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PRESIDENTIAL DECREE NO. 189
PRESIDENTIAL DECREE NO. 189
- AMENDING PART IX OF THE INTEGRATED REORGANIZATION PLAN BY RENAMING
THE DEPARTMENT OF TRADE AND TOURISM AS THE DEPARTMENT OF TOURISM, AND
CREATING THE DEPARTMENT OF TOURISM WITH A PHILIPPINE TOURIST AUTHORITY
ATTACHED TO IT IN LIEU OF PHILIPPINE TOURIST COMMISSION
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chanroblesvirtualawlibrary
WHEREAS,
there is need to realign government efforts towards trade promotion and
tourism development for greater effectiveness; chanroblesvirtualawlibrary
WHEREAS, the tourist industry will represent an untapped resource base
toward an accelerated socio-economic development of the Philippines;chanroblesvirtualawlibrary
WHEREAS, the tourism program is subjected to various administrative and
organizational problems; and chanroblesvirtualawlibrary
WHEREAS, tourism properly deserves the Government's immediate and
priority attention.
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippine, by
virtue of the powers vested in me by the Constitution as
Commander-in-Chief of all the Armed Forces of the Philippines, and
pursuant to Proclamation No. 1081 dated September 21, 1972, as amended,
and in order to effect desired changes and reforms in the social,
economic, and political structures of our society do hereby adopt,
approve, and make as part of the law of the land the amendment to the
provisions of Part IX of the Integrated Reorganization Plan by renaming
the Department of Trade and Tourism as the Department of Trade and
creating the Department of Tourism with a Philippine Tourist Authority
attached to it in lieu of the Philippine Tourist Commission.
Section 1. Declaration of Policy. — It is hereby
declared to be the policy of the Government to make the tourist
industry a positive instrument towards accelerated national
development; through which more people from other lands may visit and
better appreciate the Philippines and through which the Filipinos
themselves may learn more about the natural beauty, history and culture
of their country and thus develop greater pride in and commitment to
the nation.
Section 2. Creation of a Department of Tourism. —
There is hereby created a Department of Tourism, hereinafter referred
to as the Department, which shall be the primary policy, planning,
programming, coordinating and administrative entity of the executive
branch of government in the development of the tourist industry, both
domestic and international. chanroblesvirtualawlibrary
Section 3. Authority and Responsibility. — The
authority and responsibility for the exercise of the powers and the
discharge of the functions of the Department shall be vested in the
Secretary of Tourism, hereinafter referred to as the Secretary. The
Secretary shall be assisted by one Undersecretary.
Section 4. Functions. — The Department shall be
responsible for the following functions:cralaw:red
a. Supervise all activities of the government which
concern tourism;chanroblesvirtualawlibrary
b. Effect the removal of unnecessary barriers to
travel; the integration and simplification of travel regulations; as
well as their efficient, fair and courteous enforcement to assure
expeditious and hospitable reception of all visitors; chanroblesvirtualawlibrary
c. Formulate an integrated program of promotion and
publicity designed to attract and induce people abroad to visit the
Philippines, and patronize things Philippine, and to enhance the
prestige of the Filipino people and the Republic;chanroblesvirtualawlibrary
d. Review all tourism which may involve loans from
government financial institutions before said institutions may take
action on them, and approve all tourism projects and firms applying for
tax incentives under the Export Incentives Act, as amended by
Presidential Decree No. 92, before the Board of Investments may take
action on them;chanroblesvirtualawlibrary
e. Represent the Government in all such conferences
and meetings concerning tourism and travel and discharge such
responsibilities of Government as may arise from treaties, agreements
and other commitments on tourism and travel, to which it is a
signatory; chanroblesvirtualawlibrary
f. License, regulate and supervise travel agents,
tour operators, and tour guides;chanroblesvirtualawlibrary
g. Classify, regulate, supervise and license hotels,
resorts, inns, motels, hotels, restaurants and other related facilities
and services which cater to foreign and domestic tourist and in
addition, formulate suitable standards to ensure that the highest
possible standards are met, reasonable fees and charges are made and
that services are given with honesty, courtesy, and efficiency; and
h. Perform such other functions as may be provided by
law.
Section 5. The Department shall have an
Administrative Service, a Planning Service, and a Financial and
Management Service in conformity with Part II of the Integrated
Reorganization Plan.
Section 6. The Department shall have such number of
field offices here and abroad as may be necessary for the effective
promotion of the tourist industry.
Section 7. Bureau of Tourist Promotion. — There is
created a Bureau of Tourist Promotion which shall, among others, be
responsible for organizing and supporting a program of public
relations, promotion and publicity calculated to interest, attract and
encourage overseas travelers to visit the Philippines, including the
publication and dissemination of pamphlets, brochures and other
literature and publicity materials and the production and distribution
of audio-visual materials, participation in travel fairs and other
sales and promotion arts.
It shall have the following divisions with corresponding duties and
responsibilities, among others: chanroblesvirtualawlibrary
a. Press and Publication Division
1. Publish, produce and disseminate publicity
materials as may have bearing on tourist attractions in the country,
and the history of the Philippines, its progress, its natural resources
and the culture and art of its people;chanroblesvirtualawlibrary
2. Encourage educational and cultural tours to
increase travel within the country as a means of developing domestic
tourism; and
3. Participate in fairs and exhibits to promote local
goods and products and provide a medium for the dissemination of
information about the Philippines as a tourist spot.
b. Research and Statistics Division
1. Compile, analyze and integrate statistical data on
Tourist Industry;chanroblesvirtualawlibrary
2. Develop, forecast and prepare economic reports and
review based on conductive research; and
3. Undertake continuing analysis of economic
conditions and trends relating to the sectoral area concerned.
c. Training and Evaluation Division
1. Conduct training courses and apprenticeship
programs for tourist guides, hotel and restaurant personnel and such
other personnel who perform functions that have a bearing upon the
tourist industry; and
2. Organize and conduct promotional training
seminars.
Section 8. Bureau of Special Services. — There is
hereby created a Bureau of Special Services which shall have the
following divisions with corresponding duties and responsibilities,
among others:cralaw:red
a. Tourist Reception Division
1. Coordinate with all other agencies concerned,
whether government, or private, on procedures to assure hospitable
reception of tourist during their visit to the country, including the
establishment of efficiently-run information centers at strategic
locations; and
2. Maintain a security force, where necessary, to
provide security and assistance to tourists and travelers and to extend
investigative services to tourists who may require such
assistance. chanroblesvirtualawlibrary
b. Licensing and Inspection Division
1. Prepare and maintain for ready reference a
register of all business and establishments that offer transportation,
accommodation or service of any kind to tourists;chanroblesvirtualawlibrary
2. Regulate and license the business of travel
agencies; tour operators, and tour guides;chanroblesvirtualawlibrary
3. Classify, regulate and license hotels, resorts,
restaurants, inns, motels, and hostels in accordance with set standards
and guidelines; and chanroblesvirtualawlibrary
4. Exercise supervision over the operation of all
facilities and services that cater to, or have anything to do with
travelers.
Section 9. Creation of Philippine Tourism Authority.
— To implement the policies and programs of the Department, there is
hereby created a Philippine Tourism Authority, hereinafter referred to
as the Authority, which shall be attached to the Department. The
functions of the Authority are hereby declared to be governmental.
Section 10. Purposes and Specific Powers. — The
purposes and specific powers of the Authority are as follows:cralaw:red
a. Implement all policies and programs of the
Department on project development; chanroblesvirtualawlibrary
b. Collect such taxes as may be provided by law;chanroblesvirtualawlibrary
c. Operate and/or contract to operate such agencies,
functional units, offices and departments of the Authority as it may
deem necessary or useful for the furtherance of any of the purposes of
this Decree;chanroblesvirtualawlibrary
d. Extend assistance whenever necessary, to private
enterprise in undertaking tourist projects;chanroblesvirtualawlibrary
e. Undertake the development of tourist attraction
including the conduct of feasibility studies and where necessary,
recommend agreements for tourist plant and facilities development with
private entities;chanroblesvirtualawlibrary
f. Provide and maintain essential facilities for
tourists and travelers where private enterprise is not prepared to take
care of them; and chanroblesvirtualawlibrary
g. Adopt, alter and use a corporate seal which shall
be judicially noticed; make contracts, lease, own or otherwise dispose
of personal and real property; sue and be sued; and otherwise do and
perform any and all things that may be necessary or proper to carry out
the purposes of the Authority.
Section 11. Capitalization. — The capital of the
Authority shall consist of (1) existing assets transferred to it from
the Board of Travel and Tourist Industry and the Philippine Tourist and
Travel Association as hereinafter provided and such other properties as
may be contributed to the Authority by the government to form part of
its capital and (2) the taxes under Republic Act No. 1478 and Republic
Act No. 6141. All hotel room taxes that will be collected under the
provisions of existing laws are likewise assigned to the Authority to
form part of its capital. chanroblesvirtualawlibrary
Section 12. Power to Issue Bonds or Incur
Indebtedness. — Whenever the Board may deem it advisable and necessary
for the Authority to contract loans, credits and other indebtedness, or
to issue bonds, notes, debentures, securities, and other instruments of
indebtedness for the development and/or operation of the tourist
industry, it shall by resolution so manifest and declare stating the
purpose for which the indebtedness is to be applied and citing the
project study devised for the purpose. In order for such resolution to
be valid, it shall be passed by the affirmative vote of at least four
members of the Board and approved by the President of the Philippines
upon the recommendation of the Secretary of Finance, after consultation
with the National Economic and Development Authority and the Monetary
Board of the Central Bank.
Section 13. The Authority shall be administered by a
General Manager who shall be appointed by the President from among
persons of proven executive competence and experience in the field of
tourist development.
Section 14. Board of Directors. — The corporate
powers of the Authority shall be vested in and exercised by a Board of
Directors composed of the Secretary of Tourism as Chairman, the General
Manager as Vice Chairman and three part-time members who shall be
appointed by the President for their expertise.
Section 15. Tenure of Office. — The tenure of office
of the members shall be six years: Provided, That in the first
appointments, the term of office of the three members appointed by the
President shall be fixed as follows: one member for six years, one
member for four years, and the third member for two years: Provided,
finally, That no vacancy shall be filled except for the unexpired
portion of the term.
Section 16. Meetings and Quorum. — The Board shall
meet regularly once a month and as often as the exigencies of the
service demand. The presence of at least three members shall constitute
a quorum, and the vote of three members shall be necessary for the
adoption of any rule, resolution or decision or any other act of the
Board. chanroblesvirtualawlibrary
Section 17. Compensation of Chairman and Members of
the Board. — The members of the Board shall receive such per diems and
allowances as may be fixed by the President.
Section 18. Powers and Duties of the Board. — The
Board shall have the following powers and duties:cralaw:red
a. To promulgate policies and to prescribe such rules
and regulations as may be necessary to implement the intent and
provisions of this Decree, which rules and regulations shall take
effect thirty (30) days following their publication in two (2)
newspapers of general circulation in the Philippines;chanroblesvirtualawlibrary
b. To approve the annual budget and such implemental
budgets which may be submitted to it by the Chairman; chanroblesvirtualawlibrary
c. Upon the recommendation of the General Manager, to
organize, reorganize, and determine the Authority's staffing pattern;
to fix their salaries and to define their powers and duties;chanroblesvirtualawlibrary
d. Notwithstanding the provisions of law, rules and
regulations to the contrary, to enter by itself into any contract or
agreement as may be necessary for the proper, efficient and stable
administration of the Authority and for the attainment of the purposes
and objectives of this Decree;chanroblesvirtualawlibrary
e. To render annual reports to the President and such
special reports as may be requested; and
f. Generally, to exercise all the powers necessary or
incidental to attain the purposes of this Decree.
Section 19. General Manager: Powers and Duties. — The
General Manager shall have the following powers and duties:cralaw:red
a. To direct and manage the affairs of the Authority
in accordance with policies of the Board;chanroblesvirtualawlibrary
b. To prepare the agenda for the meeting of the Board
and submit for its consideration and approval the policies and measures
which he deems necessary and proper to carry out the provisions of this
Decree;chanroblesvirtualawlibrary
c. To submit within thirty (30) days after the close
of each fiscal year an annual report to the Board and such other
reports as may be required;chanroblesvirtualawlibrary
d. To submit an annual budget and necessary
supplemental budgets to the Board for its approval; chanroblesvirtualawlibrary
e. To establish the internal organization of the
Authority under such conditions that the Board may prescribe; Provided,
That any major reorganization shall be subject to the approval of the
Board; and
f. To perform such other duties as may be assigned to
him by the Board;chanroblesvirtualawlibrary
Section 20. The Secretary of Tourism may establish a
Tourism Advisory Council, which may be composed of representatives of
the following trade organizations; (1) hotels, (2) restaurants, (3)r
carriers, (4) travel agencies, (5) cottage industry producers and/or
distributors, (6) sea carriers, (7) land transportation operators, and
(8) bankers association who shall be entitled to such per diems and
allowances as may be authorized: Provided, That the Secretary may
designate representatives from other trade organizations as may be
necessary. The members of this Council shall be exempt from
conflict-of-interest provisions of the Anti-Graft and Corrupt Practices
Act. chanroblesvirtualawlibrary
Section 21. Applicability of the Civil Service Law. —
All officials and employees of the Authority, except technical and
professional personnel, shall be subject to Civil Service Law, rules
and regulations and the coverage of the Wage and Position
Classification Office.
Section 22. Appointment by the Board. — Employees of
the Authority shall be appointed by the Board, upon the recommendation
of the General Manager, to positions in the approved budget using as
guide the standards set forth in the Civil Service Law and
rules. chanroblesvirtualawlibrary
Section 23. Transitory Provisions. — The properties,
monies, assets, rights, chooses in action, obligations, liabilities,
records, and contracts of the defunct Board of Travel and Tourist
Industry shall continue to be vested in and assumed by the Authority,
as a government corporation, pursuant to this Decree. chanroblesvirtualawlibrary
The Board of Directors shall determine what personnel of the Board of
Travel and Tourist Industry shall be absorbed by the Authority.
Section 24. Rescission of the Charter of the
Philippine Tourist and Travel Association. — The Charter of the
Philippine Tourist and Travel Association as granted under Republic Act
No. 710 is hereby rescinded, without prejudice to its continuing as a
duly registered private corporation. Any assets derived from the
government subsidy under the aforementioned charter shall be
transferred to the Authority.
Section 25. The staffing requirements of the
Department shall be provided for in the General Appropriation Act.
Section 26. The Civil Aeronautics Board is
reconstituted and attached to the Department. It shall be composed of
the Secretary of Tourism as Chairman, the Civil Aeronautics
Administrator, the Commander Officer of the Philippiner Force, the
Assistant Director forr Transportation of the Bureau of Transportation
and two other members appointed by the President of the
Philippines. chanroblesvirtualawlibrary
Section 27. The Hundred Islands Conservation and
Development Authority, the San Juanico Tourist Development Authority,
the Looc Estate and such other entities as may be organized to promote
tourism are hereby attached to the Department.
Section 28. The Department of Trade shall perform all
the functions, except those on tourism, of the Department of Trade and
Tourism pursuant to the applicable provisions of the Integrated
Reorganization Plan.
Section 29. Repeal. — Presidential Decree No. 132,
dated February 19, 1973 and any all acts, statutes, decrees, rules,
repealed or modified accordingly. chanroblesvirtualawlibrary
Section 30. Effectivity. — This Decree shall take
effect immediately.
Done in the City of Manila,
this 11th day of May, in the year of Our Lord, nineteen hundred and
seventy-three.
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