ertinent rovisions of, and the enalties rescri!ed !y, the Rules of Court" 6=7 ,ssue su! oena and su! oena duces tecum and to summon witnesses to a ear in any roceedings of the ?oard, to administer oaths and affirmations, and, in a ro riate cases, to order the search and seiAure of all vehicles and documents, u on ro!a!le cause and as may !e necessary for the ro er dis osition of the cases !efore it" 677 Conduct investigations and hearings of com laints for violation of the u!lic service laws on land trans ortation and of the ?oardEs rules and regulations, orders, decisions or rulings and to im ose fines or enalties for such violations" 6$7 Review motu ro io the decisionsHactions of the Regional +ranchising and Regulatory )ffices"

697 1romulgate rules and regulations governing roceedings !efore the ?oard and the Regional +ranchising and Regulatory )ffice. However, e%ce t with res ect to aragra hs ;, <, =, and 7 hereof, the rules of rocedure and evidence revailing in the courts of law should not !e controlling !ut rather the s irit and intention of said rules. *he ?oard and the Regional +ranchising and Regulatory )ffices shall use every and all reasona!le means to ascertain facts in each case s eedily and o!'ectively and without regard to technicalities of law and rocedures, all in the interest of due rocess" 61B7 +i%, im ose and collect, and eriodically review and ad'ust, reasona!le fees and other related charges for services rendered" 6117 +ormulate, romulgate, administer, im lement and enforce rules and regulations on land trans ortation u!lic utilities, standards of measurements or design, and rules and regulations re5uiring o erators of any u!lic land trans ortation service to e5ui , install and rovide in their utilities and in their stations such devices, e5ui ment, facilities and o erating rocedures and techni5ues as may romote safety, rotection, comfort and convenience to ersons and ro erty in their charges as well as the safety of ersons and ro erty within their areas of o eration" 6187 Coordinate and coo erate with other government agencies and entities concerned with any as ect involving u!lic land trans ortation services with the end in view of effecting continuing im rovement of such services" and 6197 1erform such other functions and duties as may !e rovided !y law, or as may !e necessary, or ro er or incidental to the ur oses and o!'ectives of the >e artment" Secti ! 2). Decisions of the +oard7 %ppeals therefrom or #evie- Thereof . # *he ?oard, in the e%ercise of its owers and functions, shall sit and render its decision en !anc. Every such decision, order, or resolution of the ?oard must !ear the concurrence and signature of at least two 687 mem!ers thereof. *he decision, order or resolution of the ?oard shall !e a eala!le to the Secretary within thirty 69B7 days from recei t of the decision. However, the Secretary may motu ro io review and decision or action of the ?oard !efore the same !ecomes final. Secti ! 21. #e!ional (ranchisin! and #e!ulatory ,ffices. # *here shall !e a Regional +ranchising and Regulatory )ffice in each of the administrative regions of the country which shall !e headed !y a Regional >irector having the ran3, salary and rivileges of a >e artment Assistant Regional >irector. *he Regional +ranchising and Regulatory )ffices shall hear and decide uncontested a licationsH etitions for routes, within their res ective administrative regions !ut that a licationsH etitions for routes e%tending !eyond their res ective territorial 'urisdiction shall !e heard and decided !y the ?oard. Secti ! 22. %ppeals. # *he decisions, orders or resolutions of the Regional +ranchising and Regulatory )ffices shall !e a eala!le to the ?oard within thirty 69B7 days from recei t of the decision. CHAPTER ( ATTACHED AGENCIES

Secti ! 2%. %ttached %!encies and Corporations. # *he following agencies and cor orations are attached to the >e artment2 *he 1hili ine (ational Railways, the Faritime ,ndustry Authority, the 1hili ine (ational :ines, the 1hili ine Aeros ace >evelo ment Cor oration, the Fetro Fanila *ransit Cor oration, the )ffice of *rans ort Coo eratives, the 1hili ine 1orts Authority, the 1hili ine Ferchant Farine Academy, the *oll Regulatory ?oard, the :ight Rail *ransit Authority, the *rans ort *raining Center, the Civil Aeronautics ?oard, the (ational *elecommunications Commission and the Fanila ,nternational Air ort Authority. Secti ! 2&. (unctions of %ttached %!encies and Corporations. # *he Agencies attached to the >e artment shall continue to o erate and function in accordance with the res ective charters or laws creating them, e%ce t when they conflict with this Code. Tit-e XVI SOCIA$ *E$FARE AND DEVE$OPMENT CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State is committed to the care, rotection, and reha!ilitation of individuals, families and communities which have the least in life and need social welfare assistance and social wor3 intervention to restore their normal functioning and ena!le them to artici ate in community affairs. Secti ! 2. andate. # *he >e artment shall rovide a !alanced a roach to welfare where!y the needs and interests of the o ulation are addressed not only at the out!rea3 of crisis !ut more im ortantly at the stage which would ine%ora!ly lead to such crisis. +ollowing such strategy, the >e artmentEs o!'ectives shall !e to2 617 Care for, rotect and reha!ilitate the hysically and mentally handica disa!led constituents, for effective social functioning" ed and socially

687 1rovide an integrated welfare ac3age to its constituents on the !asis of their needs and coordinate the service facilities re5uired from such de artments or agencies, governmental and non#governmental, which can !est rovide them" 697 Arrest the further deterioration of the socially disa!ling or dehumaniAing conditions of the disadvantaged segment of the o ulation at the community level" and 6;7 Advocate for olicies and measures addressing social welfare concerns. Secti ! %. Po-ers and (unctions. # *o accom lish its mandate and o!'ectives, the >e artment shall2 617 +ormulate, develo and im lement lans, rograms and ro'ects in the field of social welfare and develo ment" 687 Ado t olicies to ensure effective im lementation of rograms for u!lic and rivate social welfare services"

697 1romote, su ort and coordinate the esta!lishment, e% ansion and maintenance of non# government social welfare facilities, ro'ects and services" 6;7 Esta!lish, o erate, maintain and otherwise su services for its constituents" ort institutional facilities, ro'ects and

6<7 1romote, !uild and strengthen eo leEs organiAations for a self#directing welfare system at the grassroots level" 6=7 1romote, su ort and coordinate networ3s and facilities for the identification and delivery of a ro riate interventions to its welfare constituents" 677 Accredit institutions and organiAations engaged in social welfare activities and rovide consultative and information services to them" 6$7 0nderta3e researches and studies on matters ertaining to its constituency" 697 ,nitiate, romote and maintain !ilateral and multi#lateral lin3ages for technical coo eration, in coordination with the >e artment of +oreign Affairs" 61B7 1rovide advisory services and develo and im lement training standard and rograms for ersonnel, social wor3ers and students and third#country artici ants for career and staff develo ment in social welfare activities" 6117 >isseminate information and u!lish technical !ulletins on social welfare and develo ment" 6187 >e utiAe law enforcement agencies to assist in the im lementation of laws, rules and regulations for the rotection of the rights of the e% loited, a!used and disadvantaged" 6197 Regulate fund drives, u!lic solicitations and donations for charita!le or welfare ur oses" 61;7 Set standards, accredit and monitor erformance of all social welfare activities in !oth u!lic and rivate sectors" 61<7 E%ercise functional and technical su ervision over social wor3ers in other government settings or agencies li3e courts, hos itals, schools and housing ro'ects" 61=7 >e utiAe local government units and other agencies of government as are necessary in roviding disaster relief" 6177 Coordinate all activities ertaining to the im lementation of rograms and services for the disa!led, the aging and other socially disadvantaged" and 61$7 1erform such other functions as may !e rovided !y law. Secti ! &. ,r!anizational Structure. #*he >e artment, aside from the >e artment 1ro er com rising the )ffice of the Secretary, the )ffices of the 0ndersecretaries and Assistant Secretaries and the Services, shall consist of the ?ureaus, Regional )ffices, 1rovincialHCity )ffices and Funici alH>istrict )ffices.

CHAPTER 2 DEPARTMENT PROPER Secti ! '. ,ffice of the Secretary. # *he )ffice of the Secretary shall consist of the Secretary and the SecretaryEs immediate staff, and the 1u!lic Affairs and :iaison Service. Secti ! (. )ndersecretaries. # *he Secretary shall !e assisted !y two 687 0ndersecretaries, at least one of whom must !elong to the career e%ecutive service. )ne 0ndersecretary shall su ervise internal o erations while the other 0ndersecretary shall handle the liaison !etween the Secretary and the attached agencies of the >e artment. Secti ! 7. %ssistant Secretaries. # *he Secretary shall also !e assisted !y three 697 career Assistant Secretaries who shall res ectively erform the following functions2 617 Su ervise the 1ersonnel >evelo ment Service" Administrative Service and +inancial Service" 687 Su ervise the ?ureau of Child and Douth Welfare" ?ureau of WomenEs Welfare" ?ureau of +amily Community Welfare" ?ureau of Emergency Assistance" and ?ureau of >isa!le 1ersonEs Welfare" 697 Su ervise the 1lanning and Fonitoring Service and the :egal Service, and assist the 0ndersecretary and the Secretary in matters ertaining to regional or field o erations. CHAPTER % DEPARTMENT SERVICES Secti ! 8. Services of the Department. #*he Services listed in Section 7 617 and 697 hereof and the u!lic Affairs and :iaison Service shall res ectively have the following functions2 617 *he 1ersonnel >evelo ment Service shall rovide the >e artment with services relating to man ower, career lanning and develo ment, ersonnel transactions, and em loyee welfare" 687 *he +inancial Service shall rovide the >e artment with services relating to !udget, collection, dis!ursement, and other financial matters" 697 *he Administrative Service shall rovide the >e artment with services relating to records, corres ondence, su lies, ro erty and e5ui ment, security and general services" 6;7 *he 1lanning and Fonitoring Service shall rovide technical services to the >e artment in the areas or overall olicy formulation, strategic and o erational lanning, management systems or rocedures, and the evaluation and monitoring of >e artment rograms, ro'ects and internal o erations" 6<7 *he :egal Service shall rovide the >e artment with services on legal matters, es ecially on ro osed legislations" 6=7 *he 1u!lic Affairs and :iaison Service in the )ffice of the Secretary shall rovide u!lic information services and u!lications as well as coordinate and mo!iliAe volunteers, non# governmental organiAations and cause#oriented grou s in artnershi with the >e artment.

Each of the Services shall !e headed !y a Staff >irector and may have divisions whenever necessary for the erformance of its functions. CHAPTER & "UREAUS AND OFFICES Secti ! 9. Composition. # *he Staff !ureaus listed in Section 7 687 hereof shall !e essentially staff in character and as such shall e%ercise technical su ervision over the Regional )ffices" shall !e rimarily involved in the develo ment of olicies and rograms within their res ective functional s ecialiAations" and shall formulate and develo related olicies, guidelines and standards necessary in guiding the Regional )ffices in the ro er im lementation of such olicies and rograms. Secti ! 1). (unctions. # Each of the staff !ureaus shall2 617 +ormulate rograms, olicies, rules, regulations and standards relative to the im lementation of their res ective functional s ecialiAation" 687 ,nitiate and administer ilot or s ecial ro'ects for demonstration of the corres onding olicies, rograms, services, strategies, methods, rocedures and guidelines rior to nationwide im lementation" 697 Audit, evaluate, and rovide technical assistance and consultative services to o erating units and field offices and local government welfare de artments on rogram im lementation" 6;7 >evelo standards and assess agencies for licensing and accreditation" 6<7 Review a donations" lications for regulatory ur oses including ta% e%em tions for foreign

6=7 1rovide advisory services to non#governmental agencies im lementing rograms and services for welfare and develo ment" 677 +ormulate the su!stantive content of, and assist in the orientation and training on, the !ureausE rograms, services, strategies, rocedures, methods and guidelines" 6$7 >evelo indigenous literature and other media materials for clients, volunteers and other audiences" 697 1romote and develo a system of networ3ing and coordination with relevant welfare councils" 61B7 0nderta3e studies and action researches on matters ertaining to client welfare and develo ment and ro ose relevant olicies and amendments for legislation" 6117 Faintain lin3ages relative to welfare rograms or ro'ects for national, regional and interregional coo eration. Secti ! 11. %reas of Specialization. # *he su!stantiveHfunctional areas of s ecialiAation of the staff !ureaus shall !e2

617 ?ureau of Emergency Assistance # relief and reha!ilitation of victims of natural calamities and social disorganiAation and of cultural communities and other distressed and dis laced ersons" 687 ?ureau of +amily and Community Welfare # assistance to socially disadvantaged families and communities including family lanning, lanning outreach rograms to develo their ca a!ility in defining needs and formulating solutions as well as setting u via!le community structures which !ring a!out desired social changes" 697 ?ureau of the >isa!led 1ersonEs Welfare # disa!ility revention and reha!ilitation of the hysically, mentally and socially disa!led ersons" 6;7 ?ureau of WomenEs Welfare # romoting womenEs welfare, with s ecific attention to the revention or eradication of e% loitation of women in any form, such as !ut not limited to rostitution and illegal recruitment" as well as the romotion of s3ills for em loyment and self#actualiAation" 6<7 ?ureau of Child and Douth Welfare # care and rotection of a!andoned, neglected, a!used or e% loited children and youth, delin5uents, offenders, the distur!ed, street children, victims of rostitution and others, for their social ad'ustment and economic self#sufficiency. CHAPTER ' REGIONA$ OFFICES Secti ! 12. #e!ional ,ffice. # *he >e artment is here!y authoriAed to esta!lish, o erate and maintain a Regional )ffice in each of the administrative regions of the country. Secti ! 1%. (unctions. # A Regional )ffice shall2 617 1rovide within the region efficient and effective services to its constituents" and for such ur oses, esta!lish, o erate, romote and su ort, at the minimum, the following welfare facilities2 6a7 @ocational Reha!ilitation and S ecial Education Center for the Handica 6!7 Rece tion and Study Center" 6c7 Reha!ilitation Center for Douth )ffenders" 6d7 >ay Care Centers" 687 Ensure the im lementation of laws, olicies, rograms, rules, and regulations regarding social welfare and develo ment within the region" 697 Secure effective coordination with other de artments, agencies, institutions and organiAations, es ecially local government units within the region" 6;7 Conduct continuing studies and lanning, to im rove its services to its constituents. Secti ! 1&. Welfare (acilities. # *he Regional )ffices are here!y authoriAed to esta!lish, o erate and maintain the following, insofar as necessary and authoriAed !y the Secretary2 ed"

617 )ther @ocational Reha!ilitation and S ecial Education Centers for the Handica 687 4Street Children4 Centers" 697 Centers for Douth with S ecial (eeds" 6;7 )ther Centers for Douth )ffenders" 6<7 Homes for the Aged" 6=7 Homes for 0nwed Fothers" 677 >rug A!use Centers" 6$7 )ther Rece tion and Study Centers" and 697 Such other facilities as may !e necessary to assist the socially disadvantaged.

ed"

Secti ! 1'. #e!ional Director. # *he Regional )ffice shall !e headed !y a Regional >irector who shall !e res onsi!le for efficiently and effectively carrying out its functions. *oward this end, and in line with the olicy of decentraliAation, the Regional >irector shall !e vested with the authority to e%ercise functional and administrative su ervision over >e artment rovincial o erations as delegated !y the Secretary including the authority to contri!ute resources and ersonnel to integrated region and rovince#wide develo ment thrusts. *he Regional >irector shall !e assisted !y two 687 Assistant Regional >irectors, one for rograms and one for administration. CHAPTER ( PROVINCIA$0CITY OFFICES Secti ! 1(. Provincial6City ,ffice. # *he >e artment is here!y authoriAed to esta!lish, o erate and maintain 1rovincialHCity )ffices throughout the country with 'urisdiction over all munici alitiesHdistricts within the rovince. *he 1rovincialHCity )ffices shall have the following functions2 617 +ormulate and coordinate the im lementation of o erational, field#level lansH rograms of the >e artment" 687 1rovide s ecialiAed services and com rehensive assistance to other de artmentHagency units whenever necessary" 697 Secure all ertinent feed!ac3 and information from field units as well as a ro riate de artmentHagency units, articularly local government units, and communicate the same regularly to the Regional )ffice" 6;7 Esta!lish and maintain a vocational reha!ilitation and s ecial education rogram for the handica ed in the form and magnitude a ro riate for the needs of the rovince.

Secti ! 17. Provincial6City Welfare ,ffice. # *he 1rovincialHCity )ffice shall !e headed !y a 1rovincialHCity Social Welfare )fficer who shall !e accounta!le for the efficient and effective erformance of its functions and im lementation of rograms of the >e artment, within the rovince. *he 1rovincialHCity Social Welfare officer shall e%ercise functional administrative su ervision over field o erations of the >e artment, including the authority to recommend that field resources and ersonnel !e contri!uted to integrated, munici ality#wide develo ment efforts. CHAPTER 7 MUNICIPA$0DISTRICT OFFICES Secti ! 18. unicipal6District ,ffice. # *he >e artment is here!y authoriAed to esta!lish, o erate and maintain a Funici alH>istrict )ffice to service a munici ality or city district which shall !e headed !y the Su ervising Social Welfare )fficer and shall !e rimarily res onsi!le for the efficient and effective im lementation of the >e artmentEs field rograms in the munici ality or city, under the su ervision of the 1rovincialHCity )ffice. CHAPTER 8 ATTACHED AGENCIES Secti ! 19. %!encies )nder %dministrative Supervision and %ttached %!encies . # *he 1o ulation Commission Council for the Welfare of Children, (ational (utrition Council and the (ational Council for the Welfare of >isa!led 1erson and the agencies attached to the >e artment shall continue to o erate and function in accordance with their res ective charters or laws creating them, e%ce t as otherwise rovided in this Code. CHAPTER 9 FUND DRIVES Secti ! 2). Solicitation. # Any erson, cor oration, organiAation, or association desiring to solicit or receive contri!ution for charita!le or u!lic welfare ur oses shall first secure a ermit from the Regional )ffices of the >e artment. 0 on the filing of a written a lication for a ermit in the form rescri!ed !y the Regional )ffices of the >e artment, the Regional >irector or his duly authoriAed re resentative may, in his discretion, issue a ermanent or tem orary ermit or disa rove the a lication. ,n the interest of the u!lic, he may in his discretion renew or revo3e any ermit issued under Act ;B7<. Secti ! 21. #e$uirements. # *he Regional >irector of the >e artment may re5uire the erson, cor oration, organiAation or association duly authoriAed to solicit contri!utions for the a!ove mentioned ur oses to su!mit from time to time a verified re ort or information regarding their activities, the eriod covered !y the re ort, the collection and e% enditures made and the names and addresses of the contri!utors and ersons to whom assistance was rendered from the funds o!tained. *his re orts or information shall !e o en for ins ection of the general u!lic. *he Regional >irector or his duly authoriAed re resentative may, for the rotection of the u!lic, li3ewise investigate the !oo3s, a ers, affairs and activities related to the aforestated ur oses of any such erson, cor oration, organiAation, or association2 1rovided, however, *hat the rovisions of the receding Section shall not a ly to any organiAation or institution esta!lished for charita!le or u!lic welfare ur oses in its cam aign for raising funds or soliciting u!lic su!scri tions or any means for collecting funds which has !een authoriAed !y E%ecutive 1roclamation. Secti ! 22. (ees. # 0 on a roval of the a lication for a solicitation ermit, a fee of *wenty#+ive 1esos 618<.BB7 shall !e aid to the cashier of the >e artment. *he money collected as fee for the

issuance of solicitation ermits shall accrue to the >e artment as aid for the maintenance of its institutions and social services for its clientele. CHAPTER 1) SOCIA$ *E$FARE AGENCIES AND SERVICES Secti ! 2%. Social Welfare Services by ,thers. # Social welfare services !y the >e artment shall !e without re'udice to similar efforts !y any local government unit or rivate agency, institution or grou . All >e artment units shall actively romote and e%tend ma%imum assistance, including the rovision of counter art or su lementary funds and resources, u on a roval !y the Secretary, to such efforts. Secti ! 2&. Social Wor. %!ency. # 617 (o social wor3 agency shall o erate and !e accredited as such unless it is registered with the >e artment which shall issue the corres onding certificate of registration. 687 ?efore any social wor3 agency shall !e duly registered, the following re5uirements must have !een com lied with2 6a7 *he a licant must !e engaged mainly or generally in social wor3 activity or social services" 6!7 *he a licant has em loyed a sufficient num!er of duly 5ualified and registered social wor3ers to su ervise and ta3e charge of its social service functions in accordance with acce ted social wor3 standards" 6c7 *he a licant must show, in a duly certified financial statement that at least si%ty 6=B7 ercent of its funds are dis!ursed for direct social wor3 services" and 6d7 *he a licant 3ee s a social wor3 record of all cases and welfare activities handled !y it. 697 A certificate of registration may !e revo3ed if after due investigation, the >e artment finds that the social wor3 agency has failed to erform its function or has violated e%isting laws, rules and regulations. Secti ! 2'. Child Welfare %!ency. # 617 (o erson, natural or 'uridical, shall esta!lish any child welfare agency without first securing a license from the >e artment. Such license shall not !e transfera!le and shall !e used only !y the erson or institution to which it was issued at the lace stated therein. (o license shall !e granted unless the ur ose or function of the agency is clearly defined and stated in writing. Such definition shall include the geogra hical area to !e served, the children to !e acce ted for care, and the services to !e rovided. ,f the a licant is a 'uridical erson, it must !e registered in accordance with 1hili ine laws.

687 *he wor3 of all registered and licensed child welfare agencies shall !e su ervised and coordinated !y the >e artment.

697 *he >e artment may, after notice and hearing, sus end or revo3e the license of a child welfare agency on any of the following grounds2 6a7 *hat the agency is !eing used for immoral ur oses" 6!7 *hat agency is insolvent or is not in a financial osition to su ort and maintain the children therein or to erform the functions for which it was granted" 6c7 *hat the children therein are !eing neglected or are undernourished" 6d7 *hat the lace is so unsanitary as to ma3e it unfit for children" 6e7 *hat said agency is located in a lace or community where children should not !e, or is hysically dangerous to children or would unduly e% ose children to crime, vice, immorality, corru tion or severe cruelty" or 6f7 *hat said agency has !y any act or commission shown its incom etence or unworthiness to continue acting as a child welfare agency. >uring the eriod of sus ension, the agency concerned shall not acce t or admit any additional children. ,n any case, the >e artment shall ma3e such order as to the custody of the children under the care of such agency as the circumstances may warrant. *he sus ension may last for as long as the agency has not com lied with any order of the >e artment to remove or remedy the conditions which have given rise to the sus ension. *he aggrieved agency may a eal the sus ension or revocation in a ro er court action. ,n such a case, the court shall within fifteen 61<7 days from the filing of the >e artmentEs answer, conduct a hearing and decide the case, either !y lifting the sus ension, or continuing it for such eriod of time as it may order, or !y revo3ing the license of the agency where the >e artment has roven the revocation to !e 'ustified. Secti ! 2(. (oster 1omes. # (o foster home, day care center and other su!stitute arental arrangement shall o erate unless it is first registered with and licensed !y the >e artment. Tit-e XVII "UDGET AND MANAGEMENT CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he national !udget shall !e formulated and im lemented as an instrument of national develo ment, reflective of national o!'ectives and lans" su ortive of and consistent with the socio#economic develo ment lans and oriented towards the achievement of e% licit o!'ectives and e% ected results, to ensure that the utiliAation of funds and o erations of government entities are conducted effectively" formulated within the conte%t of a regionaliAed governmental structure and within the totality of revenues and other recei ts, e% enditures and !orrowings of all levels of government and of government#owned or controlled cor orations" and re ared within the conte%t of the national long#term lans and !udget rograms of the &overnment. Secti ! 2. andate. # *he >e artment shall !e res onsi!le for the formulation and im lementation of the (ational ?udget with the goal of attaining our national socio#economic lans and o!'ectives.

*he >e artment shall !e res onsi!le for the efficient and sound utiliAation of government funds and revenues to effectively achieve our countryEs develo ment o!'ectives. Secti ! %. Po-ers and (unctions. # *he >e artment of ?udget and Fanagement shall assist the 1resident in the re aration of a national resources and e% enditures !udget, re aration, e%ecution and control of the (ational ?udget, re aration and maintenance of accounting systems essential to the !udgetary rocess, achievement of more economy and efficiency in the management of government o erations, administration of com ensation and osition classification systems, assessment of organiAational effectiveness and review and evaluation of legislative ro osals having !udgetary or organiAational im lications. CHAPTER 2 DEPARTMENT PROPER Secti ! &. ,ffice of the Secretary. # *he )ffice of the Secretary shall consist of his immediate staff, the ?udget Control Staff, Research Staff, a Regional Coordination Staff for :uAon, and a Regional Coordination Staff for @isayas and Findanao. Secti ! '. )ndersecretaries. # *he Secretary shall !e assisted !y five 6<7 0ndersecretaries, who shall all !e a ointed !y the 1resident u on the recommendation of the Secretary. *hey shall e%ercise su ervision over the offices, services, o erating units and individuals under their authority and res onsi!ility. Secti ! (. %ssistant Secretaries. # *here shall !e five 6<7 Assistant Secretaries, each of whom shall assist the Secretary and the 0ndersecretaries in the formulation, determination and im lementation of laws, olicies, lans, rograms and ro'ects on !udget and management and shall oversee the day#to#day administration of the constituent units of the >e artment. CHAPTER % DEPARTMENT SERVICES Secti ! 7. ana!ement Services ,ffice. # *he Fanagement Services )ffice shall consist of the following !ureaus2 617 *he Systems and 1rocedures ?ureau which shall review and design the management re orting systems, review and evaluate the a lica!ility and economics of com uteriAation, urchasingHinventory systems, formulate measures on internal controls to ensure accuracy, integrity and relia!ility of records systems, and develo a system of controls for ca ital o erational and cash !udgeting" 687 *he )rganiAation and 1roductivity ,m rovement ?ureau which shall develo erformance standards as !ases for agency !udgeting and erformance evaluation, conduct studies on wor3 sim lification and methods im rovement, review the e5ui ment rocurement rograms of agencies, and re are o erations manuals and conduct continuing studies on organiAational changes of government agencies" 697 *he Com ensation and 1osition Classification ?ureau which shall classify ositions and determine a ro riate salaries for s ecific osition classes and review the com ensation !enefits rograms of agencies and shall design 'o! evaluation rograms.

Secti ! 8. The "e!islative* %dministrative and Procurement Services ,ffice. # *he :egislative, Administrative, 1rocurement and Services )ffice shall consist of2 617 *he :egislative Services which shall rovide legal advice and service to the >e artment )fficers and em loyees, review legislative ro osals and rovide clarificatory o inions on !udget laws. 687 *he Administrative Services which shall rovide the services relative to ersonnel, records management, allocation of ro erty and su lies, and shall erform security and custodial functions. 697 *he 1rocurement Services which shall im lement an integrated rograms for the rocurement of su lies and materials for the >e artment. Secti ! 9. *he +inancial and Com uter Services. # *he +inancial and Com uter Services shall consist of2 617 *he +inancial Services which shall rovide services relative to cash management, !udgetary and financial matters. 687 *he >ata 1rocessing Service which shall rovide com uter services, re are and generate management re orts, maintain and o erate com uter#!ased monitoring systems. CHAPTER & "UREAUS Secti ! 1). The +ud!et ,perations ,ffice. # *he ?udget ) erations )ffice shall review and analyAe the wor3 and financial flows, the !udgetary ro osals of national and local government agencies and cor orations, chec3 each agencyEs com liance with the !udgetary olicies and ro'ect riorities, determine the !udgetary im lications of foreign assisted ro'ects from the time of ro'ect design to the negotiation for financial assistance, re are recommendations for fund releases, formulate and im lement fiscal olicies and lans for !udget re aration and control, and conduct studies on economic trends and factors affecting government revenues, e% enditures and !orrowings. ,t shall consist of the following ?ureaus2 617 (ational &overnment ?udget ?ureaus A and ? which shall evaluate and review the !udgetary ro osals, wor3 and financial flows of the national government and ensure its com liance with !udgetary olicies and ro'ect riorities of the !ureaus assigned to each grou . 687 :ocal &overnment ?udget ?ureau which shall recommend and effect the release of (ational Assistance for :ocal &overnment 6(A:&07 funds and those for autonomous regions !ased on a roved wor3 and financial lans as limited !y the Secretary. 697 &overnment Cor oration ?udget ?ureau which shall evaluate and analyAe the !udgetary ro osals, lans and financial flows of government cor orations and agencies and ensure its com liance with !udgetary olicies and ro'ect riorities" 6;7 ?udget 1lanning ?ureau which shall assist the Secretary in the re aration and management of fiscal olicies and lans for !udget coordination, conduct studies on economic trends and factors affecting government revenues, e% enditures and !orrowings,

and shall colla!orate with the )ffice of the 1resident, >e artment of +inance, Central ?an3, (ational Economic and >evelo ment Authority, and other agencies in the formulation of financial lans. 6<7 +oreign Assisted 1ro'ects ?ureau which shall review and evaluate foreign assisted ro'ects to determine the annual funding re5uirements of certain ro'ects identified !y im lementing agencies and su orted !y foreign funding" assist the Secretary in determining the !udgetary im lications of foreign assisted ro'ects from the time of ro'ect design to negotiations for financial assistance" ensure the concurrence of the Secretary of ?udget on all loan agreements" evaluate the wor3#financial lan of ro'ects chargea!le against the +oreign Assistance 1ro'ects 6+A1S7 su ort fund" and recommend and effect the releases from such fund !ased on the a roved wor3 financial lans as may !e directed !y the Secretary. Secti ! 11. National %ccountin! and (inance ,ffice. # *he (ational Accounting and +inance )ffice shall ta3e charge of the maintenance of the data !an3 of financial information and shall rovide the necessary data re5uired !y the 1resident, fiscal agencies and international financial institutions, analyAe and evaluate the accounts and overall financial erformance of the government, and su ervise the management of the accounts of government agencies and instrumentalities. ,t shall consist of the following ?ureaus2 617 (ational &overnment Account and +inance ?ureau" 687 :ocal &overnment Accounting and +inance ?ureau" and 697 &overnment Cor orate Accounting and +inance ?ureau. Secti ! 12. #e!ional ,ffices. # *he Regional )ffices shall im lement the olicies, rograms, standards and guidelines on !udget administration and management in the regions. Tit-e XVIII SCIENCE AND TECHNO$OGY CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State shall2 617 Su ort and encourage local scientific and technological efforts that address national and local ro!lems and ositively contri!ute to national develo ment" 687 1romote the develo ment of local ca a!ility in science and technology to achieve technological self#reliance in selected areas that are vital to national develo ment" 697 Su ort and encourage u!lic and rivate sector artnershi aimed at accelerating self# reliance in the selected areas" and 6;7 Encourage and su ort rivate sector initiatives in science and technology and rovide the necessary incentives and assistance to ena!le the rivate sector to ta3e increasing res onsi!ility and a greater role in the countryEs research and develo ment efforts.

Secti ! 2. andate. # *he >e artment shall rovide central direction, leadershi and coordination of scientific and technological efforts and ensure that the results therefrom are geared and utiliAed in areas of ma%imum economic and social !enefits for the eo le. *he >e artment shall formulate and im lement olicies, lans, rograms and ro'ects for the develo ment of science and technology and for the romotion of scientific and technological activities for !oth the u!lic and rivate sectors and ensure that the results of scientific and technological activities are ro erly a lied and utiliAed to accelerate economic and social develo ment. *he >e artment shall continually review the state and needs of science and technology in the conte%t of the countryEs develo mental goals. Secti ! %. Po-ers and (unctions. # *o accom lish its mandate, the >e artment shall2 617 +ormulate and ado t a com rehensive (ational Science and *echnology 1lan including s ecific goals, olicies, lans, rograms and ro'ects !ased on the recommendation of the ,nter#Council Review ?oard and, u on a roval !y the 1resident, monitor and coordinate its funding and im lementation !y all government agencies and instrumentalities" 687 1romote, assist and where a ro riate, underta3e scientific and technological research and develo ment in those areas which are determined to !e vital to the countryEs develo ment and offer o timum returns for the resources em loyed" 697 1romote the develo ment of indigenous technology and ada tation and innovation of suita!le im orted technology and in this regard, underta3e technology develo ment u to the commercial state, refera!ly in 'oint venture with the rivate sector or with u!lic agencies" 6;7 0nderta3e design and engineering wor3 to com lement its research and develo ment functions" 6<7 1romote, assist and where a ro riate underta3e the transfer of the results of scientific and technological research and develo ment, to their end#users" 6=7 1romote, assist and where a ro riate underta3e technological services needed !y agriculture, industry, trans ort and the general u!lic" 677 >evelo and maintain an information system and data#!an3 on science and technology for use !y !oth the u!lic and rivate sectors" 6$7 >evelo and im lement, together with other entities concerned, rograms for strengthening scientific and technological ca a!ilities in the relevant disci line through man ower training, and through infrastructure and institution !uilding and rationaliAation, in !oth the u!lic and rivate sectors" 697 1romote u!lic consciousness of science and technology" 61B7 0nderta3e olicy research, technology assessment studies, feasi!ility studies and technical studies" and 6117 1erform such other functions as may !e rovided !y law.

Secti ! &. Structural ,r!anization. # *he >e artment shall consist of the )ffice of the Secretary, 0ndersecretaries and Assistant Secretaries, the Services, ,nter#Council Review ?oard, Sectoral lanning Councils, ,nstitutes and Regional )ffices. *he Secretary shall have su ervision and control of the >e artment e%ce t the ,nter#Council Review ?oard and the Sectoral 1lanning Councils over which he shall only e%ercise administrative su ervision. CHAPTER 2 DEPARTMENT PROPER Secti ! '. ,ffice of the Secretary. # *he )ffice of the Secretary shall consist of the Secretary and his immediate staff. Secti ! (. )ndersecretaries. # *he Secretary shall !e assisted !y three 697 0ndersecretaries, one for research and develo ment, one for regional o erations and one for scientific and technical services. *he 0ndersecretaries shall have su ervision over the ,nstitutes under their res ective functional areas of res onsi!ility. Secti ! 7. %ssistant Secretaries. # *he Secretary shall also !e assisted !y three 697 Assistant Secretaries. CHAPTER % SERVICES Secti ! 8. Services. # *he Services of the >e artment shall consist of the following2 617 1lanning and Evaluation Service, which shall !e res onsi!le for roviding the >e artment with efficient and effective services relating to lanning, rograms and ro'ect monitoring and develo ment" 687 +inancial and Fanagement Service, which shall !e res onsi!le for roviding the >e artment with efficient and effective staff advice and assistance on !udgetary, financial, and management im rovement matters" 697 Administrative and :egal Service, which shall !e res onsi!le for roviding the >e artment with efficient and effective services relating to ersonnel, information, records, su lies, e5ui ment collections, dis!ursement, security and custodial wor3, and all legal matters. CHAPTER & "OARD. COUNCI$S AND INSTITUTES Secti ! 9. /nter&Council #evie- +oard. # *here shall !e an ,nter#Council Review ?oard, com osed of the Secretaries or their designated 0ndersecretaries who are mem!ers of the sectoral lanning councils under Sections 1B, 11, 18, 19, 1;, and 1<, and shall !e chaired !y the Secretary of Science and *echnology. *he main function of the ?oard shall !e to review the lans of the sectoral lanning councils and the (ational Science and *echnology 1lan and, in connection therewith, shall !e assisted !y the 1lanning and Evaluation Service.

Secti ! 1). Sectoral Plannin! Councils. # *here shall !e five 6<7 sectoral lanning councils as follows2 617 1hili ine Council for ,ndustry and Energy Research and >evelo ment, for industry and energy and mineral resources" 687 1hili ine Council for Health Research and >evelo ment for health"

697 1hili ine Council for Agriculture, +orestry and (atural Resources Research and >evelo ment, for agriculture and forestry resources" 6;7 1hili ine Council for A5uatic and Farine Research and >evelo ment, for a5uatic and marine resources" and 6<7 1hili ine Council for Advanced Science and *echnology Research and >evelo ment, for advanced science and technology. Each of the councils shall !e res onsi!le, in its res ective sector, for the formulation of strategies, olicies, lans, rograms and ro'ects for science and technology develo ment" for rogramming and allocation of government and e%ternal funds for research and develo ment" for monitoring of research and develo ment ro'ects" and for the generation of e%ternal funds. Each council shall have a secretariat which shall !e headed !y an E%ecutive >irector who shall !e a ointed !y the 1resident u on the recommendation of the Secretary. Secti ! 11. Philippine Council for /ndustry and Ener!y #esearch and Development. # *he 1hili ine Council for ,ndustry and Energy Research and >evelo ment shall !e under the administrative su ervision of the >e artment, and shall consist of the Secretary as Chairman and eight 6$7 mem!ers, as follows2 Secretary of *rade and ,ndustry, Secretary of *rans ortation and Communications, Secretary of 1u!lic Wor3s and Highways or their designated 0ndersecretaries, and E%ecutive >irector of the Council Secretariat, and four 6;7 re resentatives of the rivate sector in the field of industry and energy, who are chief e%ecutive officers of their res ective com anies in the field of industry or energy or are ac3nowledged leaders in their rofessions to !e a ointed !y the 1resident, in their ersonal ca acity, u on recommendation of the Secretary, each of whom shall !e for a term of two 687 years" 1rovided, however, that the tenure of the mem!ers first a ointed !y the 1resident shall !e as follows2 two 687 for one 617 year and two 687 for two 687 years, as fi%ed in their res ective a ointments. *he mem!ers shall serve and continue to hold office until their res ective successors shall have !een duly a ointed and 5ualified. A ointment to any vacancy in the Council shall !e !y the 1resident and shall only !e for the une% ired ortion of the term of the redecessor. Secti ! 12. Philippine Council for %!riculture and (orestry #esearch and Development. # *he 1hili ine Council for Agriculture and +orestry Research and >evelo ment shall !e under the administrative su ervision of the >e artment, and shall consist of the Secretary as Chairman and eight 6$7 mem!ers, as follows2 Secretary of Agriculture and +ood, Secretary of (atural Resources or their designated 0ndersecretaries, Chancellor of the 0niversity of the 1hili ines at :os ?aJos, Administrator of the (ational +ood Authority and E%ecutive >irector of the Council Secretariat and three 697 re resentatives of the rivate sector in the fields of agriculture or forestry, who are chief e%ecutive officers of their res ective com anies in the field of agriculture or forestry or are ac3nowledged leaders in their rofessions to !e a ointed !y the 1resident, in their ersonal ca acity, u on recommendation of the Secretary, each of whom shall !e for a term of two 687 years" 1rovided, however, that the tenure of the mem!ers first a ointed !y the 1resident shall !e as follows2 one 617 for one 617 year and two 687 for two 687 years, as fi%ed in their res ective

a ointments. *he mem!ers shall serve and continue to hold office until their successors shall have !een duly a ointed and 5ualified. A ointment to any vacancy in the Council shall !e !y the 1resident and shall only !e for the une% ired ortion of the term of the redecessor. Secti ! 1%. Philippine Council for 1ealth #esearch and Development. # *he 1hili ine Council for Health Research and >evelo ment shall !e under the administrative su ervision of the >e artment, and shall consist of the Secretary as Chairman and eight 6$7 mem!ers, as follows2 Secretary of Health or his designated 0ndersecretary, Chancellor of the 0niversity of the 1hili ines of Fanila, E%ecutive >irector of the (ational (utrition Council, E%ecutive >irector of the Council Secretariat, and four 6;7 re resentatives of the rivate sector in the field of health, who are chief e%ecutive officers of their res ective com anies in the field of health or are ac3nowledged leaders in their rofessions to !e a ointed !y the 1resident, in their ersonal ca acity, u on recommendation of the Secretary, each of whom shall !e for a term of two 687 years" however, that the tenure of the mem!ers first a ointed !y the 1resident shall !e as follows2 two 687 for one 617 year and two 687 for two 687 years, as fi%ed in their res ective a ointments. *he mem!ers shall serve and continue to hold office until their successors shall have !een duly a ointed and 5ualified. A ointment to any vacancy in the Council shall !e !y the 1resident and shall only !e for the une% ired ortion of the term of the redecessor. Secti ! 1&. Philippine Council for %$uatic and arine #esearch and Development. # *he 1hili ine Council for A5uatic and Farine Research and >evelo ment shall !e under the administrative su ervision of the >e artment, and shall consist of the Secretary as Chairman, and eight 6$7 mem!ers as follows2 Secretary of Agriculture and +ood, Secretary of (atural Resources or their designated 0ndersecretaries, E%ecutive >irector of the Council Secretariat, two 687 re resentatives from the academicHresearch institution and three 697 re resentatives from the rivate sector who are chief e%ecutive officers of their res ective com anies in the field of a5uaculture or marine research or develo ment or are ac3nowledged leaders of their rofessions to !e a ointed !y the 1resident, in their ersonal ca acity, u on recommendation of the Secretary, each of whom shall !e for a term of two 687 years" 1rovided, however, that the terms of the mem!ers first a ointed !y the 1resident shall !e as follows2 two 687 for one 617 year and the other three 697 for two 687 years, as fi%ed in their res ective a ointments. *he mem!ers shall serve and continue to hold office until their successors shall have !een duly a ointed and 5ualified. A ointment to any vacancy in the Council shall !e !y the 1resident and shall only !e for the une% ired ortion of the term of the redecessor. Secti ! 1'. Philippine Council for %dvanced Science and Technolo!y #esearch and Development. # *he 1hili ine Council for Advanced Science and *echnology Research and >evelo ment shall !e under the Administrative su ervision of the >e artment and shall consist of the Secretary as Chairman and eight 6$7 mem!ers, as follows2 Secretary of Education, Culture and S orts or his designated 0ndersecretary, 1resident of the 0niversity of the 1hili ines System, two 687 re resentatives from the government sector, and four 6;7 re resentatives from the rivate sector in the field of advanced science research, all of whom shall !e a ointed !y the 1resident, in their ersonal ca acity, u on recommendation of the Secretary, each of whom shall serve for a term of two 687 years. Secti ! 1(. /nstitutes. # *he ,nstitutes of the >e artment are the following, which shall !e line in character2 ,ndustrial *echnology >evelo ment ,nstitute" 1hili ine (uclear Research ,nstitute" +ood and (utrition Research ,nstitute" +orest 1roducts Research and >evelo ment ,nstitute" 1hili ine *e%tile Research ,nstitute" Advanced Science and *echnology ,nstitute" Science Education ,nstitute" Science and *echnology ,nformation ,nstitute" and *echnology A lication 1romotion ,nstitute" 1hili ine Atmos heric, &eo hysical and Astronomical Services Administration, and 1hili ine ,nstitute of @olcanology and Seismology. Each ,nstitute shall !e headed !y a >irector, who shall !e

a ointed !y the 1resident u on the recommendation of the Secretary and shall !e assisted !y one or more >e uty >irectors as may !e necessary. Secti ! 17. /ndustrial Technolo!y Development /nstitute. # *he ,ndustrial *echnology >evelo ment ,nstitute shall have the following functions2 617 0nderta3e a lied research and develo ment to develo technologies and technological innovations in the field of industrial manufacturing, mineral rocessing and energy" 687 0nderta3e the transfer of research results directly to end#users or refera!ly via lin3age units of other government agencies" 697 0nderta3e technical services, such as !ut not limited to, standards, analytical and cali!ration services mandated !y law or as needed !y industry" and 6;7 Conduct training and rovide technical advisory and consultancy services to industry clientele and end#users. Secti ! 18. Philippine Nuclear #esearch /nstitute. # *he 1hili have the following functions2 ine (uclear Research ,nstitute shall

617 Conduct research and develo ment on the a lication of radiation and nuclear materials, rocesses and techni5ues in agriculture, food, health, nutrition and medicine and in industrial or commercial enter rises" 687 0nderta3e the transfer of research reactors and other radiation facilities" and 697 :icense and regulate activities relative to roduction, transfer, and utiliAation of nuclear and radioactive su!stances. Secti ! 19. (ood Nutrition #esearch /nstitute. # *he +ood (utrition Research ,nstitute shall have the following functions2 617 0nderta3e research that defines the citiAenryEs nutritional status, with reference articularly to the malnutrition ro!lem, its causes and effects, and identify alternative solutions to them" 687 >evelo and recommend olicy o tions, strategies, rograms and ro'ects, which address the malnutrition ro!lem for im lementation !y the a ro riate agencies" and 697 >isseminate research findings and recommendations to the relevant end#users. Secti ! 2). (orest Products #esearch and Development /nstitute. # *he +orest 1roducts Research and >evelo ment ,nstitute shall have the following functions2 617 Conduct a lied research and develo ment in secondary and tertiary rocessing for the forest#!ased industry to generate information and technology which can im rove the utility value of wood and other forest roducts" 687 0nderta3e the transfer or com leted researches directly to the end#users or via lin3age units of other government agencies"

697 0nderta3e technical services and rovide training rograms. Secti ! 21. Philippine Te2tile #esearch /nstitute. # *he 1hili have the following functions2 617 Conduct a ine *e%tile Research ,nstitute shall

lied research and develo ment for the te%tile industry sector"

687 0nderta3e the transfer of com leted researches to end#users or via lin3age units for other government agencies" and 697 0nderta3e technical services and rovide training rograms. Secti ! 22. %dvanced Science and Technolo!y /nstitute. # *he Advanced Science and *echnology ,nstitute shall have the following functions2 617 0nderta3e long#term researches to strengthen and moderniAe science and technology infrastructure" 687 Conduct research and develo ment wor3 in the advanced fields of studies including !iotechnology and microelectronics" and 697 Com lement the overall endeavor in the scientific field with intensive activities in the com uter and information technologies. Secti ! 2%. Science Education /nstitute. # *he Science Education ,nstitute shall have the following functions2 617 0nderta3e science education and training" 687 Administer scholarshi s, awards and grants" 697 0nderta3e science and technology man ower develo ment" and 6;7 +ormulate lans and esta!lish rograms and ro'ects for the romotion and develo ment of science and technology education and training in coordination with the >e artment of Education, Culture and S orts, and other institutions of learning in the field of science and technology. Secti ! 2&. Science and Technolo!y /nformation /nstitute. # *he Science and *echnology ,nformation ,nstitute shall have the following functions2 617 Esta!lish a science and technology data!an3 and li!rary" 687 >isseminate science and technology information" and 697 0nderta3e training on science and technology information. Secti ! 2'. Technolo!y %pplication and Promotion /nstitute . # *he *echnology A lication and 1romotion ,nstitute 6*A1,7 whose rimary res onsi!ility is to serve as the im lementing arm of the

>e artment in romoting the commercialiAation of technologies and in mar3eting the services of the other o erating units in the >e artment shall have the following functions2 617 0nderta3e contract research, articularly at the ilot lant and semi#commercial stage" 687 1rovide technical consultancy including engineering design services, atenting and licensing services" and 697 1rovide grants andHor venture#financing for new andHor emerging ro'ects. Secti ! 2(. Philippine %tmospheric* Geophysical and %stronomical Services %dministration. # *he 1hili ine Atmos heric, &eo hysical and Astronomical Services Administration shall have the following functions2 617 Faintain a nationwide networ3 ertaining to o!servation and forecasting of weather and other climatological conditions affecting national safety, welfare and economy" 687 0nderta3e activities relative to o!servation, collection, assessment and rocessing of atmos heric and allied data for the !enefit of agriculture, commerce and industry" 697 Engage in studies of geo hysical and astronomical henomena essential to the safety and welfare of the eo le" 6;7 0nderta3e researches on the structure, develo ment and motion of ty hoons and formulate measures for their moderation" and 6<7 Faintain effective lin3ages with scientific organiAations here and a!road, and romote e%change of scientific information and coo eration among ersonnel engaged in atmos heric, geo hysical and astronomical studies. Secti ! 27. Philippine /nstitute of 3olcanolo!y and Seismolo!y. # *he 1hili @olcanology and Seismology shall have the following functions2 ine ,nstitute of

617 1redict the occurrence of volcanic eru tions and earth5ua3es and their geotectonic henomena" 687 >etermine how eru tions and earth5ua3es shall occur and the li3ely areas to !e affected" 697 E% loit the ositive as ects of volcanoes and volcanic terrain in furtherance of the socio# economic develo ment efforts of the government" 6;7 &enerate sufficient data for forecasting volcanic eru tions and earth5ua3es" 6<7 +ormulate a ro riate disaster# re aredness lans" and ro riate detection, forecast, and

6=7 Fitigate haAards of volcanic activities through a warning systems.

CHAPTER ' REGIONA$ OFFICES

Secti ! 28. #e!ional ,ffices. # *he >e artment is authoriAed to esta!lish, o erate and maintain a Regional )ffice, whenever a ro riate, in each of the administrative regions of the country, to !e headed !y a Regional >irector who shall re ort and !e su!'ect to the su ervision of, the 0ndersecretary for Regional ) erations. A Regional )ffice shall have, within its administrative region, the following functions2 617 ,m lement laws, rules, regulations, olicies, lans, rograms and ro'ects of the >e artment" 687 1rovide efficient and effective service to the eo le" 697 Coordinate with regional offices of other de artments, offices and agencies in the administrative region" 6;7 Coordinate with local government units" and 6<7 1erform such other functions as may !e rovided !y law. Secti ! 29. Department ,ffices in ,ther Countries. # *he >e artment may also have such offices and re resentatives in other countries in laces where its resence is considered necessary, su!'ect to the a roval of the 1resident for each of them. CHAPTER ( ATTACHED AGENCIES Secti ! %). %ttached %!encies. # *he following agencies shall !e attached to the >e artment2 the 1hili ine (ational Science Society, the (ational Academy of Science and *echnology, the 1hili ine Science High School, and the Fetals ,ndustry Research and >evelo ment Center. Secti ! %1. The Philippine National Science Society. # *he 1hili ine (ational Science Society shall !e a cor orate !ody com osed of rominent scientists and technical men and shall have the following functions2 617 *o stimulate research in the mathematical, hysical, !iological and other !asic sciences and in the a lication of these sciences to engineering, agriculture, medicine, and other useful arts, with the o!'ect of increasing 3nowledge and of contri!uting in other ways to the u!lic welfare" 687 *o give encouragement to individual initiative in research as fundamentally im ortant to the advancement of science" and 697 *o gather and collate scientific and technical information at home and a!road, in coo eration with governmental and other agencies and to render such information availa!le to duly accredited ersons. Secti ! %2. Po-ers of the Philippine National Science Society. # *he 1hili Society shall have the ower to2 ine (ational Science

617 Fa3e its own organiAation, including its Constitution, !y#laws and rules and regulations" 687 +ill all vacancies created !y death, resignation or otherwise"

697 1rovide for the election of mem!ers, division into classes, and for all other matters needful or usual in such institution" 6;7 Receive !e5uests and donations and hold the same in trust, to !e a scientific investigations according to the will of the donors" lied in aid of

6<7 ?e e%em t from the ayment of all internal#revenue ta%es, fees, assessments and other charges of the &overnment in carrying out its aims, functions, and owers" 6=7 Su!mit an annual re ort to the Congress and to the 1resident of the 1hili ines an accurate account of its wor3 and activities during the corres onding fiscal year" and 677 1erform such owers as may !e rovided !y law or necessary to carry out its ur oses and functions. Secti ! %%. The National %cademy of Science and Technolo!y. # *he (ational Academy of Science and *echnology shall !e com osed of outstanding scientists to serve as reservoir of com etent and technological man ower for the country. *he total mem!ershi of the Academy shall not e%ceed fifty 6<B7 at any one time" however, this num!er may !e increased !y a two#thirds vote of all the mem!ers and a roval thereof !y the 1resident. *he Academy shall have its own SecretariatHAdministrative staff and shall have the following functions" and owers2 617 1rovide its mem!ers the following !enefits and rivileges2 6a7 free u!lications of scientific and technological wor3s2 6!7 travel su ort for attendance and artici ation in international conference" and

6c7 such other incentives, financial or otherwise designed to romote a scientific and technological effort and achievement. 687 Recommend annually for 1residential awards not more than ten 61B7 scientists for distinguished individual or colla!orative achievement in science or technology who shall !e accorded !y the 1resident the ran3 and title of 4(ational Scientists.4 Said 4(ational Scientists4 shall each !e given gratuity in such amount to !e fi%ed !y the Academy and entitled to other rivileges as en'oyed !y the (ational Artists. 697 Engage in other ro'ects and rograms designed to recogniAe outstanding achievements in science to romote scientific roductivity. Secti ! %&. The Philippine Science 1i!h School. # *he 1hili ine Science High School shall offer on a free scholarshi !asis a secondary course with s ecial em hasis on su!'ect ertaining to the sciences with the end view of re aring its students for a science career. *he e%ercise of its cor orate owers is vested e%clusively in the ?oard of *rustees and in the >irector of the High School insofar as authoriAed !y said ?oard. *he ?oard of *rustees shall !e com osed of the Secretary of Science and *echnology, who shall !e e% officio Chairman of the ?oard, the Secretary of Education, who shall !e e% officio @ice#Chairman, and the following mem!ers2 the 1resident of the 0niversity of the 1hili ines, the Chairman of the 0(ESC) (ational Commission of the 1hili ines, the >irector of the 1hili ine Science High School, all e% officio mem!ers, a re resentative from the

American#1hili ine Science +oundation, ,nc., to !e designated !y the 1resident, one re resentative from the 1hili ine (ational Science Society, one re resentative from the (ational Academy of Science and *echnology, one mem!er re resenting industry, and one mem!er re resenting agriculture. *he mem!ers of the ?oard re resenting the 1hili ine (ational Science Society, the (ational Academy of Science and *echnology, ,ndustry and Agriculture shall !e a ointed !y the 1resident of the 1hili ines u on the recommendation of the Secretary of Science and *echnology. Secti ! %'. The etal /ndustry and #esearch Development Center. # *he Fetals ,ndustry and Research >evelo ment Center shall !e non rofit research and technological institution which shall rovide !oth the government and the rivate sector with rofessional management and technical e% ertise on such vital activities for the develo ment of the industry as training of engineers and technicians, information e%change, trade accreditation service, 5uality control and testing of metal roducts, research and !usiness economic advisory services. *he Administration of the Center and the e%ercise of its cor orate owers are vested e%clusively in the ?oard of *rustees which shall !e com osed of the Secretary of Science and *echnology, who shall !e e% officio Chairman, the Secretary of *rade and ,ndustry, who shall !e e% officio Co# Chairman, and the following mem!ers2 the E%ecutive >irector of the 1hili ine Council for ,ndustry and Energy Research and >evelo ment, a re resentative each from the >e artment of (atural Resources, the (ational Economic and >evelo ment Authority, the Fetal ,ndustry Research and >evelo ment Center and three re resentatives from the metals, engineering and allied industries su!#sector to !e a ointed !y the Secretary of Science and *echnology. *he Center shall have the owers and functions assigned to it !y law. Tit-e I CONSTITUTIONA$ COMMISSIONS S34tit-e A CIVI$ SERVICE COMMISSION CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State shall insure and romote the Constitutional mandate that a ointments in the Civil Service shall !e made only according to merit and fitness" that the Civil Service Commission, as the central ersonnel agency of the &overnment shall esta!lish a career service, ado t measures to romote morale, efficiency, integrity, res onsiveness, and courtesy in the civil service, strengthen the merit and rewards system, integrate all human resources develo ment rograms for all levels and ran3s, and institutionaliAe a management climate conducive to u!lic accounta!ility" that u!lic office is a u!lic trust and u!lic officers and em loyees must at all times !e accounta!le to the eo le" and that ersonnel functions shall !e decentraliAed, delegating the corres onding authority to the de artments, offices and agencies where such functions can !e effectively erformed.

Secti ! 2. Duties and #esponsibilities of Public ,fficers and Employees. # 1u!lic )fficers and em loyees shall have the duties, res onsi!ilities, and accounta!ility rovided in Cha ter 9, ?oo3 , of this Code. Secti ! %. Terms and Conditions of Employment. # *he terms and conditions of em loyment of all government em loyees, including those in government#owned or controlled cor orations with original charters, shall !e fi%ed !y law. *he terms and conditions of em loyment which are not fi%ed !y law may !e the su!'ect of negotiation !etween duly recogniAed em loyeesE organiAations and a ro riate government authorities. Secti ! &. Compensation. # *he Congress shall rovide for the standardiAation of com ensation of government officials and em loyees including those in government#owned or controlled cor orations with original charters, ta3ing into account the nature of the res onsi!ilities ertaining to, and the 5ualifications re5uired for the osition concerned. Secti ! '. Definitions of Terms. # As used in this title, the following shall !e construed thus2 617 Agency means any !ureau, office, commission, administration, !oard, committee, institute, cor oration with original charter, whether erforming governmental or ro rietary function, or any other unit of the (ational &overnment, as well as rovincial, city or munici al government, e%ce t as hereinafter otherwise rovided. 687 A ointing officer is the erson or !ody authoriAed !y law to ma3e a 1hili ine Civil Service. ointments in the

697 Class includes all ositions in the government service that are sufficiently similar as to duties and res onsi!ilities and re5uire similar 5ualifications that can !e given the same title and salary and for all administrative and com ensation ur oses, !e treated ali3e. 6;7 Commission refers to the Civil Service Commission. 6<7 Chairman refers to the Chairman of the Commission. 6=7 Commissioner refers to either of the two other mem!ers of the Commission. 677 >e artment includes any of the e%ecutive de artments or entities having the category of a de artment including the 'udiciary, Commission on Elections and Commission on Audit. 6$7 Eligi!le refers to a erson who o!tains a assing grade in a civil service e%amination or is granted a civil service eligi!ility and whose name is entered in the register of eligi!les. 697 E%amination refers to a civil service e%amination conducted !y the Commission and its regional offices or !y other de artments or agencies with the assistance of the Commission, or in coordination or 'ointly with it, and those that it may delegate to de artments and agencies ursuant to this *itle, or those that may have !een delegated !y law. 61B7 +orm refers to those rescri!ed !y the Civil Service Commission. CHAPTER 2 COVERAGE OF THE CIVI$ SERVICE

Secti ! (. Scope of the Civil Service. # 617 *he Civil Service em!races all !ranches, su!divisions, instrumentalities, and agencies of the &overnment, including government#owned or controlled cor orations with original charters. 687 1ositions in the Civil Service shall !e classified into career service and non#career service. Secti ! 7. Career Service. # *he Career Service shall !e characteriAed !y 617 entrance !ased on merit and fitness to !e determined as far as ractica!le !y com etitive e%amination, or !ased on highly technical 5ualifications" 687 o ortunity for advancement to higher career ositions" and 697 security of tenure. *he Career Service shall include2 617 ) en Career ositions for a e%amination is re5uired" ointment to which rior 5ualification in an a ro riate

687 Closed Career ositions which are scientific, or highly technical in nature" these include the faculty and academic staff of state colleges and universities, and scientific and technical ositions in scientific or research institutions which shall esta!lish and maintain their own merit systems" 697 1ositions in the Career E%ecutive Service" namely, 0ndersecretary, Assistant Secretary, ?ureau >irector, Assistant ?ureau >irector, Regional >irector, Assistant Regional >irector, Chief of >e artment Service and other officers of e5uivalent ran3 as may !e identified !y the Career E%ecutive Service ?oard, all of whom are a ointed !y the 1resident" 6;7 Career officers, other than those in the Career E%ecutive Service, who are a ointed !y the 1resident, such as the +oreign Service )fficers in the >e artment of +oreign Affairs" 6<7 Commissioned officers and enlisted men of the Armed +orces which shall maintain a se arate merit system" 6=7 1ersonnel of government#owned or controlled cor orations, whether erforming governmental or ro rietary functions, who do not fall under the non#career service" and 677 1ermanent la!orers, whether s3illed, semi#s3illed, or uns3illed. Secti ! 8. Classes of Positions in the Career Service. # 617 Classes of ositions in the career service a ointment to which re5uires e%aminations shall !e grou ed into three ma'or levels as follows2 6a7 *he first level shall include clerical, trades, crafts, and custodial service ositions which involve non# rofessional or su! rofessional wor3 in a non#su ervisory or su ervisory ca acity re5uiring less than four years of collegiate studies" 6!7 *he second level shall include rofessional, technical, and scientific ositions which involve rofessional, technical, or scientific wor3 in a non#su ervisory or

su ervisory ca acity re5uiring at least four years of college wor3 u to >ivision Chief level" and 6c7 *he third level shall cover ositions in the Career E%ecutive Service. 687 E%ce t as herein otherwise rovided, entrance to the first two levels shall !e through com etitive e%aminations, which shall !e o en to those inside and outside the service who meet the minimum 5ualification re5uirements. Entrance to a higher level does not re5uire revious 5ualification in the lower level. Entrance to the third level shall !e rescri!ed !y the Career E%ecutive Service ?oard. 697 Within the same level, no civil service e%amination shall !e re5uired for romotion to a higher osition in one or more related occu ation grou s. A candidate for romotion should, however, have reviously assed the e%amination for that level. Secti ! 9. Non&Career Service. # *he (on#Career Service shall !e characteriAed !y 617 entrance on !ases other than those of the usual tests of merit and fitness utiliAed for the career service" and 687 tenure which is limited to a eriod s ecified !y law, or which is coterminous with that of the a ointing authority or su!'ect to his leasure, or which is limited to the duration of a articular ro'ect for which ur ose em loyment was made. *he (on#Career Service shall include2 617 Elective officials and their ersonal or confidential staff" 687 Secretaries and other officials of Ca!inet ran3 who hold their ositions at the leasure of the 1resident and their ersonal or confidential staff6s7" 697 Chairman and mem!ers of commissions and !oards with fi%ed terms of office and their ersonal or confidential staff" 6;7 Contractual ersonnel or those whose em loyment in the government is in accordance with a s ecial contract to underta3e a s ecific wor3 or 'o!, re5uiring s ecial or technical s3ills not availa!le in the em loying agency, to !e accom lished within a s ecific eriod, which in no case shall e%ceed one year, and erforms or accom lishes the s ecific wor3 or 'o!, under his own res onsi!ility with a minimum of direction and su ervision from the hiring agency" and 6<7 Emergency and seasonal ersonnel. CHAPTER % ORGANI+ATION AND FUNCTIONS OF THE CIVI$ SERVICE COMMISSION Secti ! 1). Composition. # *he Commission shall !e com osed of a Chairman and two Commissioners who shall !e natural !orn citiAens of the 1hili ines and, at the time of their a ointment, at least thirty#five years of age, with roven ca acity for u!lic administration, and must not have !een candidates for any elective osition in the elections immediately receding their a ointment. Secti ! 11. %ppointment of Chairman and Commissioners. # *he Chairman and the Commissioners shall !e a ointed !y the 1resident with the consent of the Commission on A ointments for a term

of seven years without rea ointment. )f the first a ointed, the Chairman shall hold office for seven years, a Commissioner for five years, and another Commissioner for three years, without rea ointment. A ointment to any vacancy shall !e only for the une% ired term of the redecessor. ,n no case shall any Fem!er !e a ointed or designated in a tem orary or acting ca acity. Secti ! 12. Po-ers and (unctions. # *he Commission shall have the following owers and functions2 617 Administer and enforce the constitutional and statutory rovisions on the merit system for all levels and ran3s in the Civil Service" 687 1rescri!e, amend and enforce rules and regulations for carrying into effect the rovisions of the Civil Service :aw and other ertinent laws" 697 1romulgate olicies, standards and guidelines for the Civil Service and ado t lans and rograms to romote economical, efficient and effective ersonnel administration in the government" 6;7 +ormulate olicies and regulations for the administration, maintenance and im lementation of osition classification and com ensation and set standards for the esta!lishment, allocation and reallocation of ay scales, classes and ositions" 6<7 Render o inion and rulings on all ersonnel and other Civil Service matters which shall !e !inding on all heads of de artments, offices and agencies and which may !e !rought to the Su reme Court on certiorari" 6=7 A oint and disci line its officials and em loyees in accordance with law and e%ercise control and su ervision over the activities of the Commission" 677 Control, su ervise and coordinate Civil Service e%aminations. Any entity or official in government may !e called u on !y the Commission to assist in the re aration and conduct of said e%aminations including security, use of !uildings and facilities as well as ersonnel and trans ortation of e%amination materials which shall !e e%em t from ins ection regulations" 6$7 1rescri!e all forms for Civil Service e%aminations, a ointments, re orts and such other forms as may !e re5uired !y law, rules and regulations2 697 >eclare ositions in the Civil Service as may ro erly !e rimarily confidential, highly technical or olicy determining" 61B7 +ormulate, administer and evaluate rograms relative to the develo ment and retention of 5ualified and com etent wor3 force in the u!lic service" 6117 Hear and decide administrative cases instituted !y or !rought !efore it directly or on a eal, including contested a ointments, and review decisions and actions of its offices and of the agencies attached to it. )fficials and em loyees who fail to com ly with such decisions, orders, or rulings shall !e lia!le for contem t of the Commission. ,ts decisions, orders, or rulings shall !e final and e%ecutory. Such decisions, orders, or rulings may !e !rought to the Su reme Court on certiorari !y the aggrieved arty within thirty 69B7 days from recei t of a co y thereof"

6187 ,ssue su! oena and su! oena duces tecum for the roduction of documents and records ertinent to investigation and in5uiries conducted !y it in accordance with its authority conferred !y the Constitution and ertinent laws" 6197 Advise the 1resident on all matters involving ersonnel management in the government service and su!mit to the 1resident an annual re ort on the ersonnel rograms" 61;7 *a3e a ro riate action on all a ointments and other ersonnel matters in the Civil Service including e%tension of Service !eyond retirement age" 61<7 ,ns ect and audit the ersonnel actions and rograms of the de artments, agencies, !ureaus, offices, local government units and other instrumentalities of the government including government#owned or controlled cor orations" conduct eriodic review of the decisions and actions of offices or officials to whom authority has !een delegated !y the Commission as well as the conduct of the officials and the em loyees in these offices and a ly a ro riate sanctions when necessary" 61=7 >elegate authority for the erformance of any function to de artments, agencies and offices where such functions may !e effectively erformed" 6177 Administer the retirement rogram for government officials and em loyees, and accredit government services and evaluate 5ualifications for retirement" 61$7 Gee and maintain ersonnel records of all officials and em loyees in the Civil Service" and 6197 1erform all functions ro erly !elonging to a central ersonnel agency and such other functions as may !e rovided !y law. Secti ! 1%. Duties and #esponsibilities of the Chairman. # Su!'ect to olicies and rules ado ted !y the Commission, the Chairman shall2 617 >irect all o erations of the Commission" 687 Esta!lish rocedures for the effective o erations of the Commission" 697 *ransmit to the 1resident rules and regulations, and other guidelines ado ted !y the Chairman which re5uire 1residential attention including annual and other eriodic re orts" 6;7 ,ssue a ointments to, and enforce decisions on administrative disci line involving officials and em loyees of the Commission" 6<7 >elegate authority for the erformance of any function to officials and em loyees of the Commission" 6=7 A rove and su!mit the annual and su lemental !udget of the Commission" and

677 1erform such other functions as may !e rovided !y law. Secti ! 1&. embership of the Chairman in +oards. # *he Chairman shall !e a mem!er of the ?oard of >irectors or of other governing !odies of government entities whose functions affect the

career develo ment, em loyment status, rights, rivileges, and welfare of government officials and em loyees, such as the &overnment Service ,nsurance System, +oreign Service ?oard, +oreign *rade Service ?oard, (ational ?oard for *eachers, and such other similar !oards as may !e created !y law. Secti ! 1'. Duties and #esponsibilities of the embers of the Commission. # Cointly with the Chairman, the two 687 Commissioners shall !e res onsi!le for the effective e%ercise of the rule# ma3ing and ad'udicative functions of the Commission. *hey shall li3ewise erform such functions as may !e delegated !y the Commission. ,n case of the a!sence of the Chairman owing to illness or other cause, the senior mem!er shall erform the functions of the Chairman. Secti ! 1(. ,ffices in the Commission. # *he Commission shall have the following offices2 617 *he )ffice of the E%ecutive >irector headed !y an E%ecutive >irector, with a >e uty E%ecutive >irector shall im lement olicies, standards, rules and regulations romulgated !y the Commission" coordinate the rograms of the offices of the Commission and render eriodic re orts on their o erations, and erform such other functions as may !e assigned !y the Commission. 687 *he Ferit System 1rotection ?oard com osed of a Chairman and two 687 mem!ers shall have the following functions2 6a7 Hear and decide on a eal administrative cases involving officials and em loyees of the Civil Service. ,ts decision shall !e final e%ce t those involving dismissal or se aration from the service which may !e a ealed to the Commission" 6!7 Hear and decide cases !rought !efore it on a eal !y officials and em loyees who feel aggrieved !y the determination of a ointing authorities involving ersonnel actions and violations of the merit system. *he decision of the ?oard shall !e final e%ce t those involving division chiefs or officials of higher ran3s which may !e a ealed to the Commission" 6c7 >irectly ta3e cogniAance of com laints affecting functions of the Commission, those which are unacted u on !y the agencies, and such other com laints which re5uire direct action of the ?oard in the interest of 'ustice" 6d7 Administer oaths, issue su! oena and su! oena duces tecum, ta3e testimony in any investigation or in5uiry, unish for contem t in accordance with the same rocedures and enalties rescri!ed in the Rules of Court" and 6e7 1romulgate rules and regulations to carry out the functions of the ?oard su!'ect to the a roval of the Commission. 697 *he )ffice of :egal Affairs shall rovide the Chairman with legal advice and assistance" render counselling services" underta3e legal studies and researches" re are o inions and rulings in the inter retation and a lication of the Civil Service law, rules and regulations" rosecute violations of such law, rules and regulations" and re resent the Commission !efore any Court or tri!unal. 6;7 *he )ffice of 1lanning and Fanagement shall formulate develo ment lans, rograms and ro'ects" underta3e research and studies on the different as ects of u!lic ersonnel

management" administer management im rovement rograms" and rovide fiscal and !udgetary services. 6<7 *he Central Administrative )ffice shall rovide the Commission with ersonnel, financial, logistics and other !asic su ort services. 6=7 *he )ffice of Central 1ersonnel Records shall formulate and im lement olicies, standards, rules and regulations ertaining to ersonnel records maintenance, security, control and dis osal" rovide storage and e%tension services" and rovide and maintain li!rary services. 677 *he )ffice of 1osition Classification and Com ensation shall formulate and im lement olicies, standards, rules and regulations relative to the administration of osition classification and com ensation. 6$7 *he )ffice of Recruitment, E%amination and 1lacement shall rovide leadershi and assistance in develo ing and im lementing the overall Commission rograms relating to recruitment, e%amination and lacement, and formulate olicies, standards, rules and regulations for the ro er im lementation of the CommissionEs e%amination and lacement rograms. 697 *he )ffice of Career Systems and Standards shall rovide leadershi and assistance in the formulation and evaluation of ersonnel systems and standards relative to erformance a raisal, merit romotion, and em loyee incentive !enefits and awards. 61B7 *he )ffice of Human Resource >evelo ment shall rovide leadershi and assistance in the develo ment and retention of 5ualified and efficient wor3 force in the Civil Service" formulate standards for training and staff develo ment" administer service#wide scholarshi rograms" develo training literature and materials" coordinate and integrate all training activities and evaluate training rograms. 6117 *he )ffice of 1ersonnel ,ns ection and Audit shall develo olicies, standards, rules and regulations for the effective conduct or ins ection and audit of ersonnel and ersonnel management rograms and the e%ercise of delegated authority" rovide technical and advisory services to civil Service Regional )ffices and government agencies in the im lementation of their ersonnel rograms and evaluation systems. 6187 *he )ffice of 1ersonnel Relations shall rovide leadershi and assistance in the develo ment and im lementation of olicies, standards, rules and regulations in the accreditation of em loyee associations or organiAations and in the ad'ustment and settlement of em loyee grievances and management of em loyee dis utes. 6197 *he )ffice of Cor orate Affairs shall formulate and im lement olicies, standards, rules and regulations governing cor orate officials and em loyees in the areas of recruitment, e%amination, lacement, career develo ment, merit and awards systems, osition classification and com ensation, erforming a raisal, em loyee welfare and !enefits, disci line and other as ects of ersonnel management on the !asis of com ara!le industry ractices.

61;7 *he )ffice of Retirement Administration shall !e res onsi!le for the enforcement of the constitutional and statutory rovisions, relative to retirement and the regulation for the effective im lementation of the retirement of government officials and em loyees. 61<7 *he Regional and +ield )ffices. # *he Commission shall have not less than thirteen 6197 Regional offices each to !e headed !y a >irector, and such field offices as may !e needed, each to !e headed !y an official with at least the ran3 of an Assistant >irector. Each Regional )ffice shall have the following functions2 6a7 Enforce Civil Service law and rules, olicies, standards on ersonnel management within their res ective 'urisdiction" 6!7 1rovide technical advice and assistance to government offices and agencies regarding ersonnel administration" and 6c7 1erform such other functions as may !e delegated !y the Commission. Secti ! 17. ,r!anizational Structure. # Each office of the Commission shall !e headed !y a >irector with at least one 617 Assistant >irector, and may have such divisions as are necessary to carry out their res ective functions. As an inde endent constitutional !ody, the Commission may effect changes in the organiAation as the need arises. CHAPTER & INTERDEPARTMENT RE$ATIONS Secti ! 18. Civil Service %ssistance to Department and %!encies. # Each Secretary or head of office, agency, government#owned or controlled cor oration with original charter and local government shall !e res onsi!le for ersonnel administration in his office which shall !e in accordance with the rovision relating to civil service em!odied in the Constitution, this *itle and the rules, rinci les, standards, guidelines and regulations esta!lished !y the Commission. *he Civil Service Commission shall, whenever it deems it in the interest of the u!lic service, organiAe in each de artment, office, agency, government#owned or controlled cor oration, and rovincial and city government a Civil Service Staff which shall !e headed !y an officer of the Commission. *he necessary staff ersonnel and office facilities and e5ui ment shall !e rovided !y the de artment, government#owned or controlled cor oration or local government where the staff is esta!lished !ut the Commission may augment these with its own. *he Staff shall serve as the rinci al liaison !etween the Civil Service and >e artment concerned and shall erform the following s ecific functions and those functions which may hereafter !e assigned to it !y the Commission. 617 1rovide technical assistance in all as ects of ersonnel management" 687 Fonitor and audit eriodically the ersonnel ractices and erformance of the >e artment or agency concerned as well as those of u!lic officers and em loyees thereat" 697 >etermine agency com liance with Civil Service :aw and rules" and 6;7 ,n the erformance of these functions, the staff shall welcome and receive from the u!lic any suggestions, o!servations and com laints ertaining to the conduct of u!lic officers and em loyees.

,n the erformance of their functions, the units so organiAed shall avail of the technical assistance and guidelines of the Civil Service Commission. Secti ! 19. Council of Personnel ,fficers. # *here shall !e a Council of 1ersonnel )fficers to !e com osed of Chief ersonnel officers of the different e%ecutive de artments and of agencies with the category of de artment that the Chairman of the Commission shall select for mem!ershi . E%ce t for its E%ecutive )fficer who shall !e designated !y the Chairman from among the a ro riate officials in the Civil Service Commission, the Council is authoriAed to elect such other officers from among its mem!ers and to fi% its own rules or rocedures concerning attendance at meetings, a roval of olicy declaration, and other !usiness matters. 1rovisions for necessary facilities and clerical assistance for the Council shall !e made in the annual !udget of the Commission. *he Council shall have the following functions2 617 )ffer advice, u on re5uest of the Secretary of a >e artment or the Commission, in develo ing constructive olicies, standards, rocedures, and rograms as well as on matters relating to the im rovement of ersonnel methods and to the solution of ersonnel ro!lems confronting the various de artments and agencies of the government" 687 1romote among the de artments and agencies, through study and discussion, uniform and consistent inter retation and a lication of ersonnel olicies" and 697 Serve as a clearing house of information and stimulate the use of methods of ersonnel management that will contri!ute most to good government. Secti ! 2). /nspection and %udit. # *he Commission, through its designated re resentatives, shall conduct a eriodic ins ection and audit of the ersonnel management rogram of each de artment, agency, rovince or city, in order to2 6a7 determine com liance with the Civil Service law, rules and standards" 6!7 review discharge of delegated authority" 6c7 ma3e an ade5uate evaluation of the rogress made and ro!lems encountered in the conduct of the merit system in the national and local governments" 6d7 give advice and rovide assistance in develo ing constructive olicies, standards and rocedures, and 6e7 stimulate im rovement in all areas of ersonnel management. 1eriodic ins ection and audit will include an a raisal of ersonnel management o erations and activities relative to2 6a7 formulation and issuance of ersonnel olicy" 6!7 recruitment and selection of em loyees" 6c7 ersonnel action and em loyment status" 6d7 career and em loyee develo ment" 6e7 erformance evaluation system" 6f7 em loyee suggestions and incentive award" 6g7 em loyee relations and services" 6h7 disci line" 6i7 ersonnel records and re orting" and 6'7 rograms evaluation. CHAPTER ' PERSONNE$ PO$ICIES AND STANDARDS Secti ! 21. #ecruitment and Selection of Employees. # 617 ) ortunity for government em loyment shall !e o en to all 5ualified citiAens and ositive efforts shall !e e%erted to attract the !est 5ualified to enter the service. Em loyees shall !e selected on the !asis of fitness to erform the duties and assume the res onsi!ilities of the ositions.

687 When a vacancy occurs in a osition in the first level of the Career Service as defined in Section =, the em loyees in the de artment who occu y the ne%t lower ositions in the occu ational grou under which the vacant osition is classified, and in other functionally related occu ational grou s and who are com etent, 5ualified and with the a ro riate civil service eligi!ility shall !e considered for romotion. 697 When a vacancy occurs in a osition in the second level of the Career Service as defined in Section $, the em loyees in the government service who occu y the ne%t lower ositions in the occu ational grou under which the vacant osition is classified and in other functionally related occu ational grou s and who are com etent, 5ualified and with the a ro riate civil service eligi!ility shall !e considered for romotion. 6;7 +or ur oses of this Section, each de artment or agency shall evolve its own screening rocess, which may include tests of fitness, in accordance with standards and guidelines set !y the Commission. 1romotion !oards shall !e formed to formulate criteria for evaluation, conduct tests or interviews, and ma3e systematic assessment of training e% erience. 6<7 ,f the vacancy is not filled !y romotion as rovided herein the same shall !e filled !y transfer of resent em loyees in the government service, !y reinstatement, !y re# em loyment of ersons se arated through reduction in force, or !y a ointment of ersons with the civil service eligi!ility a ro riate to the ositions. 6=7 A 5ualified ne%t#in#ran3 em loyee shall have the right to a eal initially to the Secretaries or heads of agencies or instrumentalities including government#owned or controlled cor orations with original charters, then to the Ferit System 1rotection ?oard, and finally to the Civil Service Commission an a ointment made in favor of another em loyee if the a ellant is not satisfied with the written s ecial reason or reason given !y the a ointing authority for such a ointment" 1rovided, however, that the decision of the Civil Service Commission may !e reviewed on certiorari only !y the Su reme Court within thirty 69B7 days from recei t of the decision of the aggrieved arty. +or ur oses of this Section, 45ualified ne%t#in#ran34 refers to an em loyee a ointed on a ermanent !asis to a osition reviously determined to !e ne%t#in#ran3 and who meets the re5uirements for a ointment thereto as reviously determined !y the a ointing authority and a roved !y the Commission. 677 /ualification in an a ro riate e%amination shall !e re5uired for a ointment to ositions in the first and second levels in the career service in accordance with the Civil Service rules, e%ce t as otherwise rovided in this *itle2 1rovided, *hat whenever there is a civil service eligi!le actually availa!le for a ointment, no erson who is not such an eligi!le shall !e a ointed even in a tem orary ca acity to any vacant osition in the career service in the government or in any government#owned or controlled cor oration with original charter, e%ce t when the immediate filling of the vacancy is urgently re5uired in the u!lic interest, or when the vacancy is not ermanent, in which cases tem orary a ointments of non#eligi!les may !e made in the a!sence of eligi!les actually and immediately availa!le. 6$7 *he a ro riate e%aminations herein referred to shall !e those given !y the Commission and the different agencies2 1rovided, however, *hat nothing herein shall affect those eligi!ilities ac5uired rior to the effectivity of this Civil Service :aw2 1rovided, further, *hat a erson with a civil service eligi!ility ac5uired !y successfully assing an e%amination shall !e 5ualified for a osition re5uiring a lower eligi!ility if he ossesses the other re5uirements for a ointments to such osition. Secti ! 22. 5ualification Standards. #

617 A 5ualification standard e% resses the minimum re5uirements for a class of ositions in terms of education, training and e% erience, civil service eligi!ility, hysical fitness, and other 5ualities re5uired for successful erformance. *he degree of 5ualifications of an officer or em loyee shall !e determined !y the a ointing authority on the !asis of the 5ualification standard for the articular osition. /ualification standards shall !e used as !asis for civil service e%aminations for ositions in the career service, as guides in a ointment and other ersonnel actions, in the ad'udication of rotested a ointments, in determining training needs, and as aid in the ins ection and audit of the agencies ersonnel wor3 rograms. ,t shall !e administered in such manner as to continually rovide incentives to officers and em loyees towards rofessional growth and foster the career system in the government service. 687 *he esta!lishment, administration and maintenance of 5ualification standards shall !e the res onsi!ility of the de artment or agency, with the assistance and a roval of the Civil Service Commission and in consultation with the Wage and 1osition Classification )ffice. Secti ! 2%. #elease of E2amination #esults. # *he results of any articular civil service e%amination held in a num!er of laces on the same date shall !e released simultaneously. Secti ! 2&. #e!ister of Eli!ibles. # *he names of the com etitors who ass an e%amination shall !e entered in a register of eligi!les arranged in the order of their general ratings and containing such information as the Commission may deem necessary. Secti ! 2'. Cultural Communities. # ,n line with the national olicy to facilitate the integration of the mem!ers of cultural communities and accelerate the develo ment of the areas occu ied !y them, the Commission shall give s ecial civil service e%aminations to 5ualify them for a ointment in the civil service. Secti ! 2(. Personnel %ctions. # All a ointments in the career service shall !e made only according to merit and fitness, to !e determined as far as ractica!le !y com etitive e%aminations. A non#eligi!le shall not !e a ointed to any osition in the civil service whenever there is a civil service eligi!le actually availa!le for and ready to acce t a ointment. As used in this *itle, any action denoting the movement or rogress of ersonnel in the civil service shall !e 3nown as ersonnel action. Such action shall include a ointment through certification, romotion, transfer, reinstatement, re#em loyment, detail, reassignment, demotion, and se aration. All ersonnel actions shall !e in accordance with such rules, standards, and regulations as may !e romulgated !y the Commission. 617 A ointment through certification. An a ointment through certification to a osition in the civil service, e%ce t as herein otherwise rovided, shall !e issued to a erson who has !een selected from a list of 5ualified ersons certified !y the Commission from an a ro riate register of eligi!les, and who meets all the other re5uirements of the osition. All such ersons must serve a ro!ationary eriod of si% months following their original a ointment and shall undergo a thorough character investigation in order to ac5uire ermanent civil service status. A ro!ationer may !e dro ed from the service for

unsatisfactory conduct or want of ca acity any time !efore the e% iration of the ro!ationary eriod2 1rovided, *hat such action is a eala!le to the Commission. 687 1romotion. A romotion is a movement from one osition to another with an increase in duties and res onsi!ilities as authoriAed !y law and usually accom anied !y an increase in ay. *he movement may !e from one de artment or agency to another, or from one organiAational unit to another in the same de artment or agency. 697 *ransfer. A transfer is a movement from one osition to another which is of e5uivalent ran3, level, or salary without !rea3 in service involving the issuance of an a ointment. ,t shall not !e considered disci linary when made in the interest of u!lic service, in which case, the em loyee concerned shall !e informed of the reasons therefor. ,f the em loyee !elieves that there is no 'ustification for the transfer, he may a eal his case to the Commission. *he transfer may !e from one de artment or agency to another or from one organiAational unit to another in the same de artment or agency2 1rovided, however, *hat any movement from the non#career service to the career service shall not !e considered a transfer. 6;7 Reinstatement. Any erson who has !een ermanently a ointed to a osition in the career service and who has, through no delin5uence or misconduct, !een se arated therefrom, may !e reinstated to a osition in the same level for which he is 5ualified. 6<7 Reem loyment. (ames of ersons who have !een a ointed ermanently to ositions in the career service and who have !een se arated as a result of reduction in force or reorganiAation, shall !e entered in a list from which selection for reem loyment shall !e made. 6=7 >etail. A detail is the movement of an em loyee from one agency to another without the issuance of an a ointment and shall !e allowed, only for a limited eriod in the case of em loyees occu ying rofessional, technical and scientific ositions. ,f the em loyee !elieves that there is no 'ustification for the detail, he may a eal his case to the Commission. 1ending a eal, the decision to detail the em loyee shall !e e%ecutory unless otherwise ordered !y the Commission. 677 Reassignment. An em loyee may !e reassigned from one organiAational unit to another in the same agency2 1rovided, *hat such reassignment shall not involve a reduction in ran3, status or salary. Secti ! 27. Employment Status. # A tem orary. ointment in the career service shall !e ermanent or

617 1ermanent status. A ermanent a ointment shall !e issued to a erson who meets all the re5uirements for the ositions to which he is !eing a ointed, including the a ro riate eligi!ility rescri!ed, in accordance with the rovisions of law, rules and standards romulgated in ursuance thereof. 687 *em orary a ointment. ,n the a!sence of a ro riate eligi!les and it !ecomes necessary in the u!lic interest to fill a vacancy, a tem orary a ointment shall !e issued to a erson who meets all the re5uirements for the osition to which he is !eing a ointed

e%ce t the a ro riate civil service eligi!ility2 1rovided, *hat such tem orary a ointment shall not e%ceed twelve months, !ut the a ointee may !e re laced sooner if a 5ualified civil service eligi!le !ecomes availa!le. Secti ! 28. Salary increase or %d8ustment. # Ad'ustments in salaries as a result of increase in ay levels or u grading of ositions which do not involve a change in 5ualification re5uirements shall not re5uire new a ointments e%ce t that co ies of the salary ad'ustment notices shall !e su!mitted to the Commission for record ur oses. Secti ! 29. #eduction in (orce. # Whenever it !ecomes necessary !ecause of lac3 of wor3 or funds or due to a change in the sco e or nature of an agencyEs rogram, or as a result of reorganiAation, to reduce the staff of any de artment or agency, those in the same grou or class of ositions in one or more agencies within the articular de artment or agency wherein the reduction is to !e effected, shall !e reasona!ly com ared in terms of relative fitness, efficiency and length of service, and those found to !e least 5ualified for the remaining ositions shall !e laid off. Secti ! %). Career and Personnel Development. # *he develo ment and retention of a com etent and efficient wor3 force in the u!lic service is a rimary concern of government. ,t shall !e the olicy of the government that a continuing rogram of career and ersonnel develo ment !e esta!lished for all government em loyees at all levels. An integrated national lan for career and ersonnel develo ment shall serve as the !asis for all career and ersonnel develo ment activities in the government. Secti ! %1. Career and Personnel Development Plans. # Each de artment or agency shall re are a career and ersonnel develo ment lan which shall !e integrated into a national lan !y the Commission. Such career and ersonnel develo ment lans which shall include rovisions on merit romotions, erformance evaluation, in#service training, including overseas and local scholarshi s and training grants, 'o! rotation, suggestions and incentive award systems, and such other rovisions for em loyeesE health, welfare, counseling, recreation and similar services. Secti ! %2. erit Promotion Plans. # Each de artment or agency shall esta!lish romotion lans which shall !e administered in accordance with the rovisions of the Civil Service law and the rules, regulations and standards to !e romulgated !y the Commission. Such lans shall include rovisions for a definite screening rocess, which may include tests of fitness, in accordance with standards and guidelines set !y the Commission. 1romotion ?oards may !e organiAed su!'ect to criteria drawn !y the Commission. Secti ! %%. Performance Evaluation System. # *here shall !e esta!lished a erformance evaluation system, which shall !e administered in accordance with rules, regulations and standards, romulgated !y the Commission for all officers and em loyees in the career service. Such erformance evaluation system shall !e administered in such manner as to continually foster the im rovement of individual em loyee efficiency and organiAational effectiveness. Each de artment or agency may, after consultation with the Commission, esta!lish and use one or more erformance evaluation lans a ro riate to the various grou s of ositions in the de artment or agency concerned. (o erformance evaluation shall !e given, or used as a !asis for ersonnel action, e%ce t under an a roved erformance evaluation lan2 1rovided, *hat each em loyee shall !e informed eriodically !y his su ervisor of his erformance evaluation. Secti ! %&. #esponsibility for Trainin!. # *he Commission shall !e res onsi!le for the coordination and integration of a continuing rogram of ersonnel develo ment for all government ersonnel in the first and second levels.

Central staff agencies and s ecialiAed institutes shall conduct continuing centraliAed training for staff s ecialists from the different agencies. However, in those cases where there is sufficient num!er of artici ants to warrant training at de artment or agency or local government levels, such central staff agencies and s ecialiAed institutes shall render the necessary assistance, and consultative services. *o avoid du lication of effort and overla res onsi!ilities are assigned2 ing of training functions, the following functional

617 1u!lic and rivate colleges and universities and similar institutions shall !e encouraged to organiAe and carry out continuing rograms of e%ecutive develo ment. 687 *he Commission, the Commission on Audit, the >e artment of ?udget and Fanagement, the &eneral Services Administration, and other central staff agencies shall conduct centraliAed training and assist in the training rogram of the >e artments or agencies along their res ective functional areas of s ecialiAation. 697 ,n coordination with the Commission, the >e artment of :ocal &overnment and Community >evelo ment shall underta3e local government training rograms. 6;7 ,n coordination with the Commission, each de artment or agency, rovince or city shall esta!lish, maintain and romote a systematic lan of action for ersonnel training at all levels in accordance with standards laid down !y the Commission. ,t shall maintain a ro riate training staffs and ma3e full use of availa!le training facilities. Whenever it deems it necessary, the Commission shall ta3e the initiative in underta3ing rograms for ersonnel develo ment. Secti ! %'. Employee Su!!estions and incentive %-ard System. # *here shall !e esta!lished a government#wide em loyee suggestions and incentive awards system which shall !e administered under such rules, regulations, and standards as may !e romulgated !y the Commission. ,n accordance with rules, regulations, and standards romulgated !y the Commission, the 1resident or the head of each de artment or agency is authoriAed to incur whatever necessary e% enses involved in the honorary recognition of su!ordinate officers and em loyees of the government who !y their suggestions, inventions, su erior accom lishment, and other ersonal efforts contri!ute to the efficiency, economy, or other im rovement of government o erations, or who erform such other e%traordinary acts or services in the u!lic interest in connection with, or in relation to, their official em loyment. Secti ! %(. Personnel #elations. # 617 ,t shall !e the concern of the Commission to rovide leadershi and assistance in develo ing em loyee relations rograms in the de artment or agencies. 687 Every Secretary or head of agency shall ta3e all ro er ste s toward the creation of an atmos here conducive to good su ervisor#em loyee relations and the im rovement of em loyee morale. Secti ! %7. Complaints and Grievances. # Em loyees shall have the right to resent their com laints or grievances to management and have them ad'udicated as e% editiously as ossi!le in the !est interest of the agency, the government as a whole, and the em loyee concerned. Such

com laint or grievances shall !e resolved at the lowest ossi!le level in the de artment or agency, as the case may !e, and the em loyee shall have the right to a eal such decision to higher authorities. Each de artment or agency shall romulgate rules and regulations governing e% editious, fair and e5uita!le ad'ustment of em loyeesE com laints or grievances in accordance with the olicies enunciated !y the Commission. ,n case any dis ute remains unresolved after e%hausting all the availa!le remedies under e%isting laws and rocedures, the arties may 'ointly refer the dis ute to the 1u!lic Sector :a!or Fanagement Council constituted under section ;=, for a ro riate action. CHAPTER ( RIGHT TO SE$F/ORGANI+ATION Secti ! %8. Covera!e. # 617 All government em loyees, including those in government#owned or controlled cor orations with original charters, can form, 'oin or assist em loyeesE organiAations of their own choosing for the furtherance and rotection of their interests. *hey can also form, in con'unction with a ro riate government authorities, la!or#management committees, wor3 councils and other forms of wor3ersE artici ation schemes to achieve the same o!'ectives. 687 *he rovisions of this Cha ter shall not a ly to the mem!ers of the Armed +orces of the 1hili ines, including olice officers, olicemen, firemen and 'ail guards. Secti ! %9. /neli!ibility of 1i!h&"evel Employees to 4oin #an.&and&(ile Employees' ,r!anization. # High#level em loyees whose functions are normally considered as olicy#ma3ing or managerial or whose duties are of a highly confidential nature shall not !e eligi!le to 'oin the organiAation of ran3# and#file government em loyees. Secti ! &). Protection of the #i!ht to ,r!anize. # 617 &overnment em loyees shall not !e discriminated against in res ect of their em loyment !y reason of their mem!ershi in em loyeesE organiAations or artici ation in the normal activities of their organiAations. *heir em loyment shall not !e su!'ect to the condition that they shall not 'oin or shall relin5uish their mem!ershi in the em loyeesE organiAations. 687 &overnment authorities shall not interfere in the esta!lishment, functioning or administration of government em loyeesE organiAations through acts designed to lace such organiAations under the control of government authority.
la-phi0.net

Secti ! &1. #e!istration of Employees' ,r!anization. # &overnment em loyeesE organiAations shall register with the Civil Service Commission and the >e artment of :a!or and Em loyment. *he a lication shall !e filed with the ?ureau of :a!or Relations of the >e artment which shall rocess the same in accordance with the rovisions of the :a!or Code of the 1hili ines. A lications may also !e filed with the Regional )ffices of the >e artment of :a!or and Em loyment which shall immediately transmit the said a lications to the ?ureau of :a!or Relations within three 697 days from recei t thereof.

Secti ! &2. Certificate of #e!istration. # 0 on arrival of the a lication, a registration certificate shall !e issued to the organiAation recogniAing it as a legitimate em loyeesE organiAation with the right to re resent its mem!ers and underta3e activities to further and defend its interests. *he corres onding certificates of registration shall !e 'ointly a roved !y the Chairman of the Civil Service Commission and the Secretary of :a!or and Em loyment. Secti ! &%. %ppropriate ,r!anizational )nit. # *he a ro riate organiAational unit shall !e the em loyerEs unit consisting of ran3#and#file em loyees unless circumstances otherwise re5uire. Secti ! &&. Sole and E2clusive Employees' #epresentatives. # 617 *he duly registered em loyeesE organiAation having the su ort of the ma'ority of the em loyees in the a ro riate organiAational unit shall !e designated as the sole and e%clusive re resentative of the em loyees. 687 A duly registered em loyeesE organiAation shall !e accorded voluntary recognition u on a showing that no other em loyeesE organiAation is registered or is see3ing registration, !ased on the records of the ?ureau of :a!or Relations, and that the said organiAation has the ma'ority su ort of the ran3#and#file em loyees in the organiAational unit. 697 Where there are two or more duly registered em loyeesE organiAations in the a ro riate organiAational unit, the ?ureau of :a!or Relations shall, u on etition, order the conduct of a certification election and shall certify the winner as the e%clusive re resentative of the ran3# and#file em loyees in said organiAational unit. Secti ! &'. The Public Sector "abor& ana!ement Council. # A 1u!lic Sector :a!or#Fanagement Council is here!y constituted to !e com osed of the following2 *he Chairman of the Civil Service Commission, as Chairman" the Secretary of :a!or and Em loyment, as @ice#Chairman" and the Secretary of +inance, the Secretary of Custice and the Secretary of ?udget and Fanagement, as mem!ers. *he Council shall im lement and administer the rovisions of this Cha ter. +or this ur ose, the Council shall romulgate the necessary rules and regulations to im lement this Cha ter. Secti ! &(. Discipline@ General Provisions. # 6a7 (o officer or em loyee in the Civil Service shall !e sus ended or dismissed e%ce t for cause as rovided !y law and after due rocess. 6!7 *he following shall !e grounds for disci linary action2 617 >ishonesty" 687 ) ression"

697 (eglect of duty" 6;7 Fisconduct" 6<7 >isgraceful and immoral conduct"

6=7 ?eing notoriously undesira!le" 677 >iscourtesy in the course of official duties" 6$7 ,nefficiency and incom etence in the erformance of official duties" 697 Receiving for ersonal use of a fee, gift or other valua!le thing in the course of official duties or in connection therewith when such fee, gift, or other valua!le thing is given !y any erson in the ho e or e% ectation of receiving favor or !etter treatment than that accorded other ersons, or committing acts unisha!le under the anti#graft laws" 61B7 Conviction of a crime involving moral tur itude" 6117 ,m ro er or unauthoriAed solicitation of contri!utions from su!ordinate em loyees and !y teachers or school officials from school children" 6187 @iolation of e%isting Civil Service :aw and rules or reasona!le office regulations" 6197 +alsification of official document" 61;7 +re5uent unauthoriAed a!sences or tardiness in re orting for duty, loafing or fre5uently unauthoriAed a!sence from duty during regular office hours" 61<7 Ha!itual drun3enness" 61=7 &am!ling rohi!ited !y law" 6177 Refusal to erform official duty or render overtime service" 61$7 >isgraceful, immoral or dishonest conduct rior to entering the service" 6197 1hysical or mental inca acity or disa!ility due to immoral or vicious ha!its" 68B7 ?orrowing money !y su erior officers from su!ordinates or lending !y su!ordinates to su erior officers" 6817 :ending money at usurious rates or interest" 6887 Willful failure to ay 'ust de!ts or willful failure to ay ta%es due to the government" 6897 Contracting loans of money or other ro erty from ersons with whom the office of the em loyee concerned has !usiness relations" 68;7 1ursuit of rivate !usiness, vocation or rofession without the ermission re5uired !y Civil Service rules and regulations" 68<7 ,nsu!ordination"

68=7 Engaging directly or indirectly in artisan olitical activities !y one holding a non# olitical office" 6877 Conduct re'udicial to the !est interest of the service" 68$7 :o!!ying for ersonal interest or gain in legislative halls and offices without authority" 6897 1romoting the sale of tic3ets in !ehalf of rivate enter rises that are not intended for charita!le or u!lic welfare ur oses and even in the latter cases if there is no rior authority" 69B7 (e otism as defined in Section =B of this *itle. 6c7 E%ce t when initiated !y the disci lining authority, no com laint against a civil service official or em loyee shall !e given due course unless the same is in writing and su!scri!ed and sworn to !y the com lainant. 6d7 ,n meeting out unishment, the same enalties shall !e im osed for similar offenses and only one enalty shall !e im osed in each case. *he disci lining authority may im ose the enalty of removal from the service, demotion in ran3, sus ension for not more than one year without ay, fine in an amount not e%ceeding si% monthsE salary, or re rimand. Secti ! &7. Disciplinary 4urisdiction. # 617 *he Commission shall decide u on a eal all administrative disci linary cases involving the im osition of a enalty of sus ension for more than thirty days, or fine in an amount e%ceeding thirty daysE salary, demotion in ran3 or salary or transfer, removal or dismissal from office. A com laint may !e filed directly with the Commission !y a rivate citiAen against a government official or em loyee in which case it may hear and decide the case or it may de utiAe any de artment or agency or official or grou of officials to conduct the investigation. *he results of the investigation shall !e su!mitted to the Commission with recommendation as to the enalty to !e im osed or other action to !e ta3en. 687 *he Secretaries and heads of agencies and instrumentalities, rovinces, cities and munici alities shall have 'urisdiction to investigate and decide matters involving disci linary action against officers and em loyees under their 'urisdiction. *heir decisions shall !e final in case the enalty im osed is sus ension for not more than thirty days or fine in an amount not e%ceeding thirty daysE, salary. ,n case the decision rendered !y a !ureau or office head is a eala!le to the Commission, the same may !e initially a ealed to the de artment and finally to the Commission and ending a eal, the same shall !e e%ecutory e%ce t when the enalty is removal, in which case the same shall !e e%ecutory only after confirmation !y the Secretary concerned. 697 An investigation may !e entrusted to regional director or similar officials who shall ma3e the necessary re ort and recommendation to the chief of !ureau or office or de artment within the eriod s ecified in 1aragra h 6;7 of the following Section. 6;7 An a eal shall not sto the decision from !eing e%ecutory, and in case the enalty is sus ension or removal, the res ondent shall !e considered as having !een under reventive sus ension during the endency of the a eal in the event he wins an a eal.

Secti ! &8. Procedure in %dministrative Cases %!ainst Non&Presidential %ppointees. # 617 Administrative roceedings may !e commenced against a su!ordinate officer or em loyee !y the Secretary or head of office of e5uivalent ran3, or head of local government, or chiefs of agencies, or regional directors, or u on sworn, written com laint of any other erson. 687 ,n the case of a com laint filed !y any other ersons, the com lainant shall su!mit sworn statements covering his testimony and those of his witnesses together with his documentary evidence. ,f on the !asis of such a ers a rima facie case is found not to e%ist, the disci lining authority shall dismiss the case. ,f a rima facie case e%ists, he shall notify the res ondent in writing, of the charges against the latter, to which shall !e attached co ies of the com laint, sworn statements and other documents su!mitted, and the res ondent shall !e allowed not less than seventy#two hours after recei t of the com laint to answer the charges in writing under oath, together with su orting sworn statements and documents, in which he shall indicate whether or not he elects a formal investigation if his answer is not considered satisfactory. ,f the answer is found satisfactory, the disci lining authority shall dismiss the case. 697 Although a res ondent does not re5uest a formal investigation, one shall nevertheless !e conducted when from the allegations of the com laint and the answer of the res ondent, including the su orting documents, the merits of the case cannot !e decided 'udiciously without conducting such an investigation. 6;7 *he investigation shall !e held not earlier than five days nor later than ten days from the date of recei t of res ondentEs answer !y the disci lining authority, and shall !e finished within thirty days from the filing of the charges, unless the eriod is e%tended !y the Commission in meritorious cases. *he decision shall !e rendered !y the disci lining authority within thirty days from the termination of the investigation or su!mission of the re ort of the investigator, which re ort shall !e su!mitted within fifteen days from the conclusion of the investigation. 6<7 *he direct evidence for the com lainant and the res ondent shall consist of the sworn statement and documents su!mitted in su ort of the com laint or answer, as the case may !e, without re'udice to the resentation of additional evidence deemed necessary !ut was unavaila!le at the time of the filing of the com laint or answer, u on which the cross# e%amination, !y res ondent and the com lainant, res ectively, shall !e !ased. +ollowing cross#e%amination, there may !e redirect and recross#e%amination. 6=7 Either arty may avail himself of the services of counsel and may re5uire the attendance of witnesses and the roduction of documentary evidence in his favor through the com ulsory rocess of su! oena or su! oena duces tecum. 677 *he investigation shall !e conducted only for the ur ose of ascertaining the truth and without necessarily adhering to technical rules a lica!le in 'udicial roceedings. ,t shall !e conducted !y the disci lining authority concerned or his authoriAed re resentative. *he hrase 4any other arty4 shall !e understood to !e a com lainant other than those referred to in su!section 6a7 hereof. Secti ! &9. %ppeals. # K

617 A eals, where allowa!le, shall !e made !y the arty adversely affected !y the decision within fifteen days from recei t of the decision unless a etition for reconsideration is seasona!ly filed, which etition shall !e decided within fifteen days. (otice of the a eal shall !e filed with the disci lining office, which shall forward the records of the case, together with the notice of a eal, to the a ellate authority within fifteen days from filing of the notice of a eal, with its comment, if any. *he notice of a eal shall s ecifically state the date of the decision a ealed from and the date of recei t thereof. ,t shall also s ecifically set forth clearly the grounds relied u on for e%ce ting from the decision. 687 A etition for reconsideration shall !e !ased only on any of the following grounds2 6a7 new evidence has !een discovered which materially affects the decision rendered" 6!7 the decision is not su orted !y the evidence on record" or 6c7 error of law or irregularities have !een committed which are re'udicial to the interest of the res ondent2 1rovided, *hat only one etition for reconsideration shall !e entertained. Secti ! '). Summary Proceedin!s. # (o formal investigation is necessary and the res ondent may !e immediately removed or dismissed if any of the following circumstances is resent2 617 When the charge is serious and the evidence of guilt is strong" 687 When the res ondent is a recidivist or has !een re eatedly charged and there is reasona!le ground to !elieve that he is guilty of the resent charge" and 697 When the res ondent is notoriously undesira!le. Resort to summary roceedings !y the disci lining authority shall !e done with utmost o!'ectivity and im artiality to the end that no in'ustice is committed2 1rovided, *hat removal or dismissal e%ce t those !y the 1resident, himself or u on his order, may !e a ealed to the Commission. Secti ! '1. Preventive Suspension. # *he ro er disci lining authority may reventively sus end any su!ordinate officer or em loyee under his authority ending an investigation, if the charge against such officer or em loyee involves dishonesty, o ression or grave misconduct, or neglect in the erformance of duty, or if there are reasons to !elieve that the res ondent is guilty of charges which would warrant his removal from the service. Secti ! '2. "iftin! of Preventive Suspension Pendin! %dministrative /nvesti!ation. # When the administrative case against the officer or em loyee under reventive sus ension is not finally decided !y the disci lining authority within the eriod of ninety 69B7 days after the date of sus ension of the res ondent who is not a residential a ointee, the res ondent shall !e automatically reinstated in the service2 1rovided, *hat when the delay in the dis osition of the case is due to the fault, negligence or etition of the res ondent, the eriod of delay shall not !e counted in com uting the eriod of sus ension herein rovided. Secti ! '%. #emoval of %dministrative Penalties or Disabilities. # ,n meritorious cases and u on recommendation of the Commission, the 1resident may commute or remove administrative enalties or disa!ilities im osed u on officers or em loyees in disci linary cases, su!'ect to such terms and conditions as he may im ose in the interest of the service. CHAPTER 7 PROHI"ITIONS

Secti ! '&. "imitation on %ppointment. # 617 (o elective official shall !e eligi!le for a u!lic office or osition during his tenure. ointment or designation in any ca acity to any

687 (o candidate who has lost in any election shall, within one year after election, !e a ointed to any office in the &overnment or any government#owned or controlled cor orations or in any of its su!sidiaries. 697 0nless otherwise allowed !y law or !y the rimary functions of his osition, no a ointive official shall hold any other office or em loyment in the &overnment or any su!division, agency or instrumentality thereof, including government#owned or controlled cor orations or their su!sidiaries. Secti ! ''. Political %ctivity. # (o officer or em loyee in the Civil Service including mem!ers of the Armed +orces, shall engage directly or indirectly in any artisan olitical activity or ta3e art in any election e%ce t to vote nor shall he use his official authority or influence to coerce the olitical activity of any other erson or !ody. (othing herein rovided shall !e understood to revent any officer or em loyee from e% ressing his views on current olitical ro!lems or issues, or from mentioning the names of candidates for u!lic office whom he su orts2 1rovided, *hat u!lic officers and em loyees holding olitical offices may ta3e art in olitical and electoral activities !ut it shall !e unlawful for them to solicit contri!utions from their su!ordinates or su!'ect them to any of the acts involving su!ordinates rohi!ited in the Election Code. Secti ! '(. %dditional or Double Compensation. # (o elective or a ointive u!lic officer or em loyee shall receive additional or dou!le com ensation unless s ecifically authoriAed !y law nor acce t without the consent of the 1resident, any resent, emolument, office, or title of any 3ind from any foreign state. 1ensions and gratuities shall not !e considered as additional, dou!le, or indirect com ensation. Secti ! '7. "imitations on Employment of "aborers. # :a!orers, whether s3illed, semi#s3illed or uns3illed, shall not !e assigned to erform clerical duties. Secti ! '8. Prohibition on Detail or #eassi!nment. # (o detail or reassignment whatever shall !e made within three 697 months !efore any election. Secti ! '9. Nepotism. # 617 All a ointments in the national, rovincial, city and munici al governments or in any !ranch or instrumentality thereof, including government#owned or controlled cor orations, made in favor of a relative of the a ointing or recommending authority, or of the chief of the !ureau or office, or of the ersons e%ercising immediate su ervision over him, are here!y rohi!ited. As used in this Section, the word 4relative4 and mem!ers of the family referred to are those related within the third degree either or consanguinity or of affinity. 687 *he following are e%em ted from the o eration of the rules on ne otism2 6a7 ersons em loyed in a confidential ca acity, 6!7 teachers, 6c7 hysicians, and 6d7 mem!ers of the

Armed +orces of the 1hili ines2 1rovided, however, *hat in each articular instance full re ort of such a ointment shall !e made to the Commission. *he restriction mentioned in su!section 617 shall not !e a lica!le to the case of a mem!er of any family who, after his or her a ointment to any osition in an office or !ureau, contracts marriage with someone in the same office or !ureau, in which event the em loyment or retention therein of !oth hus!and and wife may !e allowed. 697 ,n order to give immediate effect to these rovisions, cases of revious a ointments which are in contravention hereof shall !e corrected !y transfer, and ending such transfer, no romotion or salary increase shall !e allowed in favor of the relative or relatives who are a ointed in violation of these rovisions. CHAPTER 8 $EAVE OF A"SENCE Secti ! (). "eave of %bsence. # )fficers and em loyees in the Civil Service shall !e entitled to leave of a!sence, with or without ay, as may !e rovided !y law and the rules and regulations of the Civil Service Commission in the interest of the service. CHAPTER 9 MISCE$$ANEOUS PROVISIONS Secti ! (1. E2aminin! Committee* Special E2aminers and Special /nvesti!ators. # Su!'ect to a roval !y the ro er head of a de artment or agency, the Commission may select suita!le ersons in the government service to act as mem!ers of e%amining committees, s ecial e%aminers or s ecial investigators. Such ersons shall !e designated e%aminers or investigators of the Commission and shall erform such duties as the Commission may re5uire, and in the erformance of such duties they shall !e under its e%clusive control. E%amining committees, s ecial e%aminers or s ecial investigators so designated may !e given allowances or er diems for their services, to !e aid out of the funds of, and at a rate to !e determined !y, the Commission. Secti ! (2. (ees. # *he Commission shall collect and charge fees for civil service e%aminations, certifications of civil service ratings, service records, and other civil service matters, training courses, seminars, wor3sho s in ersonnel management and other civil service matters. +or this ur ose, the Commission shall rescri!e standard and reasona!le rates for such e%aminations, certifications, training courses, seminars, and wor3sho s2 1rovided, *hat no e%amination fees shall !e collected in e%aminations given for the selection of scholars. Secti ! (%. /ncome. # *he income of the Commission from fees, costs for services it may assess and levy, and such other roceeds generated in the erformance of its functions shall !e directly utiliAed !y the Commission for its e% enses. Secti ! (&. %uthority of ,fficers to %dminister ,aths* Ta.e Testimony* Prosecute and Defend Cases in Court. # Fem!ers of the Commission, chiefs of offices, and other officers and em loyees of the Commission designated in writing !y the Chairman may administer such oath as may !e necessary in the transactions of official !usiness and administer oaths and ta3e testimony in connection with any authoriAed investigation. Attorneys of the Commission may rosecute and defend cases in connection with the functions of the Commission !efore any court or tri!unal.

Secti ! ('. "iability of %ppointin! %uthority. # (o erson em loyed in the Civil Service in violation of the Civil Service :aw and rules shall !e entitled to receive ay from the government" !ut the a ointing authority res onsi!le for such unlawful em loyment shall !e ersonally lia!le for the ay that would have accrued had the em loyment !een lawful, and the dis!ursing officials shall ma3e ayment to the em loyee of such amount from the salary of the officers so lia!le. Secti ! ((. "iability of Disbursin! ,fficers. # E%ce t as may otherwise !e rovided !y law, it shall !e unlawful for a treasurer or other fiscal officer to draw or retain from salary due an officer or em loyee any amount for contri!ution or ayment of o!ligations other than those due the government or its instrumentalities. Secti ! (7. Penal Provision. # Whoever ma3es any a ointment or em loys any erson in violation of any rovision of this *itle or the rules made thereunder or whoever commits fraud, deceit or intentional misre resentation of material facts concerning other civil service matters, or whoever violates, refuses or neglects to com ly with any of such rovisions or rules, shall u on conviction !e unished !y a fine not e%ceeding one thousand esos or !y im risonment not e%ceeding si% 6=7 months, or !oth such fine and im risonment in the discretion of the court. S34tit-e " THE COMMISSION ON AUDIT CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # All resources of the government shall !e managed, e% ended or utiliAed in accordance with law and regulations and safeguarded against loss or wastage through illegal or im ro er dis osition to ensure efficiency, economy and effectiveness in the o erations of government. *he res onsi!ility to ta3e care that such olicy is faithfully adhered to rests directly with the chief or head of the government agency concerned. Secti ! 2. Definition of Terms. # 0nless the content otherwise re5uires, when used in this *itle2 617 4+und4 is a sum of money or other resources set aside for the ur ose of carrying out s ecific activities or attaining certain o!'ectives in accordance with s ecial re5uisitions, restrictions, or limitations, and constitutes an inde endent fiscal and accounting entity. 687 4&overnment funds4 includes u!lic moneys of every sort and other resources ertaining to any agency of the &overnment. 697 4Revenue funds4 com rises all funds de rived from the income of any agency of the &overnment and availa!le for a ro riation or e% enditure in accordance with law. 6;7 4*rust funds4 refers to funds which have come officially into the ossession of any agency of the &overnment or of a u!lic officer as trustee, agent, or administrator, or which have !een received for the fulfillment of some o!ligation. 6<7 4>e ository funds4 com rises funds over which the officer accounta!le therefor may retain control for the lawful ur oses for which they came into his ossession. ,t em!races moneys in any and all de ositories.

6=7 4>e ository4 refers to any financial institution lawfully authoriAed to receive government moneys u on de osit. 677 4Resources4 refers to the actual assets of any agency of the &overnment such as cash, instruments re resenting or converti!le to money, receiva!les, lands, !uildings, as well as contingent assets, such as estimated revenues a lying to the current fiscal eriod not accrued or collected, and !onds authoriAed and unissued. 6$7 4&overnment agency4 or 4agency of the government,4 or 4agency4 refers to any de artment, !ureaus or office of the (ational &overnment, or any of its !ranches and instrumentalities, or any olitical su!division, as well as any government#owned or controlled cor oration, including its su!sidiaries, or other self#governing !oard or commission of the &overnment. CHAPTER 2 ORGANI+ATION OF THE COMMISSION ON AUDIT Secti ! %. The Commission Proper. # *he Commission 1ro er shall !e com osed of the Chairman and two Commissioners. ,t shall sit as a !ody to formulate olicies, romulgate rules and regulations, and rescri!e standards governing the discharge of its owers and functions. Secti ! &. The Chairman. # *he Chairman shall act as 1residing )fficer of the Commission 1ro er and Chief E%ecutive )fficer of the Commission. *he Chairman may !e assisted !y the commissioners in the general administration of the Commission. He shall erform the following duties2 617 Control and su ervise the general administration of the commission" 687 >irect and manage the im lementation and e%ecution of olicies, standards, rules and regulations of the commission" 697 Control and su ervise the audit of highly technical or confidential transactions or accounts of any government agency" and 6;7 1erform such other related functions as may !e assigned from time to time !y the Chairman. Secti ! '. ,ffices of the Commissioners. # *here shall !e two 687 Commissioners who shall assist the Chairman, u on ro er delegation in the general administration of the Commission. *hey shall assist in the review and evaluation of e%isting olicies as well as in the formulation of new ones. Secti ! (. The Commission Secretariat. # *he Commission Secretariat shall !e headed !y the Secretary to the Commission who shall have the rivileges of a C)A service chief. *he Commission Secretariat shall erform the following functions2 617 1re are the agenda for the sessions of the Commission 1ro er" 687 1re are and 3ee the minutes of all sessions, hearings and conferences of the Commission 1ro er" 697 Faintain the records of the Commission 1ro er" and

6;7 1erform such related functions as may !e assigned !y the Chairman of the Commission 1ro er. CHAPTER % OFFICES Secti ! 7. Central ,ffices. # *he Commission shall have the following central offices2 617 *he Administrative )ffice shall !e headed !y a >irector and shall erform the following functions2 6a7 >evelo and maintain a ersonnel rogram which shall include recruitment, selection, a ointment, erformance evaluation, em loyee relations, and welfare services" 6!7 1rovide the Commission with services related to ersonnel, records, su lies, e5ui ment, medical, collections and dis!ursements, and other related services" and 6c7 1erform such other related functions as may !e assigned from time to time !y the Chairman. 687 *he 1lanning, +inancial and Fanagement )ffice shall2 6a7 +ormulate long range and annual lans and rograms for the Commission" 6!7 +ormulate !asis olicies and guidelines for the re aration of the !udget of the Commission, coordinate with the >e artment of ?udget and Fanagement, and the )ffice of the 1resident in the re aration of the said !udget" 6c7 Faintain and administer the accounting system ertaining to the accounts of the Commission" 6d7 >evelo and maintain the management information system of the Commission" 6e7 >evelo and administer a management im rovement rogram, including a system for measurement of erformance of auditing units on which an annual re ort shall !e su!mitted to the Chairman not later than the 91st of Canuary of each year" 6f7 Render consultancy services related to the discharge of government auditing functions" and 6g7 1erform such other related functions as may !e assigned from time to time !y the Chairman. 697 *he State Accounting and Auditing >evelo ment )ffice shall !e headed !y a >irector and shall erform the following functions2 6a7 +ormulate long range lans for a com rehensive training rogram for all ersonnel of the Commission and ersonnel of the agencies of government, with res ect to Commission rules and regulations and audit matters"

6!7 1re are and im lement annual training rograms, consistent with its long range lans" 6c7 >evelo its ca a!ility to im lement training rograms" 6d7 1u!lish the rofessional 'ournal of the Commission" 6e7 Esta!lish and maintain such training centers and li!raries as may !e authoriAed !y the Commission" and 6f7 1erform such other related functions as may !e assigned from time to time !y the Chairman. 6;7 *he Accountancy )ffice shall !e headed !y a >irector and shall erform the following functions2 6a7 1re are for the Commission, the annual financial re ort of the (ational &overnment and such other financial or statistical wor3s as may !e re5uired !y the Commission" 6!7 Faintain the accounts of the current sur lus of the general fund of the national government" 6c7 @erify a ro riations, of national government agencies and control fund releases ertaining thereto" and 6d7 Assist in the formulation of accounting rules and regulations and su ervise the im lementation of such rules and regulations in government agencies. 6<7 *he S ecial Audits )ffice shall !e headed !y a >irector and shall erform the following functions2 6a7 Conduct, consistent with the e%ercise !y the Commission of its visitorial owers as conferred !y the varia!le sco e audit of non#governmental firms su!sidiAed !y the government 617 re5uired to ay levies or government shares" 687 those funded !y donations through the government" and 697 those for which the government has ut u a counter art fund. Such audits shall !e limited to the funds coming from the government" 6!7 0nderta3e, on a selective !asis, financial com liance, economy, efficiency and effectiveness audit of national agencies and local government units, government# owned or controlled cor orations, and other self#governing !oards, commissions, or agencies of government, as well as s ecific rograms and ro'ects of the government" 6c7 Audit financial o erations of u!lic utilities and franchise grantees for rate determination and franchise ta% ur oses" 6d7 Conduct such other s ecial audits as may !e directed !y the Chairman" and

6e7 1erform such other related functions as may !e assigned from time to time !y the Chairman. 6=7 *he *echnical Services )ffice shall erform the following functions2 6a7 Review and evaluate contracts with em hasis on the engineering and other technical as ects" 6!7 ,ns ect and a raise infrastructure ro'ects, deliveries of materials and e5ui ment, and ro erty for dis osal" 6c7 >evelo and administer a system for monitoring the rices of materials, su and e5ui ment urchased !y the government" 6d7 ,nitiate s ecial studies on technical matters related to auditing" and 6e7 1erform such other related functions as may !e assigned from time to time !y the Chairman. 677 *he :egal )ffice shall !e headed !y a &eneral Counsel with the ran3 and rivileges of a director and which shall erform the following functions2 6a7 1erform advisory and consultative functions and render legal services with res ect to the erformance of the functions of the Commission and the inter retation of ertinent laws and regulations" 6!7 Handle the investigation of administrative cases filed against the ersonnel of the Commission, evaluate and act on all re orts of involvement of the said ersonnel in anomalies or irregularities in government transactions, and erform any other investigative wor3 re5uired !y the Commission u on assignment !y the Chairman. 6c7 Re resent the Commission in reliminary investigation of malversation and similar cases discovered in audit, assist and colla!orate with the rosecuting agencies of &overnment in the rosecution thereof, and assist and colla!orate with the Solicitor &eneral in handling civil cases involving the Chairman or any of the Commissioners and other officials and em loyees of the Commission in their official ca acity" 6d7 E%tend assistance !y way of legal advice or counsel to auditors of the Commission who face harassment or retaliatory suits, whether civil or criminal, in conse5uence of the erformance of their official functions" 6e7 Coordinate and initiate for the Commission, with a ro riate legal !odies of government with res ect to legal roceedings towards the collection and enforcement of de!ts and claims, and the restitution of funds and ro erty, found to !e due any government agency in the settlement and ad'ustment of its accounts !y the Commission" and 6f7 1erform such other related functions as may !e assigned from time to time !y the Chairman. lies,

6$7 *he (ational &overnment Audit )ffices , and ,, shall !e headed !y a >irector and which shall erform the following functions2 6a7 E%ercise control and su ervision over the im lementation of auditing rules and regulations in agencies of national government in the (ational Ca ital Region 6(CR7, including self#governing !oards, commissions or agencies funded from national a ro riations" 6!7 Review audit re orts covering agencies of the national government under its audit 'urisdiction" 6c7 E%ercise control and su ervision over ersonnel, lanning, financial 6!udgetary and accounting7, and legal matters ertaining to the )ffice and the Auditing 0nits under it" 6d7 +ormulate and develo lans, o erating standards, methods and techni5ues for the im lementation of auditing rules and regulations for agencies of the national government" 6e7 +ormulate accounting and auditing rules and regulations for agencies of the national government" 6f7 Advise and assist the Chairman on matters ertaining to the audit of agencies of the national government under their res ective 'urisdictions" and 6g7 1erform such other related functions as may !e assigned from time to time !y the Chairman. 697 *he Cor orate Audit )ffice shall !e headed !y a >irector and shall erform the following functions2 6a7 E%ercise control and su ervision over the im lementation of auditing rules and regulations in government#owned or controlled cor orations in the (ational Ca ital Region" 6!7 Review audit re orts covering government#owned or controlled cor orations" 6c7 E%ercise control and su ervision over ersonnel, lanning, financial 6!udgetary and accounting7, and legal matters ertaining to the )ffice and the Auditing units under it" 6d7 +ormulate and develo lans, o erating standards, methods and techni5ues for the im lementation of accounting and auditing rules and regulations in government# owned or controlled cor orations" 6e7 +ormulate accounting and auditing rules and regulations for government#owned or controlled cor orations" 6f7 1re are for the Commission, the annual financial re ort of government#owned or controlled cor orations"

6g7 Advise and assist the Chairman on matters ertaining to the audit of government# owned or controlled cor orations" and 6h7 1erform such other related functions as may !e assigned from time to time !y the Chairman. 61B7 *he :ocal &overnments Audit )ffice shall !e headed !y a >irector and shall erform the following functions2 6a7 E%ercise control and su ervision over the im lementation of auditing rules and regulations in local government units in the (ational Ca ital Region" 6!7 Review audit re orts covering local government units in the (ational Ca ital Region" 6c7 E%ercise control and su ervision over ersonnel, lanning, financial 6!udgetary and accounting7, and legal matters ertaining to the )ffice and Auditing units under it" 6d7 +ormulate and develo lans, o erating standards, methods and techni5ues for the im lementation of auditing rules and regulations in local government units" 6e7 +ormulate accounting and auditing rules and regulations for local government units" 6f7 1re are for the Commission, the annual financial re ort of local government units" 6g7 Advise and assist the Chairman on matters ertaining to the audit of local government units" and 6h7 1erform such other related functions as may !e assigned from time to time !y the Chairman. Secti ! 8. %uditin! )nits in #e!ional ,ffices@ Structure and (unctions. # *he Regional )ffices in Region , to I,,, each to !e headed !y a >irector shall erform the following functions2 617 E%ercise su ervision and control over the im lementation of auditing rules and regulations in any agency of the government with rinci al office or lace of o erations within the regions" 687 Review local, national and cor orate audit re orts ertaining to the region" 697 E%ercise control and su ervision over ersonnel, lanning, financial 6!udgetary and accounting7, and legal matters ertaining to the region" and 6;7 1erform such other related functions as may !e assigned !y the Chairman. Secti ! 9. %uditin! )nits in Government %!encies@ Structure and (unctions. # *he Auditing 0nits in government agencies shall erform the following functions2

617 E%amine, audit and settle all accounts, funds, financial transactions and resources of government agencies under their 'urisdiction. 687 Su!mit audit re orts and such other re orts as may !e re5uired !y the Commission" 697 Gee and reserve e% ense vouchers, 'ournal vouchers, stu!s of treasury warrants and chec3s, re orts of collections and dis!ursements and similar documents together with their su orting a ers, under regulations of the Commission" and 6;7 1erform such other functions as may !e assigned to them !y the Chairman. CHAPTER & ,URISDICTION. PO*ERS AND FUNCTIONS OF THE COMMISSION Secti ! 1). Statement of ,b8ectives. # ,n 3ee ing with the constitutional mandate, the Commission adheres to the following o!'ectives2 617 >etermine whether or not the fiscal res onsi!ility that rests directly with the head of the government agency has !een ro erly and effectively discharged" 687 >evelo and im lement a com rehensive audit rogram that shall encom ass an e%amination of financial transactions, accounts and re orts, including evaluation of com liance with a lica!le laws and regulations" 697 ,nstitute control measures through the romulgation of auditing and accounting rules and regulations governing the recei ts dis!ursements, and uses of funds and ro erty, consistent with the total economic develo ment efforts of the &overnment" 6;7 1romulgate auditing and accounting rules and regulations so as to facilitate the 3ee ing, and enhance the information value of the accounts of the &overnment" 6<7 ,nstitute measures designed to reserve and ensure the inde endence of its re resentatives" and 6=7 Endeavor to !ring its o erations closer to the eo le !y the delegation of authority through decentraliAation, consistent with the rovisions of the Constitution and the laws. Secti ! 11. General 4urisdiction. # 617 *he Commission on Audit shall have the ower, authority, and duty to e%amine, audit, and settle all accounts ertaining to the revenue and recei ts of, and e% enditures or uses of funds and ro erty, owned or held in trust !y, or ertaining to, the &overnment, or any of its su!divisions, agencies, or instrumentalities, including government#owned or controlled cor orations with original charters, and on a ost#audit !asis2 6a7 constitutional !odies, commissions and offices that have !een granted fiscal autonomy under this Constitution" 6!7 autonomous state colleges and universities, 6c7 other government#owned or controlled cor orations and their su!sidiaries" and 6d7 such non#governmental entities receiving su!sidy or e5uity, directly or indirectly from or through the &overnment, which are re5uired !y law or the granting institution to su!mit to such audit as a condition of su!sidy or e5uity. However, where the internal control system of the audited agencies is inade5uate, the Commission may ado t such measures, including tem orary or s ecial re#audit, as are necessary and

a ro riate to correct the deficiencies. ,t shall 3ee the general accounts of the &overnment and, for such eriod as may !e rovided !y law, reserve the vouchers and other su orting a ers ertaining thereto. 687 *he Commission shall have e%clusive authority, su!'ect to the limitations in this Article, to define the sco e of its audit and e%amination, esta!lish the techni5ues and methods re5uired therefor, and romulgate accounting and auditing rules and regulations, including those for the revention and disallowance of irregular, unnecessary, e%cessive, e%travagant, or unconsciona!le e% enditures, or uses of government funds and ro erties. Secti ! 12. %ppointin! Po-er. # *he Commission 1ro er shall a oint in accordance with the Civil Service :aw, the officials and em loyees of the Commission wherever they are stationed or assigned. Secti ! 1%. E2aminin! %uthority. # *he Commission shall have authority to e%amine !oo3s, a ers, documents filed !y individuals and cor orations with, and which are in the custody of, government offices in connection with government revenue collection o erations, for the sole ur ose of ascertaining that all funds determined !y the a ro riate agencies and collecti!le and due the &overnment have actually !een collected, e%ce t as otherwise rovided in the ,nternal Revenue Code of 1977. Secti ! 1&. 3isitorial %uthority. # 617 *he Commission shall have visitorial authority over non#government entities su!sidiAed !y the &overnment, those re5uired to ay levies or have government shares, those which have received counter art funds from the &overnment or are artly funded !y donations through the &overnment. *his authority, however, shall ertain only to the audit of these funds or su!sidies coming from or through the &overnment" and 687 0 on direction of the 1resident, the Commission shall li3ewise e%ercise visitorial authority over non#governmental entities whose loans are guaranteed !y the &overnment, rovided that such authority shall ertain only to the audit of the governmentEs contingent lia!ility. Secti ! 1'. (ee for %udit and ,ther Services. # 617 *he Commission shall fi% and collect reasona!le fees for the different services rendered to non#government entities that shall !e audited in connection with their dealings with the &overnment arising from su!sidiaries, counter art funding !y &overnment, or where audited records !ecome the !asis for a government levy or share. +ees of this nature shall accrue to the &eneral +und and shall !e remitted to the *reasurer of the 1hili ines within ten 61B7 days following the com letion of the audit" and 687 Whenever the Commission contracts with any government entity to render audit and related services !eyond the normal sco e of such services, the Commission is em owered to fi% and collect reasona!le fees. Such fees shall either !e a ro riated in the agencyEs current !udget, charged against its savings, or a ro riated in its succeeding yearEs !udget. Remittance shall accrue to the &eneral +und and shall !e made to the *reasurer of the 1hili ines within the time rovided for in the contract of service, or in the !illing rendered !y the Commission. Secti ! 1(. Deputization of Private "icensed Professionals to %ssist Government %uditors. #

617 *he Commission may, when the e%igencies of the service also re5uire, de utiAe and retain in the name of the Commission such certified u!lic accountants and other licensed rofessionals not in the u!lic service as it may deem necessary to assist government auditors in underta3ing s ecialiAed audit engagements" and 687 *he de utiAed rofessionals shall !e entitled to such com ensation and allowances as may !e sti ulated, su!'ect to ertinent rules and regulations on com ensation and fees. Secti ! 17. Government Contracts for %uditin!* %ccountin! and #elated Services. # 617 (o government agency shall enter into any contract with any rivate erson or firm for services to underta3e studies and services relating to government auditing, including services to conduct, for a fee, seminars or wor3sho s for government ersonnel on these to ics, unless the ro osed contract is first su!mitted to the Commission to ena!le it to determine if it has the resources to underta3e such studies or services. *he Commission may engage the services of e% erts from the u!lic or rivate sectors in the conduct of these studies" and 687 Should the Commission decide not to underta3e the study or service, it shall nonetheless have the ower to review the contract in order to determine the reasona!leness of its costs. Secti ! 18. Settlement of %ccounts +et-een %!encies. # *he Commission shall have the ower, under such regulations as it may rescri!e, to authoriAe and enforce the settlement of accounts su!sisting !etween agencies of the &overnment. Secti ! 19. Collection of /ndebtedness Due to the Government . # *he Commission shall, through ro er channels, assist in the collection and enforcement of all de!ts and claims, and the restitution of all funds or the re lacement or ayment as a reasona!le rice of ro erty, found to !e due the &overnment, or any of its su!divisions, agencies or instrumentalities, or any government#owned or controlled cor oration or self#governing, !oard, commission or agency of the &overnment, in the settlement and ad'ustment of its accounts. ,f any legal roceeding is necessary to that end, the Commission shall refer the case to the Solicitor &eneral, the &overnment Cor orate Counsel, or the :egal Staff of the Creditor &overnment )ffice or agency concerned to institute such legal roceeding. *he Commission shall e%tend full su ort in the litigation. All such moneys due and aya!le shall !ear interest at the legal rate from the date of written demand !y the Commission. Secti ! 2). Po-er to Compromise Claims. # 617 When the interest of the &overnment so re5uires, the Commission may com romise or release in whole or in art, any settled claim or lia!ility to any government agency not e%ceeding ten thousand esos arising out of any matter or case !efore it or within its 'urisdiction, and with the written a roval of the 1resident, it may li3ewise com romise or release any similar claim or lia!ility not e%ceeding one hundred thousand esos. ,n case the claim or lia!ility e%ceeds one hundred thousand esos, the a lication for relief therefrom shall !e su!mitted, through the Commission and the 1resident, with their recommendations, to the Congress" and 687 *he Commission may, in the interest of the &overnment, authoriAe the charging or crediting to an a ro riate account in the (ational *reasury, small discre ancies 6overage or shortage7 in the remittances to, and dis!ursements of, the (ational *reasury, su!'ect to the rules and regulations as it may rescri!e.

Secti ! 21. #etention of oney for Satisfaction of /ndebtedness to Government. # When any erson is inde!ted to any government agency, the Commission may direct the ro er officer to withhold the ayment of any money due such erson or his estate to !e a lied in satisfaction of the inde!tedness. Secti ! 22. %uthority to E2amine %ccounts of Public )tilities. # 617 *he Commission shall e%amine and audit the !oo3s, records and accounts of u!lic utilities in connection with the fi%ing of rates of every nature, or in relation to the roceedings of the ro er regulatory agencies, for ur oses of determining franchise ta%es" 687 Any u!lic utility refusing to allow an e%amination and audit of its !oo3s of accounts and ertinent records, or offering unnecessary o!struction to the e%amination and audit, or found guilty of concealing any material information concerning its financial status shall !e su!'ect to the enalties rovided !y law" and 697 >uring the e%amination and audit, the u!lic utility concerned shall roduce all the re orts, records, !oo3s of accounts and such other a ers as may !e re5uired. *he Commission shall have the ower to e%amine under oath any official or em loyee of the said u!lic utility. Secti ! 2%. Submission of Papers #elative to ,bli!ations. # 617 *he Commission shall have the ower, for ur oses of ins ection, to re5uire the su!mission of the original of any order, deed, contract, or other document under which any collection, or ayment from, government funds may !e made, together with any certificate, recei t, or other evidence in connection therewith. ,f authenticated co y is needed for record ur oses, the co y shall u on demand !e furnished" 687 ,n the case of deeds to ro erty urchased !y any government agency, the Commission shall re5uire a certificate of title entered in favor of the &overnment or other evidence satisfactory to it that the title is in the &overnment" and 697 ,t shall !e the duty of the officials or em loyees concerned, including those in non# government entities under audit, or affected in the audit of government and non#government entities, to com ly with these re5uirements. +ailure or refusal to do so without 'ustifia!le cause shall !e a ground for administrative disci linary action as well as for disallowing ermanently a claim under e%amination, assessing additional levy or government share, or withholding or withdrawing government funding or donation through the &overnment. Secti ! 2&. /nvesti!atory and /n$uisitorial Po-ers. # *he Chairman or any Commissioner, the Central )ffice Fanagers, the Regional >irectors, the Auditors of any government agency, and any other official or em loyee of the Commission s ecially de uted in writing for the ur ose !y the Chairman shall, in com liance with the re5uirement of due rocess have the ower to summon the arties to a case !rought !efore the Commission for resolution, issue su! oena and su! oena duces tecum, administer oaths, and otherwise ta3e testimony in any investigation or in5uiry on any matter within the 'urisdiction of the Commission. Secti ! 2'. Po-er to Punish Contempt. # *he Commission shall have the ower to unish contem t rovided for in the Rules of Court under the same rocedure and with the same enalties rovided

therein. Any violation of any final and e%ecutory decision, order or ruling of the Commission shall constitute contem t of the Commission. Secti ! 2(. %nnual #eport of the Commission. # 617 *he Commission shall su!mit to the 1resident, and the Congress not later than the last day of Se tem!er of each year an annual re ort on the financial condition and results of o eration of all agencies of the &overnment which shall include recommendations of measures necessary to im rove the efficiency and effectiveness of these agencies" 687 *o carry out the ur oses of this section, the Chief Accountant or the official in charge of 3ee ing the accounts of government agency shall su!mit to the Commission year#end trial !alances and such other su orting or su!sidiary statements as may !e re5uired !y the Commission not later than the fourteenth 61;7 day of +e!ruary. *rial !alances returned !y the Commission for revision due to non#com liance with accounting rules and regulations shall !e resu!mitted within three days after the date of recei t !y the official concerned" and 697 +ailure on the art of any official or em loyee to com ly with the rovisions of the immediately receding aragra h shall cause the automatic sus ension of the ayment of his salary and other emoluments until he shall have com lied therewith. *he violation of these rovisions for at least three 697 times shall su!'ect the offender to administrative disci linary action. Secti ! 27. Statement of onthly #eceipts and Disbursements. # *he Commission shall forward to the Secretary of +inance, as soon as and within si%ty 6=B7 days after the e% iration of each month, a statement of all recei ts of the national government of whatever class, and ayments of moneys made on warrants or otherwise during the receding month. Secti ! 28. Po-ers* (unctions* Duties of %uditors as #epresentatives of the Commission. # 617 *he Auditors shall e%ercise such owers and functions as may !e authoriAed !y the Commission in the e%amination, audit and settlement of the accounts, funds, financial transactions and resources of the agencies under their res ective audit 'urisdiction" 687 A re ort of audit for each calendar year shall !e su!mitted on the last wor3ing day of +e!ruary following the close of the year !y the head of each auditing unit through the Commission to the head or the governing !ody of the agency concerned, and co ies thereof shall !e furnished the government officials concerned or authoriAed to receive them. Su!'ect to such rules and regulations as the Commission may rescri!e, the re ort shall set forth the sco e of audit and shall include statements of financial conditions, sur lus or deficit analysis, o erations, changes in financial osition, and such comments and information as may !e necessary together with such recommendations with res ect thereto as may !e advisa!le, including a re ort of any im airment of ca ital noted in the audit. ,t shall also show s ecifically any rogram, e% enditure, or other financial transaction or underta3ing o!served in the course of the audit which in the o inion of the auditor has !een carried out or made without authority of law. *he auditor shall render such other re orts as the Commission may re5uire2 697 ,n the erformance of their res ective audit functions as herein s ecified, the auditors shall em loy such auditing rocedures and techni5ues as are determined !y the Commission under regulations that it may romulgate" and

6;7 *he auditors in all auditing units shall have the custody and !e res onsi!le for the safe3ee ing and reservation of aid e% ense vouchers, 'ournal vouchers, stu!s of treasury warrants or chec3s, re orts of collections and dis!ursements and similar documents, together with their res ective su orting a ers, under regulations of the Commission. Secti ! 29. Chec. and %udit of Property or Supplies. # *he auditor shall from time to time conduct a careful and thorough chec3 and audit of all ro erty or su lies of the agency to which he is assigned. Such chec3 and audit shall not !e confined to a mere ins ection and e%amination of the ertinent vouchers, inventories, and other a ers !ut shall include an ocular verification of the e%istence and condition of the ro erty or su lies. *he recommendation of the auditor shall !e em!odied in the ro er re ort. Secti ! %). %nnual %udit and Wor. Pro!ram. # Each Auditor who is head of an auditing unit shall develo and devise an annual wor3 rogram and the necessary audit rogram for his unit in accordance with the regulations of the Commission. Secti ! %1. Seizure of ,ffice by %uditor. # 617 *he !oo3s, accounts, a ers and cash of any local treasurer or other accounta!le officer shall at all times !e o en to the ins ection of the Commission or its authoriAed re resentatives" 687 ,n case an e%amination of the accounts of a local treasurer discloses a shortage in cash which should !e on hand, it shall !e the duty of the e%amining officer to seiAe the office and its contents, notify the Commission and the local chief e%ecutive, thereu on immediately ta3e full ossession of the office and its contents, close and render his accounts to the date of ta3ing ossession, and tem orarily continue the u!lic !usiness of such office" and 697 *he auditor who ta3es ossession of the office of the local treasurer under this section shall i so facto su ersede the local treasurer until the officer involved is restored, or another erson has !een a ointed or designated to the osition or other rovision has !een lawfully made for filling the office. Secti ! %2. Constructive Distraint of Property of %ccountable ,fficer. # 617 0 on discovery in audit of a shortage in the accounts of any accounta!le officer and u on a finding of a rima facie case of malversation of u!lic funds or ro erty against him, in order to safeguard the interest of the &overnment, the Commission may lace under constructive distraint ersonal ro erty of the accounta!le officer concerned where there is reasona!le ground to !elieve that the said officer is retiring from the government service or intends to leave the 1hili ines or remove his ro erty therefrom or hide or conceal his ro erty. 687 *he constructive distraint shall !e effected !y re5uiring the accounta!le officer concerned or any other erson having ossession or control of the ro erty to accom lish a recei t, in the form of rescri!ed !y the Commission, covering the ro erty distrained and o!ligate himself to reserve the same intact and unaltered and not to dis ose of it in any manner whatever without the e% ress authority of the Commission" and 697 ,n case the said accounta!le officer or other erson having the ossession and control of the ro erty sought to !e laced under constructive distraint refuses or fails to accom lish

the recei t herein referred to, the re resentative of the Commission effecting the constructive distraint shall roceed to re are a list of such ro erty and, in the resence of two 687 witnesses, leave a co y thereof in the remises where the ro erty distrained is located, after which the said ro erty shall !e deemed to have !een laced under constructive distraint. CHAPTER ' DECISIONS OF THE COMMISSION Secti ! %%. %ppeal from Decision of %uditors. # Any erson aggrieved !y the decision of an auditor of any government agency in the settlement of an account or claim may, within si% 6=7 months from recei ts of a co y thereof, a eal in writing to the Commission. Secti ! %&. Period for #enderin! Decisions of the Commission. # *he Commission shall decide any case !rought !efore it within si%ty 6=B7 days from the date of its su!mission for resolution. ,f the account or claim involved in the case needs reference to other ersons or office, or to a arty interested, the eriod shall !e counted from the time the last comment necessary to a ro er decision is received !y it. Secti ! %'. %ppeal from Decision of the Commission. # Any decision, order or ruling of the Commission may !e !rought to the Su reme Court on certiorari !y the aggrieved arty within thirty days from his recei t of a co y thereof in the manner rovided !y law and the Rules of Court. When the decision, order or ruling adversely affects the interest of any government agency, the a eal may !e ta3en !y the ro er head that agency. Secti ! %(. (inality of Decision of the Commission or %ny %uditor. # A decision of the Commission or of any Auditor u on any matter within its or his 'urisdiction, if not a ealed as herein rovided, shall !e final and e%ecutory. Secti ! %7. ,penin! and #evision of Settled %ccounts. # 617 At any time !efore the e% iration of three 697 years after the settlement of any account !y an auditor, the Commission may motu ro rio review and revise the account or settlement and certify a new !alance. +or this ur ose, it may re5uire any account, vouchers or other a ers connected with the matter to !e forwarded to it" 687 When any settled account a ears to !e tainted with fraud, collusion, or error of calculation, or when new and material evidence is discovered, the Commission may, within three 697 years after the original settlement, o en the account and, after a reasona!le time for re ly or a earance of the arty concerned, certify thereon a new !alance. An auditor may e%ercise the same ower with res ect to settled accounts ertaining to the agencies under his audit 'urisdiction" and 697 Accounts once finally settled shall in no case !e o ened or reviewed e%ce t as herein rovided. CHAPTER ( GOVERNMENT AUDITING AND ACCOUNTING Secti ! %8. Definition of Government %uditin!. # &overnment auditing is the analytical and systematic e%amination and verification of financial transactions, o erations, accounts and re orts of

any government agency for the ur ose of determining their accuracy, integrity and authenticity, and satisfying the re5uirements of law, rules and regulations. Secti ! %9. General Standards. # 617 *he audit shall !e erformed !y a erson ossessed with ade5uate technical training and roficiency as auditor" 687 ,n all matters relating to the audit wor3, the auditor shall maintain com lete inde endence, im artiality and o!'ectivity and shall avoid any ossi!le com romise of his inde endence or any act which may create a resum tion of lac3 of inde endence or the ossi!ility of undue influence in the erformance of his duties" and 697 *he auditor shall e%ercise due rofessional care and !e guided !y a lica!le laws, regulations and the generally acce ted rinci les of accounting in the erformance of the audit wor3 a well as in the re aration of audit and financial re orts. Secti ! &). Definition of Government %ccountin!. # &overnment accounting includes the rocess of analyAing, recording, classifying, summariAing and communicating all transactions involving the recei t and dis ositions of government funds and ro erty, and inter reting the results thereof. Secti ! &1. ,b8ectives of Government %ccountin! . # &overnment accounting shall aim to roduce information concerning ast o erations and resent conditions" rovide a !asis for guidance for future o erations" rovide for control of the acts of u!lic !odies and officers in the recei t, dis osition and utiliAation of funds and ro erty" and re ort on the financial osition and the results of o erations of government agencies for the information of all ersons concerned. CHAPTER 7 RECEIPT AND DISPOSITION OF FUNDS AND PROPERTY Secti ! &2. %ccountin! for oney and Property #eceived by Public ,fficials. # E%ce t as may otherwise !e s ecifically rovided !y law or com etent authority, all moneys and ro erty officially received !y a u!lic officer in any ca acity or u on any occasion must !e accounted for as government funds and government ro erty. &overnment ro erty shall !e ta3en u in the !oo3s of the agency concerned at ac5uisition cost or an a raised value. Secti ! &%. Special* (iduciary and Trust (unds. # Recei ts shall !e recorded as income of S ecial, +iduciary or *rust +unds or +unds other than the &eneral +und only when authoriAed !y law as im lemented ursuant to law. Secti ! &&. /ssuance of ,fficial #eceipts. # 617 (o ayment of any nature shall !e received !y a collecting officer without immediately issuing an official recei t in ac3nowledgment thereof. *he recei t may !e in the form of ostage, internal revenue or documentary stam s and the li3e, or officially num!ered recei ts, su!'ect to ro er custody, accounta!ility and audit" and 687 Where mechanical devices are used to ac3nowledge cash recei ts, the Commission may a rove, u on re5uest, e%em tion from the use of accounta!le forms.

CHAPTER 8 APP$ICATION OF APPROPRIATED FUNDS Secti ! &'. Disbursement of Government (unds. # 617 Revenue funds shall not !e aid out of any u!lic treasury or de ository e%ce t in ursuance of an a ro riation law or other s ecific statutory authority" 687 *rust funds shall not !e aid out of any u!lic treasury or de ository e%ce t in fulfillment of the ur ose for which the trust was created or funds received and u on authoriAation of the legislative !ody, or head of any other agency of the government having control thereof, and su!'ect to ertinent !udget laws, rules and regulations" 697 (ational revenue and trust funds shall not !e withdrawn from the (ational *reasury e%ce t u on warrant or other instruments of withdrawal a roved !y the Secretary of +inance as recommended !y the *reasurer of the 1hili ines" and 6;7 *em orary investment of investi!le cash in the (ational *reasury in any securities issued !y the (ational &overnment and its olitical su!divisions and instrumentalities, including government#owned or controlled cor orations as authoriAed !y the Secretary of +inance, shall not !e construed as dis!ursement of funds. Secti ! &(. %ppropriation +efore Enterin! into Contract. # 617 (o contract involving the e% enditure of u!lic funds shall !e entered into unless there is an a ro riation therefor, the une% ended !alance of which, free of other o!ligations, is sufficient to cover the ro osed e% enditure" and 687 (otwithstanding this rovision, contracts for the rocurement of su lies and materials to !e carried in stoc3 may !e entered into under regulations of the Commission rovided that when issued, the su lies and materials shall !e charged to the ro er a ro riations account. Secti ! &7. Certificate Sho-in! %ppropriation to eet Contract . # E%ce t in the case of a contract for ersonal service, for su lies for current consum tion or to !e carried in stoc3 not e%ceeding the estimated consum tion for three 697 months, or !an3ing transactions of government#owned or controlled !an3s, no contract involving the e% enditure of u!lic funds !y any government agency shall !e entered into or authoriAed unless the ro er accounting official of the agency concerned shall have certified to the officer entering into the o!ligation that funds have !een duly a ro riated for the ur ose and that the amount necessary to cover the ro osed contract for the current calendar year is availa!le for e% enditure on account thereof, su!'ect to verification !y the auditor concerned. *he certificate signed !y the ro er accounting official and auditor who verified it, shall !e attached to and !ecome an integral art of the ro osed contract, and the sum so certified shall not thereafter !e availa!le for e% enditure for any other ur ose until the o!ligation of the government agency concerned under the contract is fully e%tinguished. Secti ! &8. 3oid Contract and "iability of ,fficer. # Any contract entered into contrary to the re5uirements of the two 687 immediately receding sections shall !e void, and the officer or officers entering into the contract shall !e lia!le to the &overnment or other contracting arty for any conse5uent damage to the same e%tent as if the transaction had !een wholly !etween rivate arties.

Secti ! &9. Countersi!nin! of Warrants or Chec.s by %uditors. # (o warrant or chec3 shall !e aid !y the *reasury of the 1hili ines, local treasurer, or any government de ository unless it is countersigned !y a duly authoriAed official of the Commission. When, in the o inion of the Commission, the interest of the service so re5uires, the warrant or chec3 may !e aid without the countersignature under such rules and regulations as it may !e rescri!ed from time to time. CHAPTER 9 ACCOUNTA"I$ITY AND RESPONSI"I$ITY FOR GOVERNMENT FUNDS AND PROPERTY Secti ! '). %ccountable ,fficers7 +oard #e$uirements. # 617 Every officer of any government agency whose duties ermit or re5uire the ossession or custody government funds shall !e accounta!le therefor and for safe3ee ing thereof in conformity with law" and 687 Every accounta!le officer shall !e ro erly !onded in accordance with law. Secti ! '1. Primary and Secondary #esponsibility. # 617 *he head of any agency of the &overnment is immediately and rimarily res onsi!le for all government funds and ro erty ertaining to his agency" 687 1ersons entrusted with the ossession or custody of the funds or ro erty under the agency head shall !e immediately res onsi!le to him, without re'udice to the lia!ility of either arty to the &overnment. Secti ! '2. General "iability for )nla-ful E2penditures . # E% enditures of government funds or uses of government ro erty in violation of law or regulations shall !e a ersonal lia!ility of the official or em loyee found to !e directly res onsi!le therefor. Secti ! '%. 1rohi!ition Against 1ecuniary ,nterest. # (o accounta!le or res onsi!le officer shall !e ecuniary interested, directly or indirectly, in any contract or transaction of the agency in which he is such an officer. CHAPTER 1) MISCE$$ANEOUS PROVISIONS Secti ! '&. Duty to #espect the Commission's /ndependence. # ,t shall !e the duty of every erson to res ect, rotect and reserve the inde endence of the Commission. Secti ! ''. %dministrative Disciplinary %ction. # Su!'ect to rules and regulations as may !e a roved !y the 1resident, any un'ustified failure !y the u!lic officer concerned to com ly with any re5uirement im osed in *itle ,#?, ?oo3 @ of this Code shall constitute neglect of duty and shall !e a ground for administrative disci linary action against said u!lic officer who, u on !eing found guilty thereof after hearing, shall !e meted out such enalty as is commensurate with the degree of his guilt in accordance with the Civil Service :aw. Re ealed un'ustified failure to com ly with the re5uirement im osed in *itle ,#?, ?oo3 @ of this Code shall !e conclusive roof that the u!lic officer concerned is notoriously undesira!le. S34tit-e C

COMMISSION ON E$ECTIONS CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State shall at all times ensure free, orderly, honest, eaceful and credi!le elections under a free and o en arty system which shall !e allowed to evolve according to the free choice of the eo le su!'ect to the rovisions of Article ,I#C of the 19$7 Constitution of the 1hili ines. Secti ! 2. Po-ers and (unctions. # ,n addition to the owers and functions conferred u on it !y the constitution, the Commission shall have e%clusive charge of the enforcement and administration of all laws relative to the conduct of elections for the ur ose of insuring free, orderly, honest, eaceful and credi!le elections, and shall2 617 1romulgate rules and regulations im lementing the rovisions of the )mni!us Elections Code or other laws which the Commission is re5uired to enforce and administer" 687 +i% other reasona!le eriods for certain re#election re5uirements in order that voters shall not !e de rived of their rights of suffrage and certain grou s of rights granted them in the )mni!us Election Code" 0nless indicated in the )mni!us Election Code, the Commission is here!y authoriAed to fi% the a ro riate eriod for the various rohi!ited acts enumerated therein, consistent with the re5uirements of free, orderly, honest, eaceful and credi!le elections. 697 E%ercise direct and immediate su ervision and control over national and local officials or em loyees, including mem!ers of any national or local law enforcement agency and instrumentality of the government re5uired !y law to erform duties relative to the conduct of elections, le!iscite, referendum, recall and initiative. ,n addition, it may authoriAe CF* cadets, eighteen years of age and a!ove to act as its de uties for the ur ose of enforcing its orders" *he Commission may relieve any officer or em loyee referred to in the receding aragra h from the erformance of his duties relating to electoral rocesses who violates the election law or fails to com ly with its instructions, orders, decisions or rulings, and a oint his su!stitute. 0 on recommendation of the Commission, the corres onding ro er authority shall sus end or remove from office any or all of such officers or em loyees who may after due rocess, !e found guilty of such violation or failure. 6;7 >uring the eriod of the cam aign and ending thirty days thereafter, when in any area of the country there are ersons committing acts of terrorism to influence eo le to vote for or against any candidate or olitical arty, the Commission shall have the ower to authoriAe any mem!er or mem!ers of the Armed +orces of the 1hili ines, the (ational ?ureau of ,nvestigation, the ,ntegrated (ational 1olice or any similar agency or instrumentality of the government, e%ce t civilian home defense forces, to act as de uties for the ur ose of insuring the holding of free, orderly, honest, eaceful and credi!le elections" 6<7 1u!lish at least ten 61B7 days !efore an election in a news a er of general circulation certified data on the num!er of official !allots and election returns and the names and address of the rinters and the num!er rinted !y each"

6=7 Refuse, motu ro io or u on a verified etition, to give due course to or cancel a certificate of candidacy if it is shown that said certificate has !een filed to ut the election rocess in moc3ery or disre ute or to cause confusion among the voters !y the similarity of the names of the registered candidates or !y other circumstances or acts which clearly demonstrate that the candidate has no !ona fide intention to run for the office for which the certificate of candidacy has !een filed and thus revent a faithful determination of the true will of the electorate" 677 1ost one, motu ro io or u on verified etition and after due notice and hearing where!y all interested arties are afforded e5ual o ortunity to !e heard, the election to a date which should !e reasona!ly close to the date of the election not held, sus ended or which resulted in a failure to elect !ut not later than thirty days after the cessation of the cause for such ost onement or sus ension of the election or failure to elect, when for any serious cause such as violence, terrorism, loss or destruction of election ara hernalia or records, force ma'eure, and other analogous causes the holding of a free, orderly, honest, eaceful and credi!le election should !ecome im ossi!le in any olitical su!division. 6$7 Call for the holding or continuation of election not held in any olling lace where on account of force ma'eure, violence, terrorism, fraud or other analogous causes the election has not !een held on the date fi%ed, or had !een sus ended !efore the hour fi%ed !y law for the closing of the voting, or after the voting and during the re aration and the transmission of the election returns or in the custody or canvass thereof, such election results in a failure to elect, and in any of such cases the failure or sus ension of election would affect the result of the election. Such call should !e on the !asis of a verified etition !y any interested arty and after due notice and hearing and the new date should !e reasona!ly close to the date of the election not held, sus ended or which resulted in a failure to elect !ut not later than thirty 69B7 days after the cessation of the cause of such ost onement or sus ension of the election or failure to elect. 697 Call a s ecial election to elect the mem!er to serve the une% ired ortion in case a vacancy arises in the Senate or in the House of Re resentatives eighteen 61$7 months or more !efore a regular election, to !e held within si%ty 6=B7 days after the vacancy occurs" 61B7 Summon the arties to a controversy ending !efore it, issue su! oena duces tecum and ta3e testimony in any investigation or hearing !efore it, and delegate such ower to any officer of the Commission who shall !e a mem!er of the 1hili ine ?ar. ,n case of failure of a witness to attend, the Commission, u on roof of service of the su! oena to said witness, may issue a warrant to arrest the witness and !ring him !efore the Commission or the officer !efore whom his attendance is re5uired" Any controversy su!mitted to the Commission shall, after com liance with the re5uirements of due rocess, !e immediately heard and decided !y it within si%ty 6=B7 days from the date of its su!mission for decision or resolution. (o decision or resolution shall !e rendered !y the Commission either en !anc or !y division unless ta3en u in a formal session ro erly convened for the ur ose" *he Commission may when necessary, avail itself of the assistance of any national or local law enforcement agency and or instrumentality of the government to e%ecute under its direct and immediate su ervision any of its final decisions, orders, instruction or rulings"

6117 1unish for contem t according to the rocedure, and with the same enalties rovided, in the Rules of Court. Any violation of any final and e%ecutory decision, order or ruling of the Commission shall constitute contem t thereof" 6187 Enforce and e%ecute its decisions, directives, orders and instructions which shall have recedence over those emanating from any other authority, e%ce t the Su reme Court and those issued in ha!eas cor us roceedings" 6197 1rescri!e the forms to !e used in the election, le!iscite or referendum, recall or initiative" 61;7 1rocure any su lies, e5ui ment, materials or services needed for the holding of the election !y u!lic !idding" !ut if it finds the re5uirements of u!lic !idding im ractical to o!serve, then !y negotiations or sealed !ids, and in !oth cases, the accredited arties shall !e duly notified" 61<7 1rescri!e the use or ado tion of the latest technological and electronic devices, ta3ing into account the situation revailing in the area and funds availa!le for the ur ose. *he Commission shall notify the authoriAed re resentatives of accredited olitical arties and candidates in areas affected !y the use or ado tion of technological and electronic devices not less than thirty days rior to the effectivity of the use of such devices" 61=7 Constitute a ool of stand!y#teachers from which su!stitutes shall !e drawn in case a mem!erHs of the ?oard of Election ,ns ectors who, for one reason or another, failed to re ort or refused to act as such on the day of election. 6177 Carry out a continuing and systematic cam aign through news a ers of general circulation, radio and other media forms to educate the u!lic and fully inform the electorate a!out election laws, rocedures, decisions, and other matters relative to the wor3s and duties of the Commission and the necessity of clean, free, orderly, honest, eaceful and credi!le electoral rocesses" 61$7 Accredit non# artisan grou s or organiAations of citiAens from the civic, youth, rofessional, education, !usiness or la!or sectors 3nown for their ro!ity, im artiality and integrity with the mem!ershi and ca a!ility to underta3e a coordinated o eration and activity to assist it in the im lementation of the rovisions of )mni!us Election Code and the resolutions, orders and instructions of the Commission for ur ose of ensuring free, orderly, honest, eaceful and credi!le elections in any constituency. Such grou s or organiAation shall functions under the direct and immediate control and su ervision of the Commission" 6197 Conduct hearings on controversies ending !efore it in the cities or rovinces u on ro er motion of any arty, ta3ing into consideration the materiality and num!er of witnesses to !e resented, the situation revailing in the area and the fund availa!le for the ur ose" 68B7 Have e%clusive 'urisdiction over all re# roclamation controversies. ,t may motu ro rio or u on written etition, and after due notice and hearing, order the artial or total sus ension of the roclamation of any candidate#elect or annul artially or totally any roclamation, if one has !een made, as the evidence shall warrant. (otwithstanding the endency of any re roclamation controversy, the Commission may, motu ro io or u on filing of a verified etition and after due notice and hearing, order the roclamation of other winning candidates whose election will not !e affected !y the outcome of the controversy.

6817 Have the e%clusive ower, through its duly authoriAed legal officers, to conduct reliminary investigation of all election offenses unisha!le under the )mni!us Election Code and to rosecute the same. *he Commission may avail itself of the assistance of other rosecuting arms of the government2 1rovided, however, that in the event that the Commission fails to act on any com laint within four 6;7 months from its filing, the com lainant may file the com laint with the office of the fiscal or with the >e artment of Custice for ro er investigation and rosecution, if warranted" and 6887 1erform such other functions as may !e rovided !y law. Secti ! %. Enforcement Po-ers. # +or the effective enforcement of the rovisions of the )mni!us Election Code, the Commission is further vested and charged with the following owers, duties and res onsi!ilities2 1. *o sto any illegal activity, or confiscate, tear down, and sto any unlawful, li!elous, misleading or false election ro aganda, after due notice and hearing" and 8. *o in5uire into the financial records of candidates and any organiAation or grou of ersons, motu ro io or u on written re resentation for ro!a!le cause !y any candidate, organiAation or grou of ersons or 5ualified voter, after due notice and hearing. +or ur oses of this Section, the Commission may avail itself of the assistance of the Commission on Audit, the Central ?an3, the (ational ?ureau of ,nvestigation, the ?ureau of ,nternal Revenue, the Armed +orces of the 1hili ines, the ,ntegrated (ational 1olice of the 1hili ines, !arangay officials and other agencies of the government. CHAPTER 2 THE COMMISSION PROPER Secti ! &. Composition and 5ualifications. # *here shall !e a Commission on Elections com osed of a Chairman and si% 6=7 Commissioners who shall !e natural !orn citiAens of the 1hili ines and, at the time of their a ointment, at least thirty#five 69<7 years of age, holders of a college degree, and must not have !een candidates for any elective osition in the immediately receding elections. However, a ma'ority thereof, including the Chairman, shall !e mem!ers of the 1hili ine ?ar who have !een engaged in the ractice of law for at least ten 61B7 years. Secti ! '. %ppointment and Term of ,ffice. # *he Chairman and the Commissioners shall !e a ointed !y the 1resident with the consent of the Commission on A ointments for a term of seven 677 years without rea ointment. )f those first a ointed, three 697 Fem!ers shall hold office for seven 677 years, two 687 mem!ers for five 6<7 years, and the last mem!ers for three 697 years, without rea ointment. A ointment to any vacancy shall !e only for the une% ired term of the redecessor. ,n no case shall any Fem!er !e a ointed or designated in a tem orary or acting ca acity. Secti ! (. Dis$ualifications. # *he Chairman and mem!ers of the Commission shall !e su!'ect to the canons of 'udicial ethics in the discharge of their functions. (o chairman or commissioners shall sit in any case in which he has manifested !ias or re'udice or antagonism against any arty thereto and in connection therewith, or in any case in which he would !e dis5ualified under the Rules of Court. ,f it !e claimed that the chairman or a commissioner is dis5ualified as a!ove rovided, the arty o!'ecting to his com etency may file his o!'ection in writing

with the Commission stating the ground therefor. *he official concerned shall continue to artici ate in the hearing or withdraw therefrom in accordance with his determination of the 5uestion of his dis5ualification. *he decision shall forthwith !e made in writing and filed with the other a ers of the case in accordance with the Rules of Court. ,f a dis5ualification should result in a lac3 of 5uorum in the Commission sitting en !anc, the 1residing Custice of the Court of A eals shall designate a 'ustice of said court to sit in said case for the ur ose of hearing and reaching a decision thereon. Secti ! 7. Chairman as E2ecutive ,fficer7 Po-ers and Duties. # *he Chairman, who shall !e the Chief E%ecutive )fficer of the Commission, shall2 617 E%ecute and administer the olicies, decisions, orders and resolutions a Commission" roved !y the

687 >irect and su ervise the o erations and internal administration of the Commission" 697 Sign a ointments of su!ordinate officials and em loyees made !y the Commission and enforce decisions on administrative disci line involving them" 6;7 Fa3e tem orary assignments, rotate and transfer ersonnel in accordance with the rovisions of the civil service law" 6<7 Su!mit an annual !udget to the Commission for its a roval"

6=7 >elegate his authority, in whole or in art, to other officials of the Commission, in accordance with the rules and regulations of the Commission" and 677 1erform such other duties as may !e authoriAed !y the Commission. Secti ! 8. E2ecutive Director7 Po-ers and Duties. # *he E%ecutive >irector of the Commission shall2 617 Advise and assist the Chairman in the formulation and im lementation of the o!'ectives, olicies, lans and rograms of the Commission" 687 Serve as the rinci al assistant of the Chairman in the overall su ervision of the administrative !usiness of the Commission" 697 )versee all the o erational activities of the Commission" 6;7 Coordinate the rograms and ro'ects of the Commission and !e res onsi!le for its economical, efficient and effective administration" 6<7 Serve as de uty to the Chairman in all matters relating to the o erational activities of the Commission" 6=7 Administer oaths in connection with all matters relating to the !usiness of the Commission" and 677 1erform such other duties as may !e assigned !y the Chairman.

Secti ! 9. Staff and ,peratin! )nits. # *he Commission shall have the following staff and o erating units2 )ffice of the Chairman, )ffice of the E%ecutive >irector, )ffice of the Electoral Contests Ad'udication, Regional )ffices, Election and ?arangay Affairs >e artment, :aw >e artment, Election Records and Statistics >e artment, Administrative Service >e artment, 1lanning >e artment, 1ersonnel >e artment, +inance Services >e artment and Education and ,nformation >e artment. Secti ! 1). Duties and (unctions of ,ffices and Departments of the Commission. # *he different offices and de artments of the Commission shall o erate in accordance with their res ective duties and functions assigned to them !y the Commission, su!'ect to the re5uirements of efficiency, economy and effectiveness, and ertinent ?udget and Civil Service :aw, rules and regulations. CHAPTER % THE FIE$D OFFICES Secti ! 11. (ield ,ffice of the Commission. # *he Commission shall have the following field offices2 617 Regional Election )ffice, headed !y the Regional Election >irector and assisted !y the Assistant Regional >irector and such other su!ordinate officers or em loyees as the Commission may a oint" 687 1rovincial Election )ffice, headed !y the 1rovincial Election Su ervisor and assisted !y such other su!ordinate officers or em loyees as the Commission may a oint" 697 City Funici al Election )ffice, headed !y the CityHFunici al Election Registrar who shall !e assisted !y an election cler3 and such other em loyees as the Commission may a oint. *he Commission may delegate its owers and functions or order the im lementation or enforcement of its orders, rulings or decisions through the heads of its field offices. Secti ! 12. 5ualifications of 1eads of field ,ffices. # )nly mem!ers of the 1hili ines ?ar shall !e eligi!le for a ointment to the osition of regional director, assistant regional director, rovincial election su ervisor and election registrar. However, if there are no mem!ers of the 1hili ine ?ar availa!le for a ointment as election registrar, e%ce t in cities and ca ital towns, graduates of duly recogniAed schools of law, li!eral arts, education or !usiness administration who ossess the a ro riate civil service eligi!ility may !e a ointed to said osition. Secti ! 1%. Chan!es in the Composition* Distribution of %ssi!nment of (ield ,ffices. # *he Commission may ma3e changes in the com osition, distri!ution and assignment of field offices, as well as its ersonnel, whenever the e%igencies of the service and the interest of free, orderly, honest, eaceful and credi!le election so re5uire2 1rovided, *hat such changes shall !e effective and enforcea!le only for the duration of the election eriod concerned and shall not affect the tenure of office of the incum!ents of ositions affected and shall not constitute a demotion, either in ran3 of salary, nor result in a change of status" and 1rovided, further, that there shall !e no changes in the com osition, distri!ution or assignment within thirty 69B7 days !efore election, e%ce t for cause and after due notice and hearing, and that in no case shall a regional or assistant regional director !e assigned to a region, or a rovincial election su ervisor to a rovince, or a city munici al election registrar to a city or munici ality, where he andHor his s ouse are related to any candidate within the fourth civil degree of consanguinity or affinity as the case may !e. Tit-e II

OTHER "ODIES S34tit-e A C 55i66i ! ! H357! Ri89t6 Secti ! 1. Composition and 5ualification. # *he Commission on Human Rights shall !e com osed of a Chairman and four 6;7 Fem!ers who must !e natural#!orn citiAens of the 1hili ines and, at the time of their a ointment, at least thirty#five years of age, and must not have !een candidates for any elective osition in the elections immediately receding their a ointment. However, a ma'ority thereof shall !e mem!ers of the 1hili ine ?ar. Secti ! 2. Po-ers and (unctions. # *he Commission on Human Rights shall2 617 ,nvestigate, on its own or on com laint !y any arty, all forms of human rights violations involving civil and olitical rights" 687 Ado t its o erational guidelines and rules of rocedure, and cite for contem t violations thereof in accordance with the Rules of Court" 697 1rovide a ro riate legal measures for the rotection of human rights of all ersons within the 1hili ines, as well as +ili inos residing a!road, and rovide for reventive measures and legal aid services to the under# rivileged whose human rights have !een violated or need rotection" 6;7 E%ercise visitorial owers over 'ails risons, or detention facilities" 6<7 Esta!lish a continuing rogram of research, education and information to enhance res ect for the rimacy of human rights" 6=7 Recommend to the Congress effective measures to romote human rights and to rovide for com ensation to victims of violations of human rights, or their families" 677 Fonitor the 1hili human rights" ine &overnmentEs com liance with international treaty o!ligations on

6$7 &rant immunity from rosecution to any erson whose testimony or whose ossession of documents or other evidence is necessary or convenient to determine the truth in any investigation conducted !y it or under its authority" 697 Re5uest the assistance of any de artment, !ureau, office, or agency in the erformance of its functions" 61B7 A oint its officers and em loyees in accordance with law" and

6117 1erform such other duties and functions as may !e rovided !y law. Secti ! %. /nhibitions %!ainst Commissioners. # *he Chairman and the Fem!ers of the Commission on Human Rights shall not, during their tenure, hold any other office or em loyment. (either shall they engage in the ractice of any rofession or in the active management or control of any !usiness which in any way will !e affected !y the functions of their office, nor shall they !e financially

interested, directly or indirectly, in any contract with, or in any franchise or rivilege granted !y the government, any of its su!divisions, agencies, or instrumentalities, including government#owned or controlled cor orations or their su!sidiaries. Secti ! &. Term of ,ffice. # *he Chairman and the Fem!ers of the Commission on Human Rights shall !e a ointed !y the 1resident for a term of seven years without rea ointment. A ointment to any vacancy shall !e only for the une% ired term of the redecessor. Secti ! '. Compensation. # *he Chairman and the Fem!ers of the Commission on Human Rights shall receive the same salary as the Chairman and Fem!ers, res ectively, of the Constitutional Commissions, which shall not !e decreased during their term of office. Secti ! (. %nnual %ppropriations. # *he a roved annual a ro riations of the Commission on Human Rights shall !e automatically and regularly released. S34tit-e " O::ice : t9e O543;657! Secti ! 1. Composition. # 617 *he )ffice of the )m!udsman shall !e headed !y the )m!udsman, to !e 3nown as the *anod#!ayan, who shall !e assisted !y one overall >e uty and at least !y one >e uty each for :uAon, @isayas and Findanao. A se arate >e uty for the military esta!lishment may li3ewise !e a ointed. 687 ,t shall have such other officials and em loyees, to !e a according to the Civil Service :aw. ointed !y the )m!udsman

Secti ! 2. Po-ers and (unctions. # *he )ffice of the )m!udsman shall2 617 ,nvestigate on its own, or on com laint !y any erson, any act or omission of any u!lic official, em loyee, office or agency, when such act or omission a ears to !e illegal, un'ust, im ro er, or inefficient" 687 >irect, u on com laint or at its own instance, any u!lic official or em loyee of the &overnment, or any su!division, agency or instrumentality thereof, as well as of any government#owned or controlled cor oration with original charter, to erform and e% edite any act or duty re5uired !y law, or to sto , revent, and correct any a!use or im ro riety in the erformance of duties" 697 >irect the officer concerned to ta3e a ro riate action against a u!lic official or em loyee at fault, and recommend his removal, sus ension, demotion, fine, censure, or rosecution, and ensure com liance therewith" 6;7 >irect the officer concerned, in any a ro riate case, and su!'ect to such limitations as may !e rovided !y law, to furnish it with co ies of documents relating to contracts or transactions entered into !y his office involving the dis!ursement or use of u!lic funds or ro erties, and re ort any irregularity to the Commission on Audit for a ro riate action"

6<7 Re5uest any government agency for assistance and information necessary in the discharge of its res onsi!ilities, and to e%amine, if necessary, ertinent records and documents" 6=7 1u!liciAe matters covered !y its investigation when circumstances so warrant and with due rudence" 677 >etermine the causes of inefficiency" red ta e, mismanagement, fraud, and corru tion in the &overnment and ma3e recommendations for their elimination and the o!servance of high standards of ethics and efficiency" 6$7 1romulgate its rules of rocedure and e%ercise such other owers or erform such functions or duties as may !e rovided !y law. Secti ! %. %ction and Complaints. # *he )m!udsman and his >e uties, as rotectors of the eo le, shall act rom tly on com laint filed in any form or manner against u!lic officials or em loyees of the &overnment, or any su!division, agency or instrumentality thereof, including government#owned or controlled cor orations, and shall, in a ro riate cases, notify the com lainants of the action ta3en and the result thereof. Secti ! &. (iscal %utonomy. # *he )ffice of the )m!udsman shall en'oy fiscal autonomy. ,ts a roved annual a ro riations shall !e automatically and regularly released. S34tit-e C T9e N7ti !7- Ec ! 5ic 7!; De<e- =5e!t A3t9 >it? CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Declaration of Policy. # *he State shall ensure that all socio#economic rograms and activities of the government shall !e rogrammed within the conte%t of well#formulated and consistent long, medium, and short#term develo ment lans and olicies to romote !oth the growth of the economy and the e5uita!le distri!ution of the !enefits of such growth to the mem!ers of society. *o this end, it is recogniAed that the formulation of the re5uired socio#economic develo ment olicies and lans is a vital rocess that calls for the artici ation of the various government agencies and rivate sector institutions and individuals concerned, !oth on national, regional, and local levels. *his rocess of olicy and lan formulation, however needs to !e coordinated closely !y a central government agency to ensure consistency of these lans and olicies and o timal use of the nationEs scarce resources. Secti ! 2. National Economic and >evelo ment Authority. # *he (ational Economic and >evelo ment Authority shall serve as an inde endent lanning agency of the government. Secti ! %. Po-ers and (unctions of the %uthority. # *he owers and functions of the Authority are vested in the (E>A ?oard. *he Authority shall rimarily !e res onsi!le for formulating continuing, coordinated and fully integrated social and economic olicies, lans and rograms, on the !asis of the following2 617 *he State aims to achieve o!'ectives of growth cou led with e5uity"

687 >evelo ment leading to the attainment of the a!ove mentioned goals is a multi#faceted rocess that calls for the coordination and integration of olicies, lans, rograms and ro'ects of all sectors of society" 697 ,n the formulation of !asic olicies, lans, rograms and ro'ects, there shall !e ma%imum artici ation !y and consultation with concerned rivate sector grou s, community organiAations and !eneficiaries and local government units in order to ensure that riority needs are incor orated into such olicies, lans, rograms and ro'ects" 6;7 (ational lans shall !e in fact the sum of nationally and regionally identified targets and strategies and locally formulated a roaches to erceived local needs and riorities, carried out within the framewor3 of national strategies" 6<7 Fa'or socio#economic olicies, lans, rograms and ro'ects of different government agencies must !e ro erly coordinated with the Authority at !oth the national and regional levels rior to their ado tion, in order to ensure their consistency with esta!lished national riorities and coordination with other olicies, lans, rograms and ro'ects of the government" and 6=7 *he lin3age !etween develo ment lanning, rogramming and !udgeting shall !e of the highest riority in lanning and !udgeting activities. *he Authority, after due consultation with the rivate sector, community organiAations and !eneficiaries, local government units and a ro riate u!lic agencies, shall !e res onsi!le for studying, reviewing, formulating and recommending continuing, coordinated and fully integrated economic and develo ment olicies, lans and rograms, including the formulation of annual and medium#term u!lic investment rograms, rogramming official develo ment assistance in the form of grants and concessional loans from foreign governments and multilateral agencies and organiAations and the monitoring and evaluation of lan im lementation. Secti ! &. Composition of the %uthority. # *he Authority shall !e com osed of two se arate and distinct entities2 the ?oard and the Secretariat. CHAPTER 2 NEDA "OARD Secti ! '. Composition of the NED% +oard. # *he (E>A ?oard shall !e com osed of the following2
*he 1resident >irector#&eneral of the (E>A Secretariat E%ecutive Secretary Secretary of +inance Secretary of *rade L ,ndustry Secretary of Agriculture Secretary of Environment L (atural Resources # Chairman # @ice#Chairman # Fem!er # Fem!er # Fem!er # Fem!er # Fem!er

Secretary of 1u!lic Wor3s and Highways Secretary of ?udget and Fanagement Secretary of :a!or L Em loyment Secretary of :ocal &overnment

# Fem!er # Fem!er # Fem!er # Fem!er

*he 1resident may, however, revise the mem!ershi of the (E>A ?oard whenever the same is deemed necessary for the effective erformance of the ?oardEs functions through an administrative or memorandum order. Secti ! (. eetin!s. # *he (E>A ?oard shall meet at least once a month or as fre5uently as is necessary to discharge its res onsi!ilities as called for !y the 1resident. When the 1resident is una!le to attend a meeting, the >irector#&eneral of the (E>A may reside as Chairman, in the a!sence of any 1residential reference. *he 1resident however continues to have the ower to designate from among the mem!ers of the (E>A ?oard the Chairman that can a ro riately re resent the 1resident, to reside over s ecific meetings. Secti ! 7. National Economic Development %uthority /nter&a!ency Committees. # *o assist the (E>A ?oard in the erformance of its functions, there are here!y created the following committees which shall hereafter !e under the direct control of the (E>A ?oard and shall su!mit all their recommendations to the 1resident for a roval on matters involving their res ective concerns. *he Chairman of these committees shall !e designated !y the 1resident. *he (E>A ?oard shall li3ewise determine where the technical staff of the said committees shall !e !ased. 617 >evelo ment ?udget Coordination Committee 6>?CC7 # *he >?CC, to !e com osed of the >irector#&eneral of the (ational Economic >evelo ment Authority Secretariat, the E%ecutive Secretary and the Secretaries of +inance and of ?udget and Fanagement, shall have the following functions2 6a7 Recommend for 1residentEs a roval the level of the annual government e% enditure rogram and the ceiling of government s ending for economic and social develo ment, national defense, general government and de!t service" 6!7 Recommend to the 1resident the ro er allocation of e% enditures for each develo ment activity !etween current o erating e% enditures and ca ital outlay" and 6c7 Recommend to the 1resident the amount set to !e allocated for ca ital outlay under each develo ment activity for the various ca ital or infrastructure ro'ects. 687 ,nvestment Coordination Committee 6,CC7 # *he ,CC to !e com osed of the >irector# &eneral of the (ational Economic >evelo ment Authority Secretariat, the E%ecutive Secretary, the Secretaries of +inance, Agriculture, *rade and ,ndustry and of ?udget and Fanagement and the &overnor of the Central ?an3 shall have the following functions2 6a7 Evaluate the fiscal, monetary and !alance of ayments im lications of ma'or national ro'ects and recommend to the 1resident the timeta!le for the im lementation of these ro'ects on a regular !asis" and

6!7 Recommend to the 1resident a domestic and foreign !orrowing rogram u dated each year" and su!se5uently su!mit to the 1resident a status of fiscal, monetary and !alance of ayments im lications of ma'or national ro'ects. 697 Committee on Social >evelo ment 6S>C7 # *he S>C to !e com osed of the >irector# &eneral of the (ational Economic >evelo ment Authority Secretariat, the E%ecutive Secretary, and the Secretaries of Education, Culture and S orts, :a!or and Em loyment, Health, :ocal &overnment, Agrarian Reform, Agriculture and Social Welfare and >evelo ment shall have the following functions2 6a7 Advise the 1resident and the (E>A ?oard on matters concerning social develo ment, including education, man ower, health and nutrition, o ulation and family lanning, housing, human settlements and the delivery of other social services" 6!7 Coordinate the activities of government agencies concerned with social develo ment" and 6c7 Recommend to the 1resident government olicies, rograms and ro'ects on social develo ment consistent with national develo ment o!'ectives and riorities. 6;7 Committee on ,nfrastructure 6,(+RAC)F7 # the ,(+RAC)F to !e com osed of the >irector#&eneral of the (ational Economic >evelo ment Authority Secretariat, the E%ecutive Secretary, and the Secretaries of 1u!lic Wor3s and Highways, *rans ortation and Communications, +inance, and ?udget and Fanagement shall have the following functions2 6a7 Advise the 1resident and the (E>A ?oard or matters concerning infrastructure develo ment including highways, air orts, sea orts and shore rotection" railways" ower generation, transmission and distri!ution" telecommunications" irrigation, flood control and drainage" water su ly" national !uildings for government offices" hos itals, sanitation and related !uildings" state colleges and universities, elementary and secondary school !uildings" and other u!lic wor3s" 6!7 Coordinate the activities of agencies, including government#owned or controlled cor orations concerned with infrastructure develo ment" and 6c7 Recommend to the 1resident government olicies, rograms and ro'ects concerning infrastructure develo ment consistent with national develo ment o!'ectives and riorities. 6<7 Committee on *ariff and Related Fatters 6*RF7 # *he *RF to !e com osed of the >irector#&eneral of the (ational Economic >evelo ment Authority Secretariat, the E%ecutive Secretary, the Secretaries of *rade and ,ndustry, +oreign Affairs, Agriculture, Environment and (atural Resources and ?udget and Fanagement, the &overnment of the Central ?an3 and the Chairman of the *ariff Commission shall have the following functions2 6a7 Advise the 1resident and the (E>A ?oard on tariff and related matters, and on the effects on the country of various international develo ments" 6!7 Coordinate agency ositions and recommend national ositions for international economic negotiations" and

6c7 Recommend to the 1resident a continuous rationaliAation rogram for the countryEs tariff structure. CHAPTER % NEDA SECRETARIAT Secti ! 8. The NED% Secretariat. # *he Secretariat of (E>A shall have the following functions2 617 Serve as the research and technical su ort arm of the (E>A ?oard"

687 1rovide through its various organiAational units, technical staff su ort and assistance, including the conduct of studies and develo ment of olicy measures and other recommendations, on the various as ects of the su!stantive functions of develo ment lanning and olicy formulation, and coordination, evaluation and monitoring of lan im lementation" 697 Serve as the Secretariat of the (E>A ?oard" and 6;7 1erform such other functions as may !e assigned to it !y the (E>A ?oard to achieve its goals and o!'ectives. Secti ! 9. Structural ,r!anization. # *he (E>A Secretariat shall !e com osed of the >irector# &eneral, three 697 >e uty >irectors#&eneral, five 6<7 Assistant >irectors#&eneral, the (ational >evelo ment )ffice, the Regional >evelo ment )ffice, the Central Su ort )ffice and the Regional )ffices. Secti ! 1). Director&General. # *he >irector#&eneral shall head the Secretariat and shall li3ewise serve as @ice#Chairman of the (E>A ?oard. He shall !e a ointed !y the 1resident and shall carry the ran3 and title of Secretary of Socio#Economic 1lanning and shall !e a mem!er of the Ca!inet. As Chief E%ecutive )fficer, he shall e%ercise general su ervision and control over its technical and administrative ersonnel. Secti ! 11. Deputy Directors&General. # *he >irector &eneral shall !e assisted !y three 697 >e uty >irectors#&eneral to !e a ointed !y the 1resident, one to !e res onsi!le for the (ational >evelo ment )ffice, one, for the Regional >evelo ment )ffice and one, for the Central Su ort )ffice. Secti ! 12. %ssistant Directors&General. # *he >irector#&eneral shall also !e assisted !y five 6<7 Assistant >irectors#&eneral to !e a ointed !y the 1resident, who shall !e assigned to assist the >e uty >irectors#&eneral in their tas3s of coordinating and su ervising their res ective )ffices. Secti ! 1%. National Development ,ffice. # *he (ational >evelo ment )ffice shall rovide technical staff su ort as may !e re5uired !y the (E>A ?oard in coordinating the formulation of national and sectoral olicies, lans and rograms" monitor macro#economic and sectoral erformances" re are the necessary economic re orts" conduct economic and develo ment studies on macro#level lans and olicies" and erform such other a ro riate lanning tas3s as may !e assigned !y the >irector# &eneral. ,t shall !e com osed of the following2

617 (ational 1lanning and 1olicy Staff" 687 Agriculture Staff" 697 *rade, ,ndustry and 0tilities Staff" 6;7 ,nfrastructure Staff" 6<7 Social >evelo ment Staff" and 6=7 1u!lic ,nvestment Staff. Secti ! 1&. #e!ional Development ,ffice. # *he Regional >evelo ment )ffice shall rovide technical staff su ort as may !e re5uired !y the im lementing agencies in the regions" monitor regional and inter#regional develo ment olicies, lans and rograms" re are integrated re orts on regional lanning" conduct studies on regional develo ment olicies" and erform such other lanning tas3s as may !e assigned !y the >irector#&eneral. ,t shall !e com osed of the following2 617 Regional >evelo ment Coordination Staff" 687 1ro'ect Fonitoring Staff" and 697 Regional )ffices. ,n each of the administrative regions, there shall !e a regional office which shall !e headed !y a Regional >irector who shall re ort to the >e uty >irector#&eneral for Regional >evelo ment )ffice. *he Regional >irector shall !e a ointed !y the 1resident. Secti ! 1'. Central Support ,ffice. # *he Central Su ort )ffice shall !e res onsi!le for roviding technical assistance and su ort services to the SecretariatEs organiAational units in the areas of develo ment administration, internal management im rovement, legal services, develo ment information, administrative services, and erform such other su ort service tas3s as may !e assigned !y the >irector#&eneral. ,t shall !e com osed of the following2 617 Fanagement Staff" 687 :egal Staff" 697 Administrative Staff" 6;7 Fanagement ,nformation System Staff" and 6<7 >evelo ment ,nformation Staff. CHAPTER & ATTACHED AGENCIES

Secti ! 1(. #etained %!encies. # *he following agencies, currently attached to the Authority, shall continue to !e so attached for ur oses of su ervision" 617 1hili 687 1hili ine ,nstitute for >evelo ment Studies2 ine (ational @olunteer Service Coordinating Agency" and

697 *ariff Commission. *he Authority shall arrange for the transfer of the functions of the following agencies to the Regional >evelo ment Councils concerned or other agencies as may !e a ro riate2 617 Galinga S ecial >evelo ment Region" 687 :aguna :a3e >evelo ment Authority" 697 :eyte Sa!#A ?asin >evelo ment Authority. *he (ational Council for ,ntegrated Area >evelo ment 6(AC,A>7 and the Central @isayas Regional 1ro'ects )ffice 6C@R1)7 are here!y transferred to the Authority which shall, within one 617 year from the date of effectivity of this Code, recommend their transfer to the a ro riate de artment in con'unction with the >e artment of ?udget and Fanagement. *he Authority shall further review the functions and activities of all other ,ntegrated Area >evelo ment rograms and ro'ects and any other rograms re5uiring multi#sectoral andHor multi#disci linary a roaches in order to recommend the a ro riate dis osition and su ervision of the same. *he Authority shall furthermore review the mandate, o!'ectives and functions of all develo ment authorities in order to recommend such dis ositions or revisions of their charters, as may !e deemed advisa!le. "OO# VI NATIONA$ GOVERNMENT "UDGETING CHAPTER 1 GENERA$ PROVISIONS Secti ! 1. Constitutional Policies on the +ud!et. # 617 All a ro riations, revenue or tariff !ills, !ills authoriAing increase of the u!lic de!t, !ills of local a lication, and rivate !ills shall originate e%clusively in the House of Re resentatives !ut the Senate may ro ose or concur with amendments. 687 *he Congress may not increase the a ro riations recommended !y the 1resident for the o eration of the &overnment as s ecified in the !udget. *he form, content and manner of re aration of the !udget shall !e rescri!ed !y law. 697 (o rovision or enactment shall !e em!raced in the general a ro riations !ill unless it relates s ecifically to some articular a ro riation to which it relates.

6;7 *he rocedures in a roving a ro riations for the Congress shall strictly follow the rocedure for a roving a ro riations for other de artments and agencies. 6<7 A s ecial a ro riations !ill shall s ecify the ur ose for which it is intended, and shall !e su orted !y funds actually availa!le as certified !y the (ational *reasurer or to !e raised !y a corres onding revenue ro osal therein. 6=7 (o law shall !e assed authoriAing any transfer of a ro riations. However, the 1resident, the 1resident of the Senate, the S ea3er of the House of Re resentatives, the Chief Custice of the Su reme Court and the heads of Constitutional Commissions may, !y law, !e authoriAed to augment any item in the general a ro riations laws for their res ective offices from savings in other items of their res ective a ro riations. 677 >iscretionary funds a ro riated for articular official shall !e dis!ursed only for u!lic ur oses to !e su orted !y a ro riate vouchers and su!'ect to such guidelines as may !e rescri!ed !y law. 6$7 ,f, !y the end of any fiscal year, the Congress shall have failed to ass the general a ro riations !ill for the ensuing fiscal year, the general a ro riations law for the receding fiscal year shall !e deemed reenacted and shall remain in force and effect until the general a ro riations !ill is assed !y the Congress. 697 +iscal autonomy shall !e en'oyed !y the Cudiciary, Constitutional Commissions, )ffice of the )m!udsman, :ocal &overnment and Commission on Human Rights. Secti ! 2. Definition of Terms. # When used in this ?oo32 617 4A ro riation4 refers to an authoriAation made !y law or other legislative enactment, directing ayment out of government funds under s ecified conditions or for s ecified ur oses. 687 4Allotment4 refers to an authoriAation issued !y the >e artment of the ?udget to an agency, which allows it to incur o!ligation for s ecified amounts contained in a legislative a ro riation. 697 4?udget4 refers to a financial lan re5uired to !e re ared ursuant to Section 1= 617 , Article @,,, of the Constitution, reflective of national o!'ectives, strategies and rograms. 6;7 4Current o erating e% enditures4 refers to a ro riations for the urchase of goods and services for current consum tion or for !enefits e% ected to terminate within the fiscal year. 6<7 4Ca ital outlay4 or 4ca ital e% enditures4 refers to an a ro riation for the urchase of goods and services, the !enefits of which e%tend !eyond the fiscal year and which add to the assets of the &overnment, including investments in the ca ital of government#owned or controlled cor orations and their su!sidiaries. 6=7 4Continuing a ro riation4 refers to an a ro riation availa!le to su ort o!ligations for a s ecified ur ose or ro'ect, even when these o!ligations are incurred !eyond the !udget year.

677 4E% ected result4 means service, roduct, or !enefit that will accrue to the u!lic, estimated in terms of erformance measures or targets. 6$7 4+iscal year4 refers to the eriod !eginning with the first day of Canuary and ending with the thirty#first day of >ecem!er of each calendar year. 697 *he 4&overnment4 means the (ational &overnment, including the E%ecutive, the :egislative and the Cudicial ?ranches, and the Constitutional Commissions. 61B7 4>e artment and agency4 and 4de artment or agency4 include all de artments, !ureaus, offices, !oards, commissions, courts, tri!unals, councils, authorities, administrations, centers, institutes, state colleges and universities, and all other esta!lishments and instrumentalities of the (ational &overnment as defined in the receding aragra h. 6117 4)!ligation4 refers to an amount committed to !e aid !y the &overnment for any lawful act made !y an authoriAed officer for and in !ehalf of the &overnment. 6187 41rogram4 refers to the functions and activities necessary for the erformance of a ma'or ur ose for which a government agency is esta!lished. 6197 41ro'ect4 means a com onent of a rogram covering a homogenous grou of activities that results in the accom lishment of an identifia!le out ut. CHAPTER 2 "UDGET PO$ICY AND APPROACH Secti ! %. Declaration of Policy. # ,t is here!y declared the olicy of the State to formulate and im lement a (ational ?udget that is an instrument of national develo ment, reflective of national o!'ectives, strategies and lans. *he !udget shall !e su ortive of and consistent with the socio# economic develo ment lan and shall !e oriented towards the achievement of e% licit o!'ectives and e% ected results, to ensure that funds are utiliAed and o erations are conducted effectively, economically and efficiently. *he national !udget shall !e formulated within the conte%t of a regionaliAed government structure and !orrowings of all levels of government and of government# owned or controlled cor orations. *he !udget shall li3ewise !e re ared within the conte%t of the national long#term lan and of a long#term !udget rogram. Secti ! &. Plannin! and +ud!etin! "in.a!e. # *he !udget shall !e formulated as an instrument for the attainment of national develo ment goals and as art of the lanning# rogramming#!udgeting continuum. :evels of revenue, e% enditure and de!t shall !e esta!lished in relation to macro# economic targets of growth, em loyment levels, and rice level change, and shall !e develo ed consistent with domestic and foreign de!t, domestic credit and !alance of ayments o!'ectives for the !udget eriod. *he aggregate magnitudes of the !udget shall !e determined in close consultation among the lanning and fiscal agencies of government. ?udgetary riorities shall !e those s ecified in the a roved national lans, 3ee ing in mind the ca a!ility and erformance of the im lementing agencies concerned. Agency !udget ro osals shall e% licitly state lin3age to a roved agency lans. Secti ! '. National #esource +ud!et. # *he finances of government shall !e analyAed and determined as the aggregate of revenue, e% enditure and de!t of all units of government, including the national government and its agencies and instrumentalities, local government units and government#owned or controlled cor orations. *he national government !udget shall !e evolved

within the framewor3 of the total im act of government activity on the national economy. *he !udgets of government cor orations and local governments shall !e consistent in form and timing with that of the national government, to facilitate com rehensive evaluation. Secti ! (. #e!ional +ud!etin!. # *he !udgets of national government agencies shall ta3e into full and e% licit consideration the goals, lans and re5uirements of their res ective regional offices, in the interest of full government res onse to local thin3ing and initiative. *he !udget re aration rocess shall originate at regional and local levels, and shall !e consolidated and reviewed !y the central offices of the various national agencies. *he regional develo ment strategies and lans, including hysical framewor3 and resource#use lans, shall !e considered in the re aration of the !udget. Secti ! 7. "on! Term +ud!etin!. # *he annual !udgets of the national government shall !e re ared as an integral art of a long#term !udget icture. *he long#term economic and hysical framewor3 lans of government, multi#year re5uirements of a roved rograms and ro'ects, organiAational and ersonnel develo ment strategies, and other commitments entered into or otherwise assumed !y government shall !e s ecified in the !udget rocess. Secti ! 8. Development Pro8ects. # *he develo ment rocess re5uires the im lementation of ma'or develo ment ro'ects of such siAe as to significantly affect the infrastructure rogram, de!t ceilings, the !alance of ayments, domestic credit, and government e% enditure levels. *he !udget rocess shall formally consider the timing of ma'or national ro'ects, in order to ensure the o!servance of esta!lished fiscal, monetary, international ayments, and other constraints. Secti ! 9. Performance and (inancial #evie-. # *he analysis of agency o erating erformance, the evaluation of erformance, the evaluation of erformance relative to costs incurred and the review of agency o erating systems and rocedures are inherent arts of the !udget rocess. Agencies shall therefore design and im lement 617 management information systems yielding !oth erformance and financial information which will ade5uately monitor and control !udget im lementation, and 687 im rovements in o erating systems, rocedures and ractices, so as to ensure that the targets a roved in !udget authoriAation are in fact attained at minimum cost. Secti ! 1). Compensation and Position Classification. # *he siAe of ersonnel services e% enditures relative to the total !udget and the num!er of agencies and ersonnel in government call for an effective national com ensation and osition classification olicy. *he Constitutional rinci le of a single com ensation scheme for the government and its instrumentalities is one of the !ases of the government !udget rocess. CHAPTER % "UDGET PREPARATION Secti ! 11. Submission of the +ud!et. # *he 1resident shall, in accordance with Section 88 617, article @,, of the Constitution, su!mit within thirty 69B7 days from the o ening of each regular session of the Congress as the !asis for the re aration of the &eneral A ro riations Act, a national government !udget estimated recei ts !ased on e%isting and ro osed revenue measures, and of estimated e% enditures. *he 1resident shall include in the !udget su!mission the ro osed e% enditure level of the :egislative and Cudicial ?ranches and of Constitutional !odies, which shall have undergone the same rocess of evaluation and which shall have !een su!'ect to the same !udgetary olicies and standards a lica!le to agencies in the E%ecutive ?ranch.

*he 1resident may transmit to the Congress from time to time, such ro osed su lemental or deficiency a ro riations as are, in his 'udgment, 617 necessary on account of laws enacted after the transmission of the ?udget, or 687 otherwise needed in the u!lic interest. Secti ! 12. (orm and Content of the +ud!et. # *he !udget ro osal of the 1resident shall include current o erating e% enditures and ca ital outlays. ,t shall com rise such funds as may !e necessary for the o eration of the rograms, ro'ects and activities of the various de artments and agencies. *he ro osed &eneral A ro riations Act and other A ro riations Acts necessary to cover the !udget ro osals shall !e su!mitted to the Congress to accom any the 1residentEs !udget su!mission. *he !udget shall !e resented to the Congress in such form and content as may !e a 1resident and may include the following2 roved !y the

617 A !udget message setting forth in !rief the governmentEs !udgetary thrusts for the !udget year, including their im act on develo ment goals, monetary and fiscal o!'ectives, and generally on the im lications of the revenue, e% enditure and de!t# ro osals" and 687 Summary financial statements setting forth2 6a7 Estimated e% enditures and ro osed a ro riations necessary for the su ort of the &overnment for the ensuing fiscal year, including those financed from o erating revenues and from domestic and foreign !orrowings" 6!7 Estimated recei ts during the ensuing fiscal year under laws e%isting at the time the !udget is transmitted and under the revenue ro osals, if any, forming art of the yearEs financing rogram" 6c7 Actual a year" ro riations, e% enditures, and recei ts during the last com leted fiscal

6d7 Estimated e% enditures and recei ts and actual or ro osed a during the fiscal year in rogress"

ro riations

6e7 Statements of the condition of the (ational *reasury at the end of the last com leted fiscal year, the estimated condition of the *reasury at the end of the fiscal year in rogress and the estimated condition of the *reasury at the end of the ensuing fiscal year, ta3ing into account the ado tion of financial ro osals contained in the !udget and showing, at the same time, the unencum!ered and uno!ligated cash resources" 6f7 Essential facts regarding the !onded and other long#term o!ligations and inde!tedness of the &overnment, !oth domestic and foreign, including identification of reci ients of loan roceeds" and 6g7 Such other financial statements and data as are deemed necessary or desira!le in order to ma3e 3nown in reasona!le detail the financial condition of the government.

Secti ! 1%. +ud!et "evels. # *he ordinary income of government shall !e used rimarily to rovide a ro riations for current o erations, e%ce t in case of a national emergency or serious financial stress, the e%istence of which has !een duly roclaimed !y the 1resident. *he level of aggregate revenue e% enditure and de!t shall !e 'ointly recommended to the 1resident !y the >e artment of ?udget and Fanagement, the >e artment of +inance, the (ational Economic and >evelo ment Authority and the Central ?an3 of the 1hili ines, acting within the >evelo ment ?udget Coordination Committee of the (ational Economic and >evelo ment Authority. (o a ro riations for current o erations and ca ital outlays of the &overnment shall !e ro osed unless the amount involved is covered !y the ordinary income, or unless it is su orted !y a ro osal creating additional sources of funds or revenue, including those generated from domestic and foreign !orrowings, sufficient to cover the same. :i3ewise, no a ro riation for any e% enditure, the amount of which is not covered !y the estimated income from the e%isting sources of revenue or availa!le current sur lus, may !e ro osed, unless it is su orted !y a ro osal creating an additional source of funds sufficient to cover the same. 1ro osals creating additional sources of funds shall !e re ared in the form of revenue !ills. *he rovisions of this section shall not !e construed as im airing in any way the ower of the Congress to enact revenue and a ro riation !ills, nor the authority of the 1resident to ro ose s ecial revenue and a ro riation !ills after the su!mission of the !udget. Secti ! 1&. +ud!et Estimates. # Each head of de artment, office or agency of the (ational &overnment, including the :egislative and Cudicial ?ranches, and including government owned or controlled cor orations, shall su!mit his re5uest for a ro riations to the >e artment of ?udget in accordance with the !udget calendar, format, and such rules and regulations as may !e issued in im lementation of this >ecree. *he !udget estimates of agencies shall include the following information2 617 )!'ectives, functions, activities, rograms and ro'ects showing the general character and relative im ortance of the wor3 to !e accom lished or the services to !e rendered, and the rinci al elements of cost involved" 687 :in3age of the wor3 and financial ro osals to a roved develo ment lans"

697 Estimated current o erating e% enditures and ca ital outlays, with com arative data for the receding and current !udget years" 6;7 ,dentification !y region, ursuant to olicies on the regionaliAation of government o erations" 6<7 +inancial sources, reflecting all revenues, roceeds of foreign and domestic !orrowings, and other sources, articularly those which accrue to the &eneral +unds" 6=7 Contingent lia!ilities, including national government guarantees of o!ligations of government#owned or controlled cor orations and their su!sidiaries" 677 ?rief descri tion of the ma'or thrusts and riority rograms and ro'ects for the !udget year, results e% ected for each !udgetary rogram and ro'ect, the nature of wor3 to !e

erformed, estimated costs er unit of wor3 measurement, including the various o!'ects of e% enditure for each ro'ect" 6$7 )rganiAation charts and staffing atterns indicating the list of e%isting and ro osed ositions with corres onding salaries, and ro osals for osition classification and salary changes, duly su orted !y ade5uate 'ustification. Secti ! 1'. #e!ional +ud!et. # *he ?udgets of national government agencies shall !e re ared ta3ing into full and careful consideration the o ortunities and re5uirements s ecific to the various regions of the country. Where they are organiAed, regional offices shall originate agency !udget ro osals, in accordance with a roved riorities and guidelines. Agencies which are not regionaliAed shall nonetheless estimate the amounts lanned to !e s ent for each region of the country. *he Secretary shall identify !y region the e% enditure rograms of the national government agencies in the national government !udget, and release funds to national government agencies in accordance with the a roved regional distri!ution of e% enditures, s ecifying the region of destination. >e artments and agencies shall su!#allot in full and without the im osition of reserves, the a roved !udget allocation of their various regional offices, e%ce t as may !e authoriAed !y the Secretary, in case realignment of e% enditures rove to !e necessary in the course of !udget e%ecution. *he Secretary shall issue the rules and regulations needed to im lement the rovisions of this section. Secti ! 1(. +ud!et Evaluation. # Agency ro osals shall !e reviewed on the !asis of their own merits and not on the !asis of a given ercentage or eso increase or decrease from a rior yearEs !udget level, or other similar rule of thum! that is not !ased on s ecific 'ustification. 1ro osed activities, whether new or ongoing, shall !e evaluated using a Aero#!ase a roach and on the !asis of 617 relationshi with the a roved develo ment lan, 687 agency ca a!ility as demonstrated !y ast erformance, 697 com lemental role with related activities of other agencies, and 6;7 other similar criteria. *he realiAation of savings in a given !udget year and the conse5uent non#utiliAation of funds a ro riated or released to a given agency shall not !e a negative factor in the !udget evaluation for a su!se5uent year. Secti ! 17. (orei!n&%ssisted Pro8ects. # *he !udgetary im lications of foreign#assisted ro'ects shall !e e% licitly considered at the time of ro'ect design and financing negotiation. *he ro'ect study shall s ecify the cash flow re5uirements of the ro'ect, among others, for 617 ayment of rinci al and interest, 687 eso com onent of ca ital costs and ro'ect re aration, 697 infrastructure and su ort facilities needed to !e directly financed !y government, 6;7 o erating and other e% enditures which will !e ultimately re5uired for &eneral +und su ort when the ro'ect is im lemented, and 6<7 eso re5uirements needed as counter art. *he concurrence of the >e artment of ?udget and Fanagement shall !e o!tained with res ect to eso re5uirements and im lication on e% enditure ceilings. Secti ! 18. Coordinatin! +odies. # *he !udgets of coordinating agencies, councils, tas3 forces, authorities, committees, or other similar !odies shall !e limited to and used to fund only such lanning, coordinating and monitoring functions as are assigned to it. +unds for im lementation shall !e !udgeted and released to the line im lementing agencies concerned" rovided, that the !udgets of coordinating !odies may include a lum #sum for ur oses related to their assigned functions, which lum #sum shall !e su!#allotted to im lementing agencies and not used !y the agency for its own o erations2 rovided, further, that funds !udgeted for a given agency falling within the

'urisdiction of a coordinating !ody, may !e su!'ect to release u on a agency of such release or of the agencyEs wor3 rogram.

roval !y the coordinating

Secti ! 19. +ud!etary #e$uirements of Government&,-ned or Controlled Corporations. # *he internal o erating !udgets of government#owned or controlled cor orations and of chartered institutions shall !e a roved !y their res ective governing !oards in accordance with a !udget calendar and format as may !e a roved !y the 1resident2 1rovided, that such !udgets shall !e su!'ect to review and a roval as art of the !udget rocess in cases where national government !udgetary su ort is needed, in terms of 6a7 ca ital or e5uity in uts, 6!7 o erating contri!utions to su ort s ecific activities underta3en !y the institution as art of its regular functions, and 6c7 guarantee of the national government for o!ligations or contracts entered into !y the cor orations2 rovided, further, that the su!mission of interim financial statements may !e re5uired !y the Secretary. Secti ! 2). Ta2 and Duty E2emptions. # All units of government, including government#owned or controlled cor orations, shall ay income ta%es, customs duties and other ta%es and fees as are im osed under revenue law2 rovided, that organiAations otherwise e%em ted !y law for the ayment of such ta%esHduties may as3 for a su!sidy from the &eneral +und in the e%act amount of ta%esHduties due2 1rovided, further, that a rocedure shall !e esta!lished !y the Secretary of +inance and the Secretary of the ?udget, where!y such su!sidies shall automatically !e considered as !oth revenue and e% enditure of the &eneral +und. Secti ! 21. %ppropriation for Personal Services. # A ro riations for ersonal services shall !e considered as included in the amount s ecified for each !udgetary rogram and ro'ect of each de artment, ?ureau, office or agency, and shall not !e itemiAed. *he itemiAation of ersonal services shall !e re ared !y the Secretary for consideration and a roval of the 1resident as rovided in Section 89 hereof2 1rovided, *hat itemiAation of ersonal services shall !e re ared for all agencies of the :egislative, E%ecutive and Cudicial ?ranches and the Constitutional !odies, e%ce t as may !e otherwise a roved !y the 1resident for ositions concerned with national security matters. Secti ! 22. Department %pproval of Proposed %ppropriations. # (o legislative ro osal which, if enacted, would authoriAed su!se5uent a ro riations, shall !e transmitted to the 1resident !y any !ureau or agency without the rior a roval of the Head of the >e artment concerned or !y the Chairman or Chief E%ecutive )fficer of a Ca!inet level !ody which coordinates the multi#sectoral formulation and im lementation of a articular rogram of e% enditure involving one or more de artments. (o legislative ro osal involving the a ro riation of funds shall !e transmitted to the Congress without the a roval of the 1resident. CHAPTER & "UDGET AUTHORI+ATION Secti ! 2%. Content of the General %ppropriations %ct. # *he &eneral A ro riations Act shall !e resented in the form of !udgetary rograms and ro'ects for each agency of the government, with the corres onding a ro riations for each rogram and ro'ect, including statutory rovisions of s ecific agency or general a lica!ility. *he &eneral A ro riations Act shall not contain any itemiAation of ersonal services, which shall !e re ared !y the Secretary after enactment of the &eneral A ro riations Act, for consideration and a roval of the 1resident. Secti ! 2&. Prohibition %!ainst the /ncrease of %ppropriation. # *he Congress shall in no case increase the a ro riation of any ro'ect or rogram of any de artment, !ureau, agency or office of the &overnment over the amount su!mitted !y the 1resident in his !udget ro osal. ,n case of any

reduction in the ro osed a ro riation for a ro'ect or rogram, a corres onding reduction shall !e made in the total a ro riation of the de artment, office or agency concerned and in the total of the &eneral A ro riations ?ill. Secti ! 2'. Prohibition %!ainst Enactment of %dditional Special Provisions. # *he Congress shall not add s ecial rovisions in the !udget earmar3ing the use of a ro riations for s ecific rograms or activities nor shall it increase the amounts s ecified in s ecial rovisions !eyond those ro osed !y the 1resident. Secti ! 2(. %utomatic %ppropriations. # All e% enditures for 617 ersonnel retirement remiums, government service insurance, and other similar fi%ed e% enditures, 687 rinci al and interest on u!lic de!t, 697 national government guarantees of o!ligations which are drawn u on, are automatically a ro riated2 rovided, that no o!ligations shall !e incurred or ayments made from funds thus automatically a ro riated e%ce t as issued in the form of regular !udgetary allotments. Secti ! 27. Supplemental %ppropriations. # All a ro riation ro osals shall !e included and considered in the !udget re aration rocess. After the 1resident shall have su!mitted the ?udget, no su lemental a ro riation measure su orted from e%isting revenue measures shall !e assed !y the Congress. However, su lemental or deficiency a ro riations involving the creation of new offices, rograms or activities may !e enacted if accom anied and su orted !y new revenue sources. Secti ! 28. #eversion of )ne2pended +alances of %ppropriations* Continuin! %ppropriations. # 0ne% ended !alances of a ro riations authoriAed in the &eneral A ro riation Act shall revert to the una ro riated sur lus of the &eneral +und at the end of the fiscal year and shall not thereafter !e availa!le for e% enditure e%ce t !y su!se5uent legislative enactment2 1rovided, that a ro riations for ca ital outlays shall remain valid until fully s ent or reverted2 rovided, further, that continuing a ro riations for current o erating e% enditures may !e s ecifically recommended and a roved as such in su ort of ro'ects whose effective im lementation calls for multi#year e% enditure commitments2 rovided, finally, that the 1resident may authoriAe the use of savings realiAed !y an agency during given year to meet non#recurring e% enditures in a su!se5uent year. *he !alances of continuing a ro riations shall !e reviewed as art of the annual !udget re aration rocess and the re aration rocess and the 1resident may a rove u on recommendation of the Secretary, the reversion of funds no longer needed in connection with the activities funded !y said continuing a ro riations. Secti ! 29. "oan Proceeds. # E% enditures funded !y foreign and domestic !orrowings shall !e included within the e% enditure rogram of the agency concerned. :oan roceeds, whether in cash or in 3ind, shall not !e used without the corres onding release of funds through a S ecial ?udget as herein rovided. Secti ! %). Contin!ent "iabilities. # &overnment agencies, articularly government#owned or controlled cor orations, shall eriodically re ort to the Secretary of +inance and the Secretary of ?udget on the status of o!ligations they have entered into and which are the su!'ect of government guarantees. Secti ! %1. "iability for )nauthorized Printin! Press #evisions. # ,t shall !e unlawful for any erson to ma3e any unauthoriAed revision of any figure, te%t or rovision in the &eneral A ro riations Act and in the other !udget documents during or in the rocess of the rinting. Any unauthoriAed change made either !y addition, modification or deletion, shall !e null and void.

1ersons who, in violation of this section, ma3e any unauthoriAed revision in the !udget documents, shall !e criminally lia!le for falsification of legislative documents under the Revised 1enal Code. When the offender is a government official or em loyee, he shall, in addition to criminal rosecution, !e dismissed from the service. CHAPTER ' "UDGET EXECUTION Secti ! %2. )se of %ppropriated (unds. # All moneys a ro riated for functions, activities, ro'ects and rograms shall !e availa!le solely for the s ecific ur oses for which these are a ro riated. Secti ! %%. %llotment of %ppropriations. # AuthoriAed a with the rocedure outlined hereunder2 ro riations shall !e allotted in accordance

617 A ro riations authoriAed for any >e artment or agency of the &overnment may !e made availa!le for e% enditure when the head of each >e artment or agency su!mits to the Secretary a re5uest for allotment of funds showing the estimated amounts needed for each function, activity or ur ose for which the funds are to !e e% ended during the a lica!le allotment eriod. *he form and the time of su!mission of the re5uest for allotment showing the ro osed 5uarterly allotments of the whole authoriAed a ro riation for the de artment or agency, shall !e rescri!ed !y the Secretary. 687 ,n the administration of the allotment system herein rovided, each calendar year shall !e divided into four 5uarterly allotment eriods !eginning, res ectively, on the first day of Canuary, A ril, Culy and )cto!er. ,n any case where the 5uarterly allotment eriod is found to !e im ractical or otherwise undesira!le, the Secretary may rescri!e a different eriod suited to the circumstances. 697 Re5uest for allotment shall !e a roved !y the Secretary who shall ensure that e% enditures are covered !y a ro riations !oth as to amount and ur ose and who shall consider the ro!a!le needs of the de artment or agency for the remainder of the fiscal year or eriod for which the a ro riation was made. 6;7 At the end of every 5uarter, each de artment or agency shall re ort to the Secretary the current status of its a ro riations, the cumulative allotments, o!ligations incurred or li5uidated, total dis!ursements, unli5uidated o!ligations and une% ended !alances and the results of e% ended a ro riations. 6<7 Releases of funds a ro riated for a given agency may !e made to its regional offices if dictated !y the need and urgency of regional activities. 6=7 *he Secretary shall have authority to modify or amend any allotment reviously issued. ,n case he shall find at any time that the ro!a!le recei ts from ta%es or other sources of any fund will !e less than antici ated and that as a conse5uence the amount availa!le for the remainder of the term of the a ro riations or for any allotment eriod will !e less than the amount estimated or allotted therefor, he shall, with the a roval of the 1resident and after notice to the de artment or agency concerned, reduce the amount or amounts allotted so as to conform to the targeted !udgetary goals. 677 *he Secretary shall maintain a control record showing 5uarterly !y funds, accounts, and other suita!le classifications, the amounts a ro riated" the estimated revenues, the actual

revenues or recei ts, the amounts allotted and availa!le for e% enditures, the unli5uidated o!ligations, actual !alances on hand, and the unencum!ered !alance of the allotments for each de artment or agency of the &overnment. Secti ! %&. Pro!ram of E2penditure. # *he Secretary of ?udget shall recommend to the 1resident the yearEs rogram of e% enditure for each agency of the government on the !asis of authoriAed a ro riations. *he a roved e% enditure rogram shall constitute the !asis for fund release during the fiscal eriod, su!'ect to such olicies, rules and regulations as may !e a roved !y the 1resident. Secti ! %'. Special +ud!ets for "ump&Sum %ppropriations. # E% enditures from lum #sum a ro riations authoriAed for any ur ose or for any de artment, office or agency in any annual &eneral A ro riations Act or other Act and from any fund of the (ational &overnment, shall !e made in accordance with a s ecial !udget to !e a roved !y the 1resident, which shall include !ut shall not !e limited to the num!er of each 3ind of osition, the designations, and the annual salary ro osed for which an a ro riation is intended. *his rovision shall !e a lica!le to all revolving funds, recei ts which are automatically made availa!le for e% enditure for certain s ecific ur oses, aids and donations for carrying out certain activities, or de osits made to cover to cost of s ecial services to !e rendered to rivate arties. 0nless otherwise e% ressly rovided !y law, when any ?oard, head of de artment, chief of !ureau or office, or any other official, is authoriAed to a ro riate, allot, distri!ute or s end any lum #sum a ro riation or s ecial, !ond, trust, and other funds, such authority shall !e su!'ect to the rovisions of this section. ,n case of any lum #sum a ro riation for salaries and wages of tem orary and emergency la!orers and em loyees, including contractual ersonnel, rovided in any &eneral A ro riation Act or other Acts, the e% enditure of such a ro riation shall !e limited to the em loyment of ersons aid !y the month, !y the day, or !y the hour. Secti ! %(. Cash +ud!ets. # An o erational cash !udget shall !e im lemented to ensure the availa!ility of cash resources for riority develo ment ro'ects and to esta!lish a sound !asis for determining the level, ty e and timing of u!lic !orrowings. *he rocedure, formal, accounts, and other details necessary for the e%ecution, monitoring and control as ects of the system shall !e determined 'ointly !y the Secretary of +inance, the Secretary of the ?udget and the Chairman of the Commission on Audit. Secti ! %7. Creation of %ppropriation #eserves. # *he Secretary may esta!lish reserves against a ro riations to rovide for contingencies and emergencies which may arise later in the calendar year and which would otherwise re5uire deficiency a ro riations. *he esta!lishment of a ro riation reserves shall not necessarily mean that such ortion of the a ro riation will not !e made availa!le for e% enditure. Should conditions change during the fiscal year 'ustifying the use of the reserve, necessary ad'udgments may !e made !y the Secretary when re5uested !y the de artment, official or agency concerned. Secti ! %8. Suspension of E2penditure of %ppropriations. # E%ce t as otherwise rovided in the &eneral A ro riations Act and whenever in his 'udgment the u!lic interest so re5uires, the 1resident, u on notice to the head of office concerned, is authoriAed to sus end or otherwise sto further e% enditure of funds allotted for any agency, or any other e% enditure authoriAed in the &eneral A ro riations Act, e%ce t for ersonal services a ro riations used for ermanent officials and em loyees.

Secti ! %9. %uthority to )se Savin!s in %ppropriations to Cover Deficits. # E%ce t as otherwise rovided in the &eneral A ro riations Act, any savings in the regular a ro riations authoriAed in the &eneral A ro riations Act for rograms and ro'ects of any de artment, office or agency, may, with the a roval of the 1resident, !e used to cover a deficit in any other item of the regular a ro riations2 rovided, that the creation of new ositions or increase of salaries shall not !e allowed to !e funded from !udgetary savings e%ce t when s ecifically authoriAed !y law2 rovided, further, that whenever authoriAed ositions are transferred from one rogram or ro'ect to another within the same de artment, office or agency, the corres onding amounts a ro riated for ersonal services are also deemed transferred, without, however increasing the total outlay for ersonal services of the de artment, office or agency concerned. Secti ! &). Certification of %vailability of (unds. # (o funds shall !e dis!ursed, and no e% enditures or o!ligations chargea!le against any authoriAed allotment shall !e incurred or authoriAed in any de artment, office or agency without first securing the certification of its Chief Accountant or head of accounting unit as to the availa!ility of funds and the allotment to which the e% enditure or o!ligation may !e ro erly charged. (o o!ligation shall !e certified to accounts aya!le unless the o!ligation is founded on a valid claim that is ro erly su orted !y sufficient evidence and unless there is ro er authority for its incurrence. Any certification for a non#e%istent or fictitious o!ligation andHor creditor shall !e considered void. *he certifying official shall !e dismissed from the service, without re'udice to criminal rosecution under the rovisions of the Revised 1enal Code. Any ayment made under such certification shall !e illegal and every official authoriAing or ma3ing such ayment, or ta3ing art therein or receiving such ayment, shall !e 'ointly and severally lia!le to the government for the full amount so aid or received. Secti ! &1. Prohibition %!ainst the /ncurrence of ,verdraft. # Heads of de artments, !ureaus, offices and agencies shall not incur nor authoriAe the incurrence of e% enditures or o!ligations in e%cess of allotments released !y the Secretary for their res ective de artments, offices and agencies. 1arties res onsi!le for the incurrence of overdrafts shall !e held ersonally lia!le therefor. Secti ! &2. %d8ustment of %ppropriations for #eor!anization. # When under authority of law, a function or an activity is transferred or assigned from one agency to another, the !alances of a ro riations which are determined !y the head of such de artment to !e availa!le and necessary to finance or discharge the function or activity so transferred or assigned may, with the a roval of the 1resident, !e transferred to and !e made availa!le for use !y the agency to which said function or activity is transferred or assigned for the ur ose for which said funds were originally availa!le. ?alances so transferred shall !e credited to any a lica!le e%isting a ro riation account or to new a ro riation accounts which are here!y authoriAed to !e esta!lished, and shall !e merged with any fund already in the a lica!le e%isting or newly esta!lished a ro riation account or accounts and thereafter accounted for as one fund. *he funding re5uirement of agencies reorganiAed in accordance with a roved reorganiAation lans or reorganiAed ursuant to law enacted after the a roval of the &eneral A ro riations Act, are deemed a ro riated and shall !e availa!le for e% enditure as soon as the reorganiAation lans are a roved. *he Secretary of ?udget is here!y authoriAed to ma3e necessary ad'ustments in the a ro riations to carry out the rovisions of this section. *he de artment head concerned, with the a roval of the Secretary of ?udget, is here!y authoriAed to ma3e necessary salary ad'ustments resulting from final selection of ersonnel to fill the ositions in the staffing atterns of reorganiAed agencies, to ma3e necessary salary ad'ustments resulting from new a ointments, romotions or salary increases, su!'ect to the rovisions of 1residential >ecree (o. 9$<.

Secti ! &%. "iability for /lle!al E2penditures. # Every e% enditure or o!ligation authoriAed or incurred in violation of the rovisions of this Code or of the general and s ecial rovisions contained in the annual &eneral or other A ro riations Act shall !e void. Every ayment made in violation of said rovisions shall !e illegal and every official or em loyee authoriAing or ma3ing such ayment, or ta3ing art therein, and every erson receiving such ayment shall !e 'ointly and severally lia!le to the &overnment for the full amount so aid or received. Any official or em loyee of the &overnment 3nowingly incurring any o!ligation, or authoriAing any e% enditure in violation of the rovisions herein, or ta3ing art therein, shall !e dismissed from the service, after due notice and hearing !y the duly authoriAed a ointing official. ,f the a ointing official is other than the 1resident and should he fail to remove such official or em loyee, the 1resident may e%ercise the ower of removal. Secti ! &&. %ccrual of /ncome to )nappropriated Surplus of the General (und. # 0nless otherwise s ecifically rovided !y law, all income accruing to the de artments, offices and agencies !y virtue of the rovisions of e%isting laws, orders and regulations shall !e de osited in the (ational *reasury or in the duly authoriAed de ository of the &overnment and shall accrue to the una ro riated sur lus of the &eneral +und of the &overnment2 1rovided, *hat amounts received in trust and from !usiness#ty e activities of government may !e se arately recorded and dis!ursed in accordance with such rules and regulations as may !e determined !y the 1ermanent Committee created under this Act. Secti ! &'. Special* (iduciary and Trust (unds. # Recei ts shall !e recorded as income of S ecial, +iduciary or *rust +unds or +unds other than the &eneral +und, only when authoriAed !y law and following such rules and regulations as may !e issued !y a 1ermanent Committee consisting of the Secretary of +inance as Chairman, and the Secretary of the ?udget and the Chairman, Commission on Audit, as mem!ers. *he same Committee shall li3ewise monitor and evaluate the activities and !alances of all +unds of the national government other than the &eneral fund and may recommend for the consideration and a roval of the 1resident, the reversion to the &eneral fund of such amounts as are 617 no longer necessary for the attainment of the ur oses for which said +unds were esta!lished, 687 needed !y the &eneral fund in times of emergency, or 697 violative of the rules and regulations ado ted !y the Committee2 rovided, that the conditions originally agreed u on at the time the funds were received shall !e o!served in case of gifts or donations or other ayments made !y rivate arties for s ecific ur oses. Secti ! &(. Service (ees and 1onoraria. # Agencies are authoriAed to charge fees, including honoraria and other reasona!le allowances, as com ensation for consultation, seminars or training rograms, or technical services rendered to other government agencies or rivate arties. Such fees or honoraria shall !e recorded as income of the government and su!'ect to the usual accounting, auditing and other ertinent re5uirements. Secti ! &7. %dministration of "ump Sum (unds. # *he >e artment of ?udget shall administer the :um #Sum +unds a ro riated in the &eneral A ro riations Act, e%ce t as otherwise s ecified therein, including the issuance of *reasury Warrants covering ayments to im lementing agencies or other creditors, as may !e authoriAed !y the 1resident. Secti ! &8. Cost #eduction. # Each head of a de artment !ureau, office or agency shall im lement a cost reduction rogram for his de artment !ureau, office or agency for the ur ose of reducing cost of o erations and shall su!mit to the 1resident re orts on the results of the im lementation thereof. *he >e artment of ?udget shall rovide technical and other necessary assistance in the design and im lementation of cost reduction activities. An incentive award not e%ceeding one monthEs salary may !e granted to any official or em loyee whose suggestion for cost reduction has

!een ado ted and shall have actually resulted in cost reduction, aya!le from the saving resulting therefrom. Secti ! &9. %uthority to )se Savin!s for Certain Purposes. # Savings in the a ro riations rovided in the &eneral A ro riations Act may !e used for the settlement of the following o!ligations incurred during a current fiscal year or revious fiscal years as may !e a roved !y Secretary in accordance with rules and rocedures as may !e a roved !y the 1resident2 617 Claims of officials, em loyees and la!orers who died or were in'ured in line of duty, including !urial e% enses as authoriAed under e%isting law" 687 Commutation of terminal leaves of em loyees due to retirement, resignation or se aration from the service through no fault of their own in accordance with the rovisions of e%isting law, including un aid claims for commutation of maternity leave of a!sence" 697 1ayment of retirement gratuities or se aration ay of em loyees se arated from the service due to government reorganiAation" 6;7 1ayment of salaries of em loyees who have !een sus ended or dismissed as a result of administrative or disci linary action, or se arated from the service through no fault of their own and who have !een su!se5uently e%onerated and reinstated !y virtue of decisions of com etent authority" 6<7 Cash awards to deserving officials and em loyees in accordance with civil service law" 6=7 Salary ad'ustments of officials and em loyees as a result of classification action under, and im lementation of, the rovisions of the Com ensation and 1osition Classification Act, including ositions em!raced under the Career E%ecutive Service" 677 1eso su ort to any underta3ing that may !e entered into !y the government with international organiAations, including administrative and other incidental e% enses" 6$7 Covering any deficiency in eso counter art fund commitments for foreign assisted ro'ects, as may !e a roved !y the 1resident" 697 1riority activities that will romote the economic well !eing of the nation, including food roduction, agrarian reform, energy develo ment, disaster relief, and reha!ilitation. 61B7 Re air, im rovement and renovation of government !uildings and infrastructure and other ca ital assets damaged !y natural calamities" 6117 E% enses in connection with official artici ation in trade fairs, civic arades, cele!rations, athletic com etitions and cultural activities, and ayment of e% enses for the cele!ration of regular or s ecial official holidays" 6187 1ayment of o!ligations of the government or any of its de artments or agencies as a result of final 'udgment of the Courts" and 6197 1ayment of valid rior yearEs o!ligations of government agencies with any other government office or agency, including government#owned or controlled cor orations.

Secti ! '). %ppointment of +ud!et ,fficers. # (o erson shall !e a ointed as !udget officer in any de artment, !ureau, office or agency unless he meets the 5ualification and training re5uirements esta!lished !y the ?udget Commission as rere5uisite to a ointment, in addition to other 5ualification re5uirements rescri!ed !y the Civil Service Commission for the osition. CHAPTER ( "UDGET ACCOUNTA"I$ITY Secti ! '1. Evaluation of %!ency Performance. # *he 1resident, through the Secretary shall evaluate on a continuing !asis the 5uantitative and 5ualitative measures of agency erformance as reflected in the units of wor3 measurement and other indicators of agency erformance, including the standard and actual costs er unit of wor3. Secti ! '2. +ud!et onitorin! and /nformation System. # *he Secretary of ?udget shall determine accounting and other items of information, financial or otherwise, needed to monitor !udget erformance and to assess effectiveness of agencies o erations and shall rescri!e the forms, schedule of su!mission, and other com onents of re orting systems, including the maintenance of su!sidiary and other recording which will ena!le agencies to accom lish and su!mit said information re5uirements2 rovided, that the Commission on Audit shall, in coordination with the Secretary of ?udget, issue rules and regulations that may !e a lica!le when the re orting re5uirements affect accounting functions of agencies2 rovided, further, that the a lica!le rules and regulations shall !e issued !y the Commission on Audit within a eriod of thirty 69B7 days after the >e artment of ?udget and Fanagement rescri!es the re orting re5uirements. Secti ! '%. onitorin! of E2penditures. # E% enditures of national government agencies shall !e recorded so as to identify e% enditures as classified into such categories as may !e determined !y the >e artment of ?udget and Fanagement, including !ut not limited to the following2 617 agency incurring the o!ligation, 687 rogram, ro'ect and activity, 697 o!'ect of e% enditure, including ersonal services, o erating and maintenance e% enditures, e5ui ment, and ca ital outlays, 6;7 region or locality of use, 6<7 economic or functional classification of the e% enditure, 6=7 o!ligational authority and cash transactions arising from fund releases, and such other classifications as may !e necessary for the !udget rocess. *he Secretary of ?udget shall determine the data and information re5uirements thus needed and the Commission on Audit shall formulate the accounting rules and regulations, including changes in the Chart of Accounts and the general or su!sidiary accounting records, as may !e necessary to generate the desired data and information. *he Chief Accountants of agencies and where necessary, accountants of regional offices, shall su!mit the data needed !y the >e artment of ?udget and Fanagement in accordance with such rules and regulations as it may formulate. Secti ! '&. Standard Costs. # *he >e artment of ?udget and Fanagement shall develo standard costs for duly a roved units of wor3 measurement for each agencyEs !udgetary ro'ects or activities. *hese standard costs shall !e com ared with actual unit costs and utiliAed in the evaluation of agency !udgetary erformance. Secti ! ''. #evie- of +ud!etary Pro!rams. # *he Secretary of ?udget shall conduct a continuing review of the !udgetary rogram and ro'ect structure of each de artment, office or agency, the result of which shall !e the !asis for modifying or amending such structure for incor oration in the 1residentEs !udget ro osals to the Congress. Secti ! '(. Semi&%nnual #eport on %ccomplishments of Government %!encies. # *he heads of de artments, !ureaus, offices or agencies of the government shall su!mit a semi#annual re ort of their accom lishments, !oth wor3 and financial results, in accordance with such content and format

as may !e rescri!ed !y the Secretary. *hese re orts shall !e designed and use for the ur ose of monitoring the efficiency and effectiveness with which !udgeted funds are !eing utiliAed, and generally for verifying the attainment of goals esta!lished in the !udget rocess. Secti ! '7. (ailure to Submit #eports. # +ailure on the art of agency heads, chief accountants, !udget officers, cashiers, dis!ursing officers, administrative and ersonnel officers, and res onsi!le officers of de artments, !ureaus, offices and agencies to su!mit trial !alances, wor3 and financial lans, s ecial ?udgets, re orts of o eration and income, lans, s ecial !udgets, re orts of o eration and income, current agency lantilla of ersonnel and such other re orts as may !e necessary and re5uired !y the >e artment of ?udget shall automatically cause the sus ension of ayment of their salaries until they have com lied with the re5uirements of the >e artment of ?udget. (o a ro riation authoriAed in the &eneral A ro riations Act shall !e made availa!le to ay the salary of any official or em loyee who violates the rovisions of this section, in addition to any disci linary action that may !e instituted against such erring official or em loyee. CHAPTER 7 EXPENDITURE OF APPROPRIATED FUNDS Secti ! '8. Contractin! of %ctivities. # Agencies may enter into contracts with individuals or organiAations, !oth u!lic and rivate, su!'ect to rovisions of law and a lica!le guidelines a roved !y the 1resident2 rovided, that contracts shall !e for s ecific services which cannot !e rovided !y the regular staff of the agency, shall !e for a s ecific eriod of time, and shall have a definite e% ected out ut2 rovided, further, that im lementing, monitoring and other regular and recurring agency activities shall not !e contracted for, e%ce t for ersonnel hired on an individual and contractual !asis and wor3ing as art of the organiAation, or as otherwise may !e a roved !y the 1resident2 1rovided, finally, that the cost of contracted services shall not e%ceed the amount that would otherwise !e incurred had the wor3 !een erformed !y regular em loyees of government, e%ce t as may !e authoriAed under this section. Secti ! '9. %uthority to #eceive %dditional Compensation. # )fficials and em loyees who are duly a ointed !y com etent authority to any osition in another government office or agency in a concurrent ca acity, may, in the discretion of the 1resident, !e allowed to receive additional com ensation in the form of allowance or honorarium at such rates he shall fi% and su!'ect to such conditions as he may rescri!e. Such additional com ensation shall !e aid from the a ro riations of the office or agency !enefitting from the concurrent service. Secti ! (). #estrictions on Salary /ncreases. # (o ortion of the a ro riations rovided in the &eneral A ro riations Act shall !e used for ayment of any salary increase or ad'ustment unless s ecifically authoriAed !y law or a ro riate !udget circular nor shall any a ro riation for salaries authoriAed in the &eneral A ro riations Act, save as otherwise rovided for under the Com ensation and 1osition Classification Act, !e aid unless the ositions have !een classified !y the ?udget Commission. Secti ! (1. erit /ncreases. # *he !udgets of national government agencies may rovide for a lum #sum for merit increases, su!'ect to such terms and conditions as may !e a roved !y the 1resident. Such lum #sum shall !e used to fund salary increases a roved !y the head of agency in recognition of meritorious erformance2 1rovided, *hat the Civil Service Commission and the >e artment of ?udget shall 'ointly issue the rules and regulations governing the granting of such merit increases. Secti ! (2. Salary for Substitutionary Service. # When an official or em loyee is issued a duly a roved a ointment in a tem orary or acting ca acity to ta3e the lace and erform the duties of

another who is tem orarily a!sent from his ost with ay, savings in the a ro riations of the de artment, !ureau or office may !e used for the ayment of his salary or differential, su!'ect to the a roval of the Secretary. Secti ! (%. %dditional Compensation for ,vertime Service. # )fficials and em loyees of the (ational &overnment, when re5uired to wor3 overtime after regular wor3ing hours during ordinary days, during half#day sessions, or on Saturdays, Sundays and holidays, !y the heads of de artments concerned, to finish wor3 that must !e com leted within a s ecified time, may !e aid overtime com ensation from any une% ected !alance of the a ro riation for salaries and wages authoriAed in the &eneral A ro riations Act and under such guidelines as may !e issued !y the 1resident. Secti ! (&. Compensation of Persons #eceivin! Pension. # A erson receiving life ension, annuity, or gratuity as a result of service in the national government or any local government unit, or from any government#owned or controlled cor oration, who is rea ointed to any osition, the a ro riation for the salary of which is rovided from funds of the office, shall have the o tion to receive either the com ensation for the osition, or the ension, gratuity or annuity, !ut in no case shall he receive !oth. Secti ! ('. Prohibition of 3oluntary Service. # 0nless otherwise s ecifically a roved !y the 1resident, no erson shall !e em loyed or a ointed in the government under the guise of voluntary service, with com ensation !elow the authoriAed hiring rate for the osition, !ut with rivilege of trans ortation andHor re resentation e% enses in any form, or of receiving er diems, allowances, honoraria, su!sistence, 5uarters in cash or in 3ind, aya!le from government funds2 rovided, that the a lication of this rovisions may !e waived to authoriAe voluntary service in the Armed +orces of the 1hili ines or in connection with relief o erations. Secti ! ((. %dditional Compensation for School (aculty embers. # 1rofessors, instructors, teachers, or mem!ers of the faculty of government schools, colleges and universities, when re5uired to teach more than their regular teaching loads may !e aid additional com ensation not e%ceeding seventy#five ercentum of their !asic salary. Secti ! (7. "aundry. # At the discretion of the de artment head concerned, any official or em loyee of the national government serving in any hos ital, enal institution, or other similar institution, who is re5uired to wear a uniform during the erformance of his duties, may !e granted laundry allowance in 3ind, or which may !e commuted at such rates as may !e authoriAed !y the >e artment of ?udget. Secti ! (8. 1azard Pay. # 0 on recommendation of the de artment head concerned and a roval of the Secretary, haAard ay may !e allowed to em loyees who are actually assigned to danger or strife#torn areas, disease#infested laces, or in distressed or isolated stations and cam s, which e% ose them to great danger of contagion or eril to life. Such haAard ay shall !e aid from savings of the de artment concerned at such rates, terms and conditions as the Secretary may rescri!e. Secti ! (9. Subsistence. # (o official or em loyee of the national government shall !e given su!sistence, the cost of which is aya!le from any fund, e%ce t the following and only when an a ro riation therefor is s ecifically rovided2 617 Farine officers, engineers and crew of government vessels, launches, and motor!oats, who shall ta3e their meals on the mess when a!oard the said vessels, launches, or motor!oats"

687 :ight3ee ers and other em loyees in light stations duly authoriAed !y the head of the de artment to receive su!sistence, who shall !e furnished raw canned, or reserved food su lies" 697 )fficials and em loyees who are re5uired to render service within the remises of hos itals, enal institutions, le er institutions, military installations, and other similar institutions, for a continuous eriod that includes meal time, may !e allowed full su!sistence when re5uired to live in said remises to ma3e their services availa!le at any and all times" 6;7 :a!orers tem orarily fielded to isolated or unsettled districts shall !e furnished the usual rations or the e5uivalent in cash, at the e% ense of the government. ,n hos itals and le er institutions where there are no mess halls or whenever these are inade5uate, ersonnel entitled to su!sistence allowance in 3ind may commute such su!sistence u on re5uest of the ersonnel concerned su!'ect to the a roval of the de artment head at authoriAed rates chargea!le against the a ro riations for su lies and materials authoriAed in the &eneral A ro riations Act. Secti ! 7). Subsistence of Cre- of Government 3essels. # *he su!sistence allowance for the officers and crew of the coast guard and revenue cutters and lighthouse tenders and other large vessels o erated !y the &overnment shall !e s ent for conducting a mess under the charge and administration of one or more mem!ers of the com lement in each vessel to !e designated !y the corres onding head of de artment, and in accordance with regulations to !e issued !y him. *he erson or ersons so designated shall 3ee an account of the advances of funds received and e% enditures made therefrom for the o eration of the mess and shall render such re ort to the corres onding Accounting )fficer rom tly at the end of each month. Secti ! 71. (urnished 5uarters. # When the osition of any official or em loyee is rovided with 4furnished 5uarters4, such official or em loyee shall !e entitled to the use of such government# owned furniture and e5ui ment as are necessary for his !oard and lodging and those for his family including children !elow twenty#one years of age. Secti ! 72. Per Diems of Government ,fficials and Employees. # When a government official or em loyee is authoriAed to travel on official !usiness outside of his ermanent station, he shall !e entitled to er diems to cover his !oard and lodging in accordance with his schedule2 rovided, that in addition to er diems, the official or em loyee may !e entitled to trans ortation e% enses in going to and coming from his destination and to a daily allowance while in the field2 rovided, further, that officials and em loyees on travel status whose e% enses for !oard and lodging are aid directly or indirectly !y government may not !e entitled to receive the er diems and allowances corres onding to such ayments. >e artment secretaries, heads of Constitutional !odies, undersecretaries and all other ositions of e5uivalent ran3 are authoriAed the reim!ursement of actual e% enses su orted !y recei ts, within such limits as may !e im osed under the rovisions of this section. )fficials and em loyees authoriAed to travel a!road may !e granted clothing allowance2 rovided, that no official or em loyee shall !e granted such clothing allowance oftener than once every twenty# four 68;7 months. *he rates of er diems and other allowances as authoriAed in this section shall !e determined !y the 1resident. *he rates may !e changed from time to time u on recommendation of a *ravel Rates Committee which is here!y created, consisting of the Secretary of ?udget as Chairman and the

Secretary of +oreign Affairs, the Secretary of *ourism and the Chairman, Commission on Audit, or their re resentatives, as mem!ers. *he Committee shall review travel rates and shall recommend to the 1resident for consideration and a roval modification in rates and olicy when found to !e warranted !y actual domestic or foreign travel costs, as the case may !e. &overnment#owned or controlled cor orations shall o!serve the rates esta!lished under this section2 rovided, that rofit ma3ing cor orations may ado t their own scales as may !e rovided !y law. *he *ravel Rates Committee shall issue the necessary rules and regulations to enforce the rovisions of this section. Secti ! 7%. %dditional Conditions for Payment of Travel E2penses. # When travel is done !y water and su!sistence is not included in the trans ortation cost, the amount actually and necessarily s ent for su!sistence during such travel time shall !e aid, and no er diems shall !e allowed in lieu thereof. 1er diems and travel allowances shall not !e granted to mem!ers of field arties or others for whom su!sistence and allowances in 3ind are su lied or other s ecial rovision made to cover travel e% enses. *he travel e% enses of a government official or em loyee who is assigned to render a s ecial service to any rivate erson or entity, the e% enses for which are aya!le !y the latter, shall !e aid from a de osit which the rivate arty shall !e re5uired to ma3e !efore the erformance of the s ecial service is commenced, su!'ect to the limitations and re5uirements herein rovided for travel e% enses aya!le from government funds. (o official or em loyee of the &overnment who remains tem orarily at one station for a eriod longer than one 617 month shall !e aid er diems in e%cess of one 617 month, e%ce t u on the a roval of the head of de artment, and, in case his tem orary stay in any one lace e%ceeds three 697 months, ayment of er diems in e%cess of three 697 months shall !e made only u on the revious a roval of the Secretary. Secti ! 7&. Transportation of embers of (amily of an Employee Transferred from ,ne Station to %nother. # Whenever, due to the e%igencies of the service and not at his own re5uest, an official or em loyee is transferred from one station to another, said official or em loyee and his s ouse and children !elow twenty#one years of age shall !e entitled to trans ortation and freight for reasona!le and necessary !aggage and household effects, at the e% ense of the &overnment, to !e aid from the a ro riation for traveling e% enses of the !ureau or office concerned. Secti ! 7'. Purchase* )se* ,peration and aintenance of otor Transport E$uipment. # (o a ro riation for e5ui ment authoriAed in the &eneral A ro riations Act shall !e used directly or indirectly for the urchase of automo!iles, 'ee s, 'itneys, station wagons, motorcycles, truc3s, launches, s eed!oats, air lanes, helico ters and other ty es of motor trans ort e5ui ment unless otherwise s ecifically authoriAed !y the 1resident. All de artments, !ureaus, offices and agencies authoriAed to urchase motor trans ort e5ui ment including those ac5uired through donations, gifts or gratuitous title are li3ewise authoriAed to use, o erate and maintain them for ur oses of carrying out the official functions and activities of the agency. *hese motor vehicles shall !e used strictly for official !usiness, !ear government lates only, and after office hours 3e t in garage rovided therefor !y the office or agency to which they !elong, e%ce t, when in use for official !usiness outside office hours. *he 1resident, however, may

authoriAe e%ce tions from these rovisions for officials of government who wor3 under e%tended hours or whose activities call for s ecial security arrangements. Any violation of the rovisions of this section shall su!'ect the erring official or em loyee to administrative disci linary action and he shall !e ersonally lia!le for any loss or damage caused to the government or third ersons. *he Commission on Audit shall issue rules and regulations governing the use, o eration and maintenance of government motor trans ort e5ui ment. Secti ! 7(. "imitation of #ental of otor 3ehicles. # (o a ro riations authoriAed in the &eneral A ro riations Act shall !e used for renting motor trans ort e5ui ment for a continuous eriod of more than fifteen days, e%ce t as may !e authoriAed !y the Secretary. Secti ! 77. "imitation of Purchase of Supplies* aterials* and E$uipment Spare Parts. # E%ce t as otherwise rovided in the &eneral A ro riations Act, the stoc3 on hand of su lies, materials and e5ui ment s are arts, ac5uired through ordinary and emergency urchase, shall at no time e%ceed normal three#month re5uirements, su!'ect to the ertinent rules and regulations issued !y com etent authority2 1rovided, *hat de artment heads may a rove the !uild#u of stoc3s on hand of critical su lies and materials, in antici ation of cost increases or re5uirements of a national emergency, and s ecifying ma%imum 5uantities of individual items, !ut in no case shall these stoc3s e%ceed more than one yearEs su ly, unless otherwise a roved !y the 1resident. Secti ! 78. Purchase of "ocally anufactured Products. # All a ro riations for the urchase of e5ui ment, su lies and materials authoriAed in the &eneral A ro riations Act shall !e availa!le only for locally manufactured e5ui ment" arts, accessories, medicines and drugs, su lies and materials, e%ce t when none is availa!le in the mar3et or when the rice of the locally manufactured article e%ceed those determined !y the +lag :aw. Secti ! 79. %vailability of %ppropriations for #ental of +uildin! and Grounds. # Any a ro riation authoriAed in any Act for rental of !uildings and grounds for any de artment, !ureau, office or agency shall !e availa!le for e% enditure only when authoriAed !y the de artment head concerned. Such a ro riation may also !e used for lease# urchase arrangements. With the concurrence of the Secretary of ?udget and Fanagement and the Secretary of +inance, the head of the de artment may contract with any government financial institution for loans intended for the ac5uisition of land for the construction of an office !uilding for any of the agencies under the de artment. Annual amortiAation of the loans shall !e ta3en from the a ro riation for rental authoriAed under any Act for the de artment, !ureau or office concerned. Secti ! 8). isuse of Government (unds and Property. # Any u!lic official or em loyee who shall a ly any government fund or ro erty under his administration or control to any use other than for which such fund or ro erty is a ro riated !y laws, shall suffer the enalty im osed under the a ro riate enal laws. "OO# VII ADMINISTRATIVE PROCEDURE CHAPTER 1 GENERA$ PROVISIONS

Secti ! 1. Scope. # *his ?oo3 shall !e a lica!le to all agencies as defined in the ne%t succeeding section, e%ce t the Congress, the Cudiciary, the Constitutional Commissions, military esta!lishments in all matters relating e%clusively to Armed +orces ersonnel, the ?oard of 1ardons and 1arole, and state universities and colleges. Secti ! 2. Definitions. # As used in this ?oo32 617 4Agency4 includes any de artment, !ureau, office, commission, authority or officer of the (ational &overnment authoriAed !y law or e%ecutive order to ma3e rules, issue licenses, grant rights or rivileges, and ad'udicate cases" research institutions with res ect to licensing functions" government cor orations with res ect to functions regulating rivate right, rivileges, occu ation or !usiness" and officials in the e%ercise of disci linary ower as rovided !y law. 687 4Rule4 means any agency statement of general a lica!ility that im lements or inter rets a law, fi%es and descri!es the rocedures in, or ractice re5uirements of, an agency, including its regulations. *he term includes memoranda or statements concerning the internal administration or management of an agency not affecting the rights of, or rocedure availa!le to, the u!lic. 697 4Rate4 means any charge to the u!lic for a service o en to all and u on the same terms, including individual or 'oint rates, tolls, classifications, or schedules thereof, as well as commutation, mileage, 3ilometerage and other s ecial rates which shall !e im osed !y law or regulation to !e o!served and followed !y any erson. 6;7 4Rule ma3ing4 means an agency rocess for the formulation, amendment, or re eal of a rule. 6<7 4Contested case4 means any roceeding, including licensing, in which the legal rights, duties or rivileges asserted !y s ecific arties as re5uired !y the Constitution or !y law are to !e determined after hearing. 6=7 41erson4 includes an individual, artnershi , cor oration, association, u!lic or rivate organiAation of any character other than an agency. 677 41arty4 includes a erson or agency named or admitted as a arty, or ro erly see3ing and entitled as of right to !e admitted as a arty, in any agency roceeding" !ut nothing herein shall !e construed to revent an agency from admitting any erson or agency as a arty for limited ur oses. 6$7 4>ecision4 means the whole or any art of the final dis osition, not of an interlocutory character, whether affirmative, negative, or in'unctive in form, of an agency in any matter, including licensing, rate fi%ing and granting of rights and rivileges. 697 4Ad'udication4 means an agency rocess for the formulation of a final order. 61B7 4:icense4 includes the whole or any art of any agency ermit, certificate, ass ort, clearance, a roval, registration, charter, mem!ershi , statutory e%em tion or other form of ermission, or regulation of the e%ercise of a right or rivilege.

6117 4:icensing4 includes agency rocess involving the grant, renewal, denial, revocation, sus ension, annulment, withdrawal, limitation, amendment, modification or conditioning of a license. 6187 4Sanction4 includes the whole or art of a rohi!ition, limitation or other condition affecting the li!erty of any erson" the withholding of relief" the im osition of enalty or fine" the destruction, ta3ing, seiAure or withholding of ro erty" the assessment of damages, reim!ursement, restitution, com ensation, cost, charges or fees" the revocation or sus ension of license" or the ta3ing of other com ulsory or restrictive action. 6197 4Relief4 includes the whole or art of any grant of money, assistance, license, authority, rivilege, e%em tion, e%ce tion, or remedy" recognition of any claim, right, immunity, rivilege, e%em tion or e%ce tion" or ta3ing of any action u on the a lication or etition of any erson. 61;7 4Agency roceeding4 means any agency rocess with res ect to rule#ma3ing, ad'udication and licensing. 1. 4Agency action4 includes the whole or art of every agency rule, order, license, sanction, relief or its e5uivalent or denial thereof. CHAPTER 2 RU$ES AND REGU$ATIONS Secti ! %. (ilin!. # 617 Every agency shall file with the 0niversity of the 1hili ines :aw Center three 697 certified co ies of every rule ado ted !y it. Rules in force on the date of effectivity of this Code which are not filed within three 697 months from that date shall not thereafter !e the !asis of any sanction against any arty or ersons. 687 *he records officer of the agency, or his e5uivalent functionary, shall carry out the re5uirements of this section under ain of disci linary action. 697 A ermanent register of all rules shall !e 3e t !y the issuing agency and shall !e o en to u!lic ins ection. Secti ! &. Effectivity. # ,n addition to other rule#ma3ing re5uirements rovided !y law not inconsistent with this ?oo3, each rule shall !ecome effective fifteen 61<7 days from the date of filing as a!ove rovided unless a different date is fi%ed !y law, or s ecified in the rule in cases of imminent danger to u!lic health, safety and welfare, the e%istence of which must !e e% ressed in a statement accom anying the rule. *he agency shall ta3e a ro riate measures to ma3e emergency rules 3nown to ersons who may !e affected !y them. Secti ! '. Publication and #ecordin!. # *he 0niversity of the 1hili ines :aw Center shall2

617 1u!lish a 5uarter !ulletin setting forth the te%t of rules filed with it during the receding 5uarter" and 687 Gee an u #to#date codification of all rules thus u!lished and remaining in effect, together with a com lete inde% and a ro riate ta!les.

Secti ! (. ,mission of Some #ules. # 617 *he 0niversity of the 1hili ines :aw Center may omit from the !ulletin or the codification any rule if its u!lication would !e unduly cum!ersome, e% ensive or otherwise ine% edient, !ut co ies of that rule shall !e made availa!le on a lication to the agency which ado ted it, and the !ulletin shall contain a notice stating the general su!'ect matter of the omitted rule and new co ies thereof may !e o!tained. 687 Every rule esta!lishing an offense or defining an act which, ursuant to law, is unisha!le as a crime or su!'ect to a enalty shall in all cases !e u!lished in full te%t. Secti ! 7. Distribution of +ulletin and Codified #ules. # *he 0niversity of the 1hili ines :aw Center shall furnish one 617 free co y each of every issue of the !ulletin and of the codified rules or su lements to the )ffice of the 1resident, Congress, all a ellate courts and the (ational :i!rary. *he !ulletin and the codified rules shall !e made availa!le free of charge to such u!lic officers or agencies as the Congress may select, and to other ersons at a rice sufficient to cover u!lication and mailing or distri!ution costs. Secti ! 8. 4udicial Notice. # *he court shall ta3e 'udicial notice of the certified co y of each rule duly filed or as u!lished in the !ulletin or the codified rules. Secti ! 9. Public Participation. # 617 ,f not otherwise re5uired !y law, an agency shall, as far as ractica!le, u!lish or circulate notices of ro osed rules and afford interested arties the o ortunity to su!mit their views rior to the ado tion of any rule. 687 ,n the fi%ing of rates, no rule or final order shall !e valid unless the ro osed rates shall have !een u!lished in a news a er of general circulation at least two 687 wee3s !efore the first hearing thereon. 697 ,n case of o osition, the rules on contested cases shall !e o!served. CHAPTER % AD,UDICATION Secti ! 1). Compromise and %rbitration. # *o e% edite administrative roceedings involving conflicting rights or claims and o!viate e% ensive litigations, every agency shall, in the u!lic interest, encourage amica!le settlement, com rise and ar!itration. Secti ! 11. Notice and 1earin! in Contested Cases. # 617 ,n any contested case all arties shall !e entitled to notice and hearing. *he notice shall !e served at least five 6<7 days !efore the date of the hearing and shall state the date, time and lace of the hearing. 687 *he arties shall !e given o ortunity to resent evidence and argument on all issues. ,f not recluded !y law, informal dis osition may !e made of any contested case !y sti ulation, agreed settlement or default. 697 *he agency shall 3ee an official record of its roceedings.

Secti ! 12. #ules of Evidence. # ,n a contested case2 617 *he agency may admit and give ro!ative value to evidence commonly acce ted !y reasona!ly rudent men in the conduct of their affairs. 687 >ocumentary evidence may !e received in the form of co ies or e%cer ts, if the original is not readily availa!le. 0 on re5uest, the arties shall !e given o ortunity to com are the co y with the original. ,f the original is in the official custody of a u!lic officer, a certified co y thereof may !e acce ted. 697 Every arty shall have the right to cross#e%amine witnesses resented against him and to su!mit re!uttal evidence. 6;7 *he agency may ta3e notice of 'udicially cogniAa!le facts and of generally cogniAa!le technical or scientific facts within its s ecialiAed 3nowledge. *he arties shall !e notified and afforded an o ortunity to contest the facts so noticed. Secti ! 1%. Subpoena. # ,n any contested case, the agency shall have the ower to re5uire the attendance of witnesses or the roduction of !oo3s, a ers, documents and other ertinent data, u on re5uest of any arty !efore or during the hearing u on showing of general relevance. 0nless otherwise rovided !y law, the agency may, in case of diso!edience, invo3e the aid of the Regional *rial Court within whose 'urisdiction the contested case !eing heard falls. *he Court may unish contumacy or refusal as contem t. Secti ! 1&. Decision. # Every decision rendered !y the agency in a contested case shall !e in writing and shall state clearly and distinctly the facts and the law on which it is !ased. *he agency shall decide each case within thirty 69B7 days following its su!mission. *he arties shall !e notified of the decision ersonally or !y registered mail addressed to their counsel of record, if any, or to them. Secti ! 1'. (inality of ,rder. # *he decision of the agency shall !ecome final and e%ecutory fifteen 61<7 days after the recei t of a co y thereof !y the arty adversely affected unless within that eriod an administrative a eal or 'udicial review, if ro er, has !een erfected. )ne motion for reconsideration may !e filed, which shall sus end the running of the said eriod. Secti ! 1(. Publication and Compilation of Decisions. # 617 Every agency shall u!lish and ma3e availa!le for u!lic ins ection all decisions or final orders in the ad'udication of contested cases. 687 ,t shall !e the duty of the records officer of the agency or his e5uivalent functionary to re are a register or com ilation of those decisions or final orders for use !y the u!lic. Secti ! 17. "icensin! Procedure. # 617 When the grant, renewal, denial or cancellation of a license is re5uired to !e receded !y notice and hearing, the rovisions concerning contested cases shall a ly insofar as ractica!le. 687 E%ce t in cases of willful violation of ertinent laws, rules and regulations or when u!lic security, health, or safety re5uire otherwise, no license may !e withdrawn, sus ended, revo3ed or annulled without notice and hearing.

Secti ! 18. Non&e2piration of "icense. # Where the licensee has made timely and sufficient a lication for the renewal of a license with reference to any activity of a continuing nature, the e%isting license shall not e% ire until the a lication shall have !een finally determined !y the agency. CHAPTER & ADMINISTRATIVE APPEA$ IN CONTESTED CASES Secti ! 19. %ppeal. # 0nless otherwise rovided !y law or e%ecutive order, an a decision of the agency may !e ta3en to the >e artment head. Secti ! 2). Perfection of %dministrative %ppeals. # 617 Administrative a eals under this Cha ter shall !e erfected within fifteen 61<7 days after recei t of a co y of the decision com lained of !y the arty adversely affected, !y filing with the agency which ad'udicated the case a notice of a eal, serving co ies thereof u on the revailing arty and the a ellate agency, and aying the re5uired fees. 687 ,f a motion for reconsideration is denied, the movant shall have the right to erfect his a eal during the remainder of the eriod for a eal, rec3oned from recei t of the resolution of denial. ,f the decision is reversed on reconsideration, the aggrieved arty shall have fifteen 61<7 days from recei t of the resolution of reversal within which to erfect his a eal. 697 *he agency shall, u on erfection of the a a ellate agency. eal, transmit the records of the case to the eal from a final

Secti ! 21. Effect of %ppeal. # *he a eal shall stay the decision a ealed from unless otherwise rovided !y law, or the a ellate agency directs e%ecution ending a eal, as it may deem 'ust, considering the nature and circumstances of the case. Secti ! 22. %ction on %ppeal. # *he a ellate agency shall review the records of the roceedings and may, on its own initiative or u on motion, receive additional evidence. Secti ! 2%. (inality of Decision of %ppellate %!ency. # ,n any contested case, the decision of the a ellate agency shall !ecome final and e%ecutory fifteen 61<7 days after the recei t !y the arties of a co y thereof. Secti ! 2&. 1earin! ,fficers. # 617 Each agency shall have such num!er of 5ualified and com etent mem!ers of the !ase as hearing officers as may !e necessary for the hearing and ad'udication of contested cases. 687 (o hearing officer shall engaged in the erformance of rosecuting functions in any contested case or any factually related case. Secti ! 2'. 4udicial #evie-. # 617 Agency decisions shall !e su!'ect to 'udicial review in accordance with this cha ter and a lica!le laws.

687 Any arty aggrieved or adversely affected !y an agency decision may see3 'udicial review. 697 *he action for 'udicial review may !e !rought against the agency, or its officers, and all indis ensa!le and necessary arties as defined in the Rules of Court. 6;7 A eal from an agency decision shall !e erfected !y filing with the agency within fifteen 61<7 days from recei t of a co y thereof a notice of a eal, and with the reviewing court a etition for review of the order. Co ies of the etition shall !e served u on the agency and all arties of record. *he etition shall contain a concise statement of the issues involved and the grounds relied u on for the review, and shall !e accom anied with a true co y of the order a ealed from, together with co ies of such material ortions of the records as are referred to therein and other su orting a ers. *he etition shall !e under oath and shall how, !y stating the s ecific material dates, that it was filed within the eriod fi%ed in this cha ter. 6<7 *he etition for review shall !e erfected within fifteen 61<7 days from recei t of the final administrative decision. )ne 617 motion for reconsideration may !e allowed. ,f the motion is denied, the movant shall erfect his a eal during the remaining eriod for a eal rec3oned from recei t of the resolution of denial. ,f the decision is reversed on reconsideration, the a ellant shall have fifteen 61<7 days from recei t of the resolution to erfect his a eal. 6=7 *he review roceeding shall !e filed in the court s ecified !y statute or, in the a!sence thereof, in any court of com etent 'urisdiction in accordance with the rovisions on venue of the Rules of Court. 677 Review shall !e made on the !asis of the record ta3en as a whole. *he findings of fact of the agency when su orted !y su!stantial evidence shall !e final e%ce t when s ecifically rovided otherwise !y law. Secti ! 2(. Transmittal of #ecord. # Within fifteen 61<7 days from the service of the etition for review, the agency shall transmit to the court the original or a certified co y of the entire records of the roceeding under review. *he record to !e transmitted may !e a!ridged !y agreement of all arties to the roceedings. *he court may re5uire or ermit su!se5uent correction or additions to the record. +,(A: 1R)@,S,)(S Secti ! 27. #epealin! Clause. # All laws, decrees, orders, rules and regulations, or ortions thereof, inconsistent with this Code are here!y re ealed or modified accordingly. Secti ! 28. Separability Clauses. # ,n the event that any of the rovisions of this Code is declared unconstitutional, the validity of the other rovisions shall not !e affected !y such declaration. Secti ! 29. Effectivity. # *his Code shall ta3e effect one year after its u!lication in the )fficial &aAette. >)(E in the City of Fanila, this 8<th day of Culy, in the year of )ur :ord, nineteen hundred and eighty#seven.