A
collection of Philippine laws, statutes and codes
not
included or cited in the main
indices
of
the
Chan Robles Virtual Law Library
PRESIDENTIAL DECREE NO. 1703
PRESIDENTIAL DECREE NO. 1703 -
AMENDING PRESIDENTIAL DECREE NO. 690, THE REVISED CHARTER OF THE
SOUTHERN PHILIPPINES DEVELOPMENT AUTHORITY
|
chanroblesvirtualawlibrary
WHEREAS, it
is the policy of the Government to foster and accelerate the balanced
growth of the Southern Philippines (Mindanao, Sulu, Basilan and
Tawi-Tawi) for the national economic, social and political stability;chanroblesvirtualawlibrary
WHEREAS, surveys and studies indicate a pressing need to accelerate the
economic growth and development of the region to make it more
responsive to the national plans and policies within the context of
national solidarity with the leadership, support and total commitment
of the government;chanroblesvirtualawlibrary
WHEREAS, sustained development of the region will rely heavily on the
capabilities of the people of the area to participate in the total
effort in undertaking integrated development projects under one
authoritative agency;chanroblesvirtualawlibrary
WHEREAS, the Southern Philippines Development Administration has been
created by the Presidential Decree No. 690 to serve as the specific
agency of the Government which is responsible for the initiation and/or
implementation of development projects in Southern Philippines; and
WHEREAS, the Southern Philippines Development Administration, in order
to more effectively and vigorously promote and enhance the development
of Mindanao and Sulu Archipelago, should be restructured and
strengthened.
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 that Presidential Decree No. 690, otherwise known as
the Southern Philippines Development Administration Charter, be amended
to read as follows: chanroblesvirtualawlibrary
Section 1. Short Title. — This Decree shall be known
as the "Revised Charter of the Southern Philippines Development
Authority."
Section 2. Declaration of Policy. — It is hereby
declared the policy of the Government to foster and accelerate the
balanced growth of the Southern Philippines within the context of
national plans and policies, by the activation of mass participation in
the processes of development to be exercised through a unified
responsive agency; democratization of opportunity for improvement and
maximization of benefits in the utilization and allocation of all the
resources that may be available; utilization of income and profit for
economic growth and development and in support of the required social
innovations.
Section 3. Creation of the Southern Philippines
Development Authority. — There is hereby created a body corporate to be
known as the Southern Philippines Development Authority, hereinafter
referred to as the "Authority" which shall be governed by the
provisions of this Decree. Generally, the Authority shall undertake
essentially developmental and economically viable ventures within its
territorial boundaries of operations which is limited to the
geographical coverage of Regions IX, X, XI and XII.
Section 4. Principal Office; Term. — The principal
office of the authority shall be in Davao City. It may, however,
establish such branches, subsidiaries, offices or agencies as it may
deem proper and necessary for the attainment of the objectives of this
Decree. The Authority shall have a term of fifty (50) years from the
issuance hereof, renewable for the same period unless otherwise
provided by law. chanroblesvirtualawlibrary
Section 5. Purpose. — The Authority shall have the
following purposes and objectives: chanroblesvirtualawlibrary
a) To promote the development of Southern Philippines
by initiating and/or undertaking, by itself or otherwise, development
and/or business projects of corporate, economic nature whether in
agriculture, power, infrastructure, energy, public utilities, land
development, manufacturing, exploration and/or utilization of natural
resources and other fields or projects;chanroblesvirtualawlibrary
b) To make investments in any field as would enhance
the economic development of the region.
Section 6. Powers and Functions of the Authority. —
The Authority shall exercise the following powers and perform functions:cralaw:red
a) To succeed on its corporate name, with the power
of succession.
b) To sue and be sued in such corporate name.
c) To adopt, alter and use a corporate seal, which
shall be judicially noticed.
d) To undertake the programs and projects specified
or envisioned under Section 5 thereto.
e) To make contracts of any kind and description to
enable it to discharge its functions and attain the objectives provided
in this Decree.
f) To adopt, amend and repeal its by-laws.
g) To acquire, lease or hold such personal and real
property as it deems necessary or convenient in the transaction of its
business and to lease out, mortgage, sell, alienate or otherwise
dispose any such personal and real property held by it. chanroblesvirtualawlibrary
h) To hold, own, possess, lease, convey and mortgage
agricultural lands.
i) To engage or invest in or extend loans and
guarantees to, or enter, into joint ventures with Filipino and foreign
investors as it may deem proper, and necessary or contributory to the
economic development of Southern Philippines. chanroblesvirtualawlibrary
j) To exercise the right of eminent domain as may be
necessary for the purpose for which the corporation is created.
k) Whenever essential to the proper transaction of
its business or to carry out the purposes of its organization, to
contract indebtedness and issue bonds.
l) To charge and collect fees, dues or other charges
at reasonable rates for such services and/or facilities that may be
provided by the Authority.
Section 7. Availability and Utilization of Public
Lands. — Upon request by the Authority and certification by the
President, the Bureau of Lands and Bureau of Forestry shall immediately
make available and deliver necessary public lands, for the Authority's
priority projects. The Authority is hereby empowered and authorized to
hold, administer, utilize, encumber or otherwise deal with such land in
the pursuit of the said priority projects.
Section 8. Capital Stock. — The Authority shall have
an authorized capital stock of Five Hundred Million Pesos
(P500,000,000.00) the amount to be fully subscribed and paid by the
National Government, to be appropriated out of any funds in the
National Treasury not otherwise appropriated. The present assets of the
Authority may be revalued as of the date of the effectivity of this
Decree and such revaluation may be reflected in the Authority's
capitalization. Existing liabilities of the Authority due the National
Government are hereby converted as capital of the Authority.
Section 9. Operating Expenses. — There is hereby
appropriated the sum of Two Million Pesos out of the funds of the
National Treasury not otherwise appropriated for the operating costs of
the Authority for the remaining period of Fiscal Year 1980. Thereafter
and for subsequent fiscal years, the amount of Ten Million Pesos shall
be provided in the General Appropriations Act to cover the operating
expenses of the Authority. chanroblesvirtualawlibrary
Section 10. Power to Issue Bonds. — Whenever the
Board Directors may deem it necessary for the Authority to incur an
indebtedness or to issue bonds to carry out the provisions of this
Decree, it shall, by resolution, so declare and state the purpose for
which the proposed debt is to be incurred. In order that such
resolution be valid, it shall be passed by the affirmative vote of at
least a simple majority of all the members of such 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 11. Sinking Fund. — A sinking fund shall be
established by the Authority in such manner that the total annual
contributions thereto, accrued at such rate of interest as may be
determined by the Minister of Finance in consultation with the Monetary
Board, shall be sufficient to redeem at maturity the bonds issued under
the provisions of this Decree. Said fund shall be under the custody of
the Central Bank of the Philippines which shall invest the same in such
a manner as the Monetary Board may approve, charging all expenses of
such investment of said sinking fund, and crediting the same with the
interest on investments and other income accruing thereto.
Section 12. Government Guarantee. — The Republic of
the Philippines hereby guarantees the payment of the Authority of both
the principal and interests on bonds, debentures, collaterals, notes or
such other obligations incurred by the Authority by virtue of the
provisions of this Decree, and shall pay the said principal and
interest in case the Authority fails to pay the same. The Minister of
Finance shall pay the amount thereof, to be appropriated from the funds
of the National Treasury not otherwise appropriated, and thereupon to
the extent of the amount so paid, the Government of the Republic of the
Philippines shall succeed to all the rights of the holders of such
bonds, debentures, collaterals, notes or other obligations, unless the
amount be refunded by the Authority within a reasonable time. chanroblesvirtualawlibrary
Section 13. Foreign Loans. — The Authority is hereby
authorized to contract loans, credit and indebtedness, in any
convertible foreign currency or capital goods from time to time from
foreign governments or any international financial institutions or fund
sources, the total outstanding amount of which, exclusive of interest
charges, shall not exceed two hundred million US Dollars or the
equivalent thereof in other currencies at any one time on such terms
and conditions as may be agreed upon.
The President of the Philippines, by himself, or through the Minister
of Finance or the Governor of the Central Bank, is hereby further
authorized to guarantee, absolutely and unconditionally, as primary
obligor and not as surety merely, in the name and on behalf of the
Republic of the Philippines, the payment of any loans herein
authorized, as well as the performance of all or any of the obligations
undertaken by the Authority, pursuant to loan agreements entered into
with foreign government or any international financial institutions.
In the negotiation and contracting of any loan, credit or indebtedness
under this Section, the provision of Section Four of Republic Act
Numbered Four Thousand Eight Hundred Sixty, as provided in Section Five
of Republic Act Numbered Six Thousand One Hundred Forty-Two, as
amended, shall apply.
The loans, credits and indebtedness contracted under this subsection
and the payment of the principal, interest and other charges thereon,
as well as the importation of machinery, equipment, materials and
supplies by the Authority, paid from the proceeds of any loan, credit
or indebtedness incurred under this Decree shall also be exempt from
all taxes, fees, imposts, other charges and restrictions imposed by the
Republic of the Philippines, or any of its agencies and political
subdivisions. chanroblesvirtualawlibrary
Section 14. Board of Directors. — The affairs and
business of the Authority shall be directed and its property managed
and preserved, unless provided in this Decree, by a Board of Directors,
hereinafter referred to as the Board, consisting of eleven (11) members
who are as follows:cralaw:red
1) The Minister of Human Settlements who shall act as
the Chairman of the Board of Directors;chanroblesvirtualawlibrary
2) Six (6) regular members to be appointed by the
President;chanroblesvirtualawlibrary
3) The two Chairman of the Lupong Tagapagpaganap ng
Pook of Regions IX and XII and the two Chairmen of the Regional
Development Councils of Regions X and XI, as ex-officio members of the
Board.
The members of the Board shall receive a per diems of Seven Hundred
Fifty Pesos for every meeting of the Board attended; Provided, that in
no case shall such per diems received by each exceed Two Thousand Two
Hundred and Fifty Pesos per month. They shall likewise be reimbursed by
the Authority for actual expenses for travelling and subsistence
allowance incurred in attending such meetings, subject to the usual
auditing and accounting requirements.
Section 15. Organizational Structure. — The Board of
Directors shall determine the organizational structure, staffing
pattern and pay scales of the Authority and the officers and employees
thereof. The Board may reorganize the same and create or abolish
divisions, officers, units, branches or agencies therein, as the
exigencies of the affairs of the Authority may require. chanroblesvirtualawlibrary
Section 16. Administrator. — The Corporation shall
have an Administrator to be appointed by the President of the
Philippines who shall be the Chief Executive Officer of the Authority
and ex-officio Vice-Chairman of the Board of Directors.
The Administrator shall have the following powers, duties and
responsibilities:cralaw:red
a) To submit to the Board for consideration policies
and measures which, in his judgment, are necessary to carry out the
purposes and provisions of this Decree.
b) To prepare the budget of the Authority for
approval of the Board.
c) To execute and administer the policies and
measures approved by the Board.
d) To direct and supervise the operations and
internal administration of the Authority. He may delegate certain
administrative responsibilities to other officers of the Authority
subject to the rules and regulations of the Board.
e) To appoint all employees of the Authority except
the heads of the departments and divisions whose appointments shall be
made by the Board of Directors upon his recommendations; and to remove,
dismiss or otherwise discipline for cause, such employees in accordance
with the standard guidelines for recruitment, employment and discipline
of personnel which shall be enacted by the Board.
f) To represent the Authority in all dealings with
other offices, agencies and instrumentalities of the Government and
with all persons and entities, public or private. chanroblesvirtualawlibrary
g) Subject to the approval of the Board, to determine
the rates of compensation, allowances, honoraria and such other
additional compensation which the Authority to grant its officers,
technical staff and consultants, including the necessary detailed
personnel. chanroblesvirtualawlibrary
h) To exercise such other powers as may be vested in
him by the Board.
The Administrator shall receive a compensation of Ninety Six Thousand
Pesos per annum. chanroblesvirtualawlibrary
Section 17. Other Officers. — The Administrator shall
be assisted in carrying out the activities of the Authority by one or
more Deputy Administrators who shall be appointed and removed for cause
by the Board upon recommendation of the Authority. Their salaries shall
be fixed by the Board pursuant to Section 15 hereof.
Section 18. General Counsel. — The Government
Corporate Counsel shall be the General Counsel of the Authority who
shall exclusively handle, control and supervise the legal affairs of
the Authority and its subsidiaries. The Authority and its subsidiaries
are hereby authorized to appropriate and pay such amount representing
assessments by the Office of the Government Corporate Counsel for its
operation and maintenance approved by the Office of the President. The
Government Corporate Counsel may designate any of the lawyers in the
Office of the Government Corporate Counsel to assist him in the
discharge of his functions. The Authority may extend such allowances to
such lawyers so designated in such amount as may be approved by the
Board.
Section 19. Merit System. — All officials and
employees of the Authority shall be selected and appointed on the basis
of merit and fitness in accordance with the comprehensive and
progressive merit system to be established by the Authority immediately
upon its organization in accordance with Civil Service Law, rules and
regulations. The recruitment, transfer, promotion and dismissal of all
its personnel, including temporary workers shall be governed by such
merit system.
Section 20. Gratuity. — An employee or Officer of the
Authority not selected nor appointed by the Authority in case of future
reorganization or who refuses such appointment shall be paid the money
value of his accumulated vacation and sick leave, and such retirement
gratuity as may be due him under existing retirement laws. Any of the
employees who do not qualify under any existing retirement law may be
paid one month salary for every year of service payable in lump sum.
For this purpose, there is hereby appropriated out of any funds in the
National Treasury not otherwise appropriated the sum of Two Million
Pesos (P2,000.000.00) to provide for their separation gratuities,
accumulated vacation and sick leave and/or retirement, when and if,
payable and due to them. chanroblesvirtualawlibrary
Section 21. Auditor. — The Commission on Audit shall
appoint, subject to the approval of the Board, a representative who
shall be the Auditor of the Authority and such personnel as may be
necessary to assist said representative in the performance of his
duties. Subsidiaries of the Authority created and registered with the
Securities and Exchange Commission are to be audited by independent
Certified Public Accountant as may be approved by the Board.
Section 22. Subsidiaries. — The Authority shall have
the power to form, establish, organize and maintain subsidiary
corporation or corporations. Such subsidiary or subsidiaries shall be
formed in accordance with the Philippine Corporation Law and existing
rules and regulations promulgated by the Securities and Exchange
Commission, unless otherwise provided in this Decree. In all cases, the
Authority shall own initially at least fifty one (51%) per centum of
the capital stock of each subsidiary.
A subsidiary of the Authority shall have a Board of Directors of at
least five (5) members of which at least one director shall be elected
from among the members of the Board of Directors of the Authority. In
addition, the Chief Executive Officer of the Authority, or his duly
designated representative from the Authority shall be an ex-officio
member of the Board of Directors of each subsidiary established by the
Authority.
Such subsidiaries shall be exempt from coverage of the Civil Service
Decree, rules and regulations, and Office of Compensation and Position
Classification.
Section 23. Relationship With Regional Development
Councils. — To effectively implement its purposes, duties, powers and
functions, the Authority shall coordinate with, consult or implement
its policies and projects through the Regional Development Councils in
Southern Philippines. In addition to their present powers, duties and
functions, the Regional Development Councils in the Philippines shall
have the following functions:cralaw:red
a) Submit recommendation to the Authority on certain
economic, development, industrial and corporate projects in and for
their respective territorial jurisdiction;chanroblesvirtualawlibrary
b) Assist and/or implement such projects as may be
approved for their respective local governments;chanroblesvirtualawlibrary
c) Furnish the Authority such data and information in
their respective territorial jurisdiction which the Authority may deem
vital and necessary in the pursuit of its purposes and objectives; and
d) Coordinate among themselves in the planning and
implementation of their respective economic development and industrial
projects falling under the Authority.
Section 24. Donations and Gifts. — The Authority
shall have the right to receive donations or bequests which shall be
utilized only for the implementation of the programs and projects of
the Authority. Such donations or bequests shall be exempt from the
payment of gift taxes and full amount of such donations or bequest
shall be deductible from the gross income of the donor for the year
during which the same is made.
Section 25. Administrative Supervision. — The
Authority shall be placed under the Ministry of Human Settlements under
the direct supervision of the Minister of Human Settlements.
Section 26. Applicability of the Corporation Law. —
The provisions of the Corporation Law, as amended insofar as they are
not inconsistent with this Decree shall be applicable to the operations
of the Authority.
Section 27. By Laws and Rules and Regulations. — The
Board of Directors shall adopt its By-Laws promulgate the rules and
regulations to implement the provisions of this Decree which shall take
effect upon approval by the Minister of Human Settlements.
Section 28. Separability Clause. — Should any
provision of the decree be held unconstitutional, no other provisions
or parts thereof shall be affected thereby.
Section 29. Repealing Clause. — All other laws,
decrees, acts, orders, executive orders, rules and regulations or parts
thereof inconsistent herewith are hereby likewise repealed or modified
accordingly. chanroblesvirtualawlibrary
Section 30. Effectivity. — This Decree shall take
effect immediately.
Done in the City of Manila,
this 26th day of July, in the year of Our Lord, nineteen hundred and
eighty.
|
Back
to Home
- Back
to Main
chanroblesvirtuallawlibrary
Since 19.07.98
|