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Chan Robles Virtual Law Library
PRESIDENTIAL DECREE NO. 1050
PRESIDENTIAL DECREE NO. 1050
- APPROPRIATING FUNDS FOR THE OPERATION OF THE GOVERNMENT OF THE
REPUBLIC OF THE PHILIPPINES FROM JANUARY ONE TO DECEMBER THIRTY-ONE,
NINETEEN HUNDRED AND SEVENTY-SEVEN AND FOR OTHER PURPOSES
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chanroblesvirtualawlibrary
WHEREAS,
the Revolution of the Poor can more fully succeed with the
identification and implementation of meaningful government programs and
projects;chanroblesvirtualawlibrary
WHEREAS, full funding support must be given to priority activities
identified as furthering national programs;chanroblesvirtualawlibrary
WHEREAS, the goal of self-reliance has been adopted for the year
nineteen hundred and seventy-seven, as a major criterion in funding
allocation, calling for a realignment of expenditures in favor of
infrastructure and other capital outlays, and of programs of long term
implication;chanroblesvirtualawlibrary
WHEREAS, the determination of national government expenditure levels
calls for the consideration of national development targets, estimated
revenues, the supportable level of domestic credit expansion, and other
pertinent factors;chanroblesvirtualawlibrary
WHEREAS, the Batasang Bayan, in its First Session, held in September,
nineteen hundred and seventy-six, passed a resolution recommending,
among others, budgetary priorities, budgetary levels, and a functional
allocation of expenditures;chanroblesvirtualawlibrary
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines,
by virtue of the powers vested in me by the Constitution, do hereby
order and decree: chanroblesvirtualawlibrary
Section 1. Appropriation of Funds. — The following
sums, or so much thereof as may be necessary, are hereby appropriated
out of any funds in the National Treasury of the Philippines not
otherwise appropriated, for the operation of the Government of the
Republic of the Philippines from January one to December thirty-one,
nineteen hundred and seventy-seven, except where otherwise specifically
provided:cralaw:red
xxx
xxx
xxx
Section 2. Authority to use Savings for other
Purposes. — The President of the Philippines is authorized to use any
savings in the appropriations provided in this Decree for the Executive
Departments, for the settlement of the following obligations in the
Executive Departments incurred during the budget year:cralaw:red
a. Payment of gratuity or separation pay of employees
who are entitled thereto under existing law or are laid off as a result
of the elimination of their positions under this Decree;chanroblesvirtualawlibrary
b. Payment of the share of the National Government in
the salaries of national officials and employees in newly created
and/or reclassified cities and provinces where nor appropriations have
been provided in this Decree or where the authorized appropriations are
not sufficient to cover the salaries of the said officials and
employees;chanroblesvirtualawlibrary
c. Payment of hazard pay to officials and employees
who are actually assigned to danger or strife-torn areas as may be
determined by the Philippine Constabulary. The additional compensation
herein provided shall not be less than P50 nor more than P150 per
month, and shall be granted to those actually performing their duties
in areas of conflict and only for the duration of existence of such
peril;chanroblesvirtualawlibrary
d. Deficiencies in the regular appropriations for the
opening of additional elementary and secondary classes;chanroblesvirtualawlibrary
e. Improvement of the social and economic
opportunities and such other activities intended for the welfare of the
national minorities as may be undertaken by the Office of the
Presidential Assistant on National Minorities;chanroblesvirtualawlibrary
f. Hosting of international conferences and
attendance of officials in such conferences held abroad;chanroblesvirtualawlibrary
g. Rural improvements and community development, such
as feeder roads, artesian wells, spring development, river and flood
control, sea walls, communal irrigation, schoolhouses, wooden bridges,
environmental sanitation, and other agricultural and health projects
that will promote the economic well-being of the rural areas;chanroblesvirtualawlibrary
h. Organization, activation, training and operation
of military engineering units, including pay and allowances of all
military personnel assigned thereto and for the purpose of implementing
agency development projects in areas adversely affected by peace and
order problems;chanroblesvirtualawlibrary
i. Food production, housing, sea farming, the "blue
revolution", reforestation, and other activities of similarly high
priority;chanroblesvirtualawlibrary
j. Payment of obligations of the National Government
or any of its departments or agencies arising from perfected contracts
and international agreements;chanroblesvirtualawlibrary
k. Payment to the Government Service Insurance System
of annual life insurance premiums of barrio captains and councilmen
under R.A. No. 4898;chanroblesvirtualawlibrary
l. Purchase of equipment, including motor vehicles,
to replace those that may be lost through theft or robbery, accident,
fire or typhoon and other natural calamities, to replace unserviceable
ones condemned by the Commission on Audit, and for expansion of
facilities as may be approved by the President, subject to the
provisions of Letter of Implementation No. 29;chanroblesvirtualawlibrary
m. Implementation of the provisions of Proclamation
No. 1081, dated September 21, 1972 and all Presidential Orders, Decrees
and Instructions issued as a consequence of said Proclamation.
Section 3. Transfer of Salary Savings to the
Government Service Insurance System Prohibited. — The provisions of
Section 7 (c) or C.A. No. 186, as amended, to the contrary
notwithstanding, no savings from personal services shall be transferred
to the Government Service Insurance System for payment of benefits.
Section 4. Athletic Uniforms and Supplies. — Except
as otherwise provided in this Decree, appropriations for maintenance
and other operating expenses not exceeding P10,000 per annum may be
used for the purchase of athletic uniforms at not more than P100 per
athlete, and for supplies and necessary expenses for athletic
activities, subject to Section 7-I (4) of C.A. No. 246, as amended.
Section 5. Miscellaneous Expenses. — Except as
otherwise provided in this Decree, heads of bureaus and offices, or
organizations of equal rank, may use the appropriations for sundry
expenses, for miscellaneous expenses, including official entertainment,
in an amount not exceeding P3,000 per annum for each agency.
Section 6. Extraordinary Expenses. — Unless otherwise
provided in this Decree, a total of P15,000 is hereby authorized for
extraordinary expenses of the undersecretaries of each Department or
equivalent, and P3,000 each for heads of bureaus and offices, or of
organizations of equal rank, chargeable against agency appropriations
for maintenance and other operating expenses.
Section 7. Appropriations for Rental. — The
appropriations for rental or for purchase of buildings and grounds
authorized under this Decree may be used for lease-purchase
arrangements. Any department, bureau or office may also contract with
government banking or financial institutions for loans intended for the
acquisition of land or for the construction of government buildings:
PROVIDED, That the concurrence of the Secretary of Finance and of the
Commissioner of the Budget are obtained beforehand. The annual
amortization of the loans shall be taken from the appropriations for
rental authorized under this Decree for the department, bureau or
office concerned.
Section 8. Authority to Charge Seminar Fees. —
Departments, bureaus, offices and agencies of the National Government
which conduct training programs are authorized to collect seminar and
conference fees from participants coming from the private sector and
from other agencies, the rates of which shall be approved by the Civil
Service Commission and the Budget Commission, and to use the proceeds
thereof subject to the provisions of Section 7-I(4) of C.A. No. 246, as
amended, to defray the costs incurred, including speakers honoraria,
handouts, meals and other incidental expenses: PROVIDED, That such
receipts shall be deposited with the National Treasury pursuant to P.D.
No. 711.
Section 9. Continuation of Privileges Granted in P.
D. No. 733. — Unless otherwise provided in this Decree, the authority
for per diems, honoraria, hazard or risk pay, flying pay, high
differential, extra or additional compensation of unique or unusual
work or depressed area assignments, allowances for quarters
subsistence, laundry, uniform, or clothing privileges, scholarship
grants, contracts for janitorial and security guard services,
consultancy services, and other similar privileges, which were granted
in P.D. No. 733, are hereby reauthorized, subject to review under the
provisions of P.D. No. 985.
Section 10. Membership Dues in International
Organizations. — Except as otherwise provided in the appropriations for
departments, bureaus and offices under this Decree, the appropriations
for maintenance and other operating expenses of the agency concerned
may be used for the payment of dues in international organizations,
membership in which are duly approved by competent authority.
Section 11. Foreign Exchange Differentials. — Except
as otherwise provided in the appropriations for departments, bureaus,
agencies and offices, the appropriations for maintenance and other
operating expenses may be used to pay for foreign exchange
differentials.
Section 12. Maximum Number of Permanent Positions in
an Office. — Except as otherwise provided by law, the maximum number of
permanent positions in a bureau or office shall not exceed the number
of permanent positions in a bureau or office shall not exceed the
number of permanent positions included in the approved staffing
patterns and in the itemization of personal services or in the approved
special budgets for the said Bureau or office: PROVIDED, That subject
to the approval of the Commissioner of the Budget, heads of the
Executive Departments are hereby authorized to utilize savings from
their respective appropriations to create additional positions to
implement the regionalization of their respective agencies under the
Integrated Reorganization Plan or for expansion of essential services,
subject to the provisions of Section 7-I (4) of C.A. No. 246, as
amended. chanroblesvirtualawlibrary
Section 13. No Salary Increase Unless Specifically
Authorized. — No portion of the appropriations provided in this Decree
shall be used for payment of salary increases or salary adjustments
unless specifically authorized by law, decree or appropriate budget
circular, nor shall any appropriation for salaries authorized in this
Decree he paid except as provided for under P.D. No. 985.
Section 14. Special Attorneys under P.D. No. 478. —
Lawyer-personnel of departments, bureaus or offices of the National
Government who are appointed as special attorneys by the Solicitor
General pursuant to P.D. No. 478, are hereby authorized an allowance of
P100 per appearance chargeable against the appropriations for
maintenance and other operating expenses of their respective offices,
but not exceeding P400 per month.
Section 15. Officials Entitled to Transportation and
Representation Allowances. — The following officials and those of
equivalent rank are hereby granted commutable transportation and
representation allowances which shall be paid from the programmed
appropriations provided for their respective offices, not exceeding the
rates indicated below, which shall apply for each type of allowance.
a. At P350 per month — Secretaries of National
Government Departments
b. At P350 per month — Career Executive Service
Rank I officials;chanroblesvirtualawlibrary
c. At P250 each per month — Career Executive
Service Rank II officials;chanroblesvirtualawlibrary
d. At P200 each per month — Career Executive
Service Rank III officials;chanroblesvirtualawlibrary
e. At P150 each per month — Career Executive
Service Rank IV officials;chanroblesvirtualawlibrary
f. At P100 each per month — Career Executive
Service Rank V officials and chiefs of technical
divisions.
PROVIDED, That the transportation allowance herein provided shall not
be granted who use government motor transportation except as may be
approved by the President: PROVIDED, FURTHER, That when necessary,
equivalence in rank shall be determined by the Commissioner of the
Budget in coordination with the Career Executive Service Board.
Section 16. Prohibition of Double Allowances or
Benefits. — The provisions in the preceding section
notwithstanding, officials and employees already receiving such or
similar allowances or benefits granted under previous authorizations
shall not be entitled to any increased transportation and/or
representation allowances provided therein, unless the total of his
existing allowances or benefits is less than the total of the two rates
fixed in the preceding section, in which case he may be entitled only
to the difference.
Section 17. Consultant's Compensation. — Compensation
of consultants who are hired by a department, bureau or office, when
authorized in their respective appropriations in this Decree, shall be
paid an amount not exceeding P12,000 per annum as the aggregate of
salaries, fees, honoraria, per diems and allowances, except as may be
authorized by the Commissioner of the Budget in accordance with
guidelines issued by the President.
Section 18. Payment of Honorarium. — Departments,
bureaus and offices are authorized to pay from their respective
appropriations honorarium to resource speakers, researchers, experts,
and specialists who are acknowledged authorities along their fields of
specialization for services rendered at such rates as the President may
authorize, unless otherwise specifically provided under existing law.
Section 19. Payment of the Salary Difference. —
Subject to the approval of the Commissioner of the Budget, heads of
departments are hereby authorized to pay from the appropriations of
their respective departments the difference between the amount provided
for a position in the approved staffing pattern authorized in this
Decree and the actual salary of an incumbent thereof, or the salary
that may be subsequently allowed for the incumbent thereof but not
exceeding the maximum of the range allocation of the position,
whichever is applicable.
Section 20. Seminar Expenses. — Departments, bureaus
and offices are hereby authorized to conduct seminars, workshops, and
in-service training courses for their employees, the expenses of which
shall be chargeable against the appropriations for maintenance and
other operating expenses of their respective offices.
Section 21. Per Diems Outside of the Philippines. —
No per diem in excess of the equivalent fifty U.S. dollars shall be
paid to any official or employee traveling outside of the Philippines,
except as may be approved by the President.
Section 22. Uniform and Shoes Allowance. —
Appropriations for each department, bureau or office, at such sums as
may be necessary, may be used for uniform and shoes allowance of
personnel at not more than P150 each per annum: PROVIDED, That only
those personnel authorized to receive such allowance as of FY 1974 or
subsequently authorized by the President may be entitled to same.
Savings in the appropriations for each department, bureau or office may
be used for this purpose where no amount is specifically appropriated
in this Decree or in an amount necessary to make the allowance P150 if
a lesser amount is appropriated.
Section 23. Purchase of Locally Manufactured
Products. — All appropriations for the purchase of equipment, supplies
and materials authorized in this Decree shall be available only for
locally manufactured equipment, parts, accessories, medicines and
drugs, supplies and materials, except when none is available in the
market or when the price of the locally manufactured article exceed
those determined by the Flag Law by fifteen percent.
Section 24. Limitation of Ordinary and Emergency
Purchase of Supplies, Materials and Equipment Spare Parts. — Except as
otherwise provided in this Decree, the stock of supplies, materials and
equipment spare parts, acquired through ordinary and emergency
purchase, shall at no time exceed normal three-month requirements,
subject to the pertinent rules and regulations issued by competent
authority.
Section 25. Emergency Purchase of Supplies, Materials
and Spare Parts. — Unless otherwise provided in this Decree,
departments, bureaus, or offices of the National Government are hereby
authorized to make emergency purchases of supplies, materials and spare
parts of equipment which are urgently needed to meet an emergency which
may involve the loss of, or danger to, life and/or property or are to
be used in connection with a project or activity which cannot be
delayed without causing determent to the public service, at not
exceeding P5,000 a month out of the appropriation for maintenance and
other operating expenses of the agency concerned.
Section 26. Purchase of Computer Equipment. — Any
authority granted in this Decree for the purchase of computer equipment
shall be subject to the approval of the National Computer
Center. chanroblesvirtualawlibrary
Section 27. Officials Entitled to Government Motor
Transportation. — Government motor transportation may be used, with
costs chargeable against the appropriations authorized for their
respective offices, by the following officials and those authorized
under this Decree or special laws or where specifically authorized by
the President:cralaw:red
a. The President of the Philippines;chanroblesvirtualawlibrary
b. The Chief Justice of the Supreme Court;chanroblesvirtualawlibrary
c. The Secretaries and Undersecretaries of National
Government Departments, and officials of equivalent rank;chanroblesvirtualawlibrary
d. The Presiding Justice of the Court of Appeals;chanroblesvirtualawlibrary
e. The Ambassador, Ministers Plenipotentiary and
Consuls in charge of Consulates, in their respective stations abroad;
and
f. The Chief of Staff, the Vice Chief of Staff and
the Commanding Generals of the major services of the Armed Forces of
the Philippines.
Section 28. Purchase, Use, Operation and Maintenance
of Motor Transport Equipment. — No appropriation for equipment
authorized in this Decree shall be used for the purchase of
automobiles, jeeps, jitneys, station wagons, motorcycles, trucks,
lauches, speedboats,rplanes and other types of motor transport
equipment unless otherwise specifically approved by the President:
PROVIDED, That all bureaus and offices with previous authority to
purchase such motor transport equipment, including those acquired
through donations or gifts from private individuals or organizations,
are authorized to use, operate and maintain them while carrying out the
official functions and activities of the agency.
Section 29. Proper Use of Government Motor Vehicles.
— The use of government motor vehicles by bureaus and offices shall be
authorized only through the issuance for each trip of a serially
numbered ticket, duly signed by an authorized officials. These motor
vehicles shall be used strictly for official business, bear government
plates only and after office hours kept in garage provided therefor by
the bureau or office to which they belong, except when in use for
official business outside office hours. Any violation of the provisions
of this section shall cause withdrawal of the privilege to use motor
vehicles from the office or bureaus concerned.
Section 30. Use of More Than One Motor Vehicles
Prohibited. — With the exception of the President, no government
official authorized to use any vehicle operated and maintained from the
funds appropriated in this Decree shall be allowed to use more than one
such motor vehicle except the Chief Justice of the Supreme Court who
may be allowed to use two motor vehicles. The Chairman, Commission on
Audit shall issue rules and regulations for the proper implementation
and enforcement of the provisions for this Section and Sections 27, 28
and 29 hereof.
Section 31. Limitation in Rental of Motor Vehicles. —
No appropriations provided in this Decree for the Executive Departments
shall be used for renting automobiles, jitneys or trucks on a monthly
basis nor on a daily basis for a continuous period exceeding fifteen
days.
Section 32. Authority to Accept Donations and
Disposition of Proceeds Thereof. — The provisions of P.D. No. 711 and
other laws notwithstanding, departments, bureaus, agencies and offices
of the National Government are authorized to accept donations, grants,
bequests or gifts, and the proceeds therefrom and contributions
received shall be used or expended only in accordance with the wishes
of, and purposes specified by, the benefactor or donor, subject to the
provisions of Section 7-I(4) of C.A. No. 246, as amended: PROVIDED,
That such receipts, including equipment and other fixed assets, shall
be recorded in the books of government and subject to the pertinent
accounting and auditing rules and regulations.
Section 33. Fees and Charges. — Departments, bureaus,
agencies or offices are hereby authorized to collect fees for services
rendered in the exercise of their functions, the rates of which shall
be subject to the approval of the department head concerned: PROVIDED,
That income from such fees or charges shall be deposited with the
National Treasury and shall be considered as income of the General Fund
except as may be otherwise provided for by law.
Section 34. Incentive Fees. — Incentive or service
fees paid by the Government Service Insurance System or by private
companies as may be approved by the agency heads concerned and which
are intended for employees of agencies, shall be deposited with the
National Treasury as trust funds, withdrawable upon approval of a
Special Budget for the purpose: PROVIDED, That payments to individuals
shall be made in accordance with rates for individuals approved by the
Department Heads concerned: PROVIDED, FURTHER, That the share of any
individual in such incentive or service fees may not exceed 50% of his
annual salary.
Section 35. Income of State Colleges and Universities
and National Vocational and Secondary Schools. — Incomes and state
colleges, universities and national vocational and secondary schools
earned from tuition and other school fees, operation of land grants,
cafeterias and other auxiliary enterprises, the sale of commercial
items, and other sources, are hereby appropriated and shall be
available for necessary expenses of the agency within the obligational
authority calling established, upon deposit of the income with the
National Treasury as Special Accounts in the General Fund. Availments
or withdrawals from the account shall be on a reimbursement basis and
through TCAA procedures: PROVIDED, That procedures established by the
Budget Commission regarding the reimbursement process, including the
preparation and approval of covering Special Budgets, Advice of
Allotment and Cash Disbursement Ceilings shall be observed: PROVIDED,
FURTHER, That no amount from such incomes shall be used to create new
positions, to augment salaries or any type of personal services
expenditures, to increase allowances beyond those already authorized,
or to purchase motor vehicles, equipment, or books, without the prior
approval of the Office of the President pursuant to Letter of
Implementation No. 29: PROVIDED, FINALLY, That this procedure shall
become effective beginning with School Year 1977-78 with respect to
income from tuition and other student fees.
Section 36. Income of Hospitals. — Income of
hospitals from Medicare receipts and other sources are hereby
appropriated and shall be made available for necessary expenses of the
agency within the obligational authority ceiling established, upon
deposit of the income with the National Treasury as Special Accounts in
the General Fund. Availments or withdrawals from the account shall be
on a reimbursement basis and through TCAA procedures: PROVIDED, That
procedures established by the Budget Commission regarding the
reimbursement process, including the preparation and approval of
covering Special Budgets, Advice of Allotment and Cash Disbursement
Ceilings shall be observed: PROVIDED, FURTHER, That no amount from such
incomes shall be used to create new positions to augment salaries or
any type of personal services expenditure, to increase allowances
beyond these already authorized, or to purchase motor vehicles or
equipment without the prior approval of the Office of the President
pursuant to Letter of Implementation No. 29.
Section 37. Use of Salary Lapses. — All new positions
in state colleges and universities and in schools within the
jurisdiction of the Department of Education and Culture which are
authorized in this Decree shall be filed only beginning in May 1977 and
the savings resulting from the non-filing thereof for the period from
January to April may be used to augment appropriations for equipment
and for maintenance and other operating expenses of the respective
schools.
Section 38. Salary of Substitute Employee. — Savings
in the appropriation of agencies for personal services may be used for
payment of salary of substitute employees who may be hired in
accordance with Civil Service Commission guidelines, rules and
regulations, to take the place of those who are on military duty, on
vacation, sick or maternity leave, on study grant in the country or
abroad, or are temporarily absent from their respective posts for any
cause but who continue to receive salary from the appropriation of
their positions.
Section 39. Continuing Capital Outlays. — Any
provision of law to the contrary notwithstanding, the appropriations
for capital outlays provided in this Decree which are actually released
to the agencies concerned, with the exception of equity contributions
to government corporations, shall be available for expenditure until
the projects are completed.
Section 40. Sale of Publications. — Official
publications of departments, bureaus, agencies or offices may be sold:
PROVIDED, That unless otherwise provided by existing law, receipts from
sales shall accrue to the General Fund.
Section 41. Loan Proceeds. — Expenditures funded from
foreign or domestic borrowings shall be provided for in full within the
expenditure program of the agency concerned. Loan proceeds shall not be
used without the corresponding release of funds through a Special
Budget pursuant to C.A. No. 246 (as amended).
Section 42. Sub-Allotments to Regional Units. — Funds
released for specified regional units shall not be withheld in whole or
in part by the Central or other offices of the agencies concerned,
except as authorized under Letter of Instructions No. 447 and the
related rules and regulations.
Section 43. Quarterly Report on Accomplishment of
Government Agencies. — The heads of Departments, Bureaus, Offices, or
other agencies of government whose appropriations are based on the
Performance Budget shall submit a Quarterly Report of their
accomplishments and corresponding costs, to the Commissioner of the
Budget as Chairman of the Development Budget Coordination Committee.
Section 44. Itemization of Personal Services. — The
itemization of personal services and the organization charts of
departments, bureaus and offices as approved by the President in
support of the appropriations herein provided for personal services,
together with approved implementing rules and regulations, shall form
part and be governed by the provisions of this Decree.
Section 45. Repealing Clause. — All laws, rules and
regulations inconsistent with this Decree are hereby repealed or
modified accordingly.
Section 46. Effectivity. — This Decree shall take
effect on January one, nineteen hundred and seventy-seven, except where
otherwise provided. chanroblesvirtualawlibrary
Done in the City of Manila,
this 19th day of November, in the year of Our Lord, nineteen hundred
and seventy-six.
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