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PRESIDENTIAL DECREE NO. 759



PRESIDENTIAL DECREE NO. 759 - APPROPRIATING FUNDS FOR PUBLIC WORKS, SYNCHRONIZING THE SAME WITH PREVIOUS PUBLIC WORKS APPROPRIATIONS

 chanroblesvirtualawlibrary

WHEREAS, Presidential Decree Nos. 3 and 475 provide appropriations for rehabilitation and reconstruction of damaged infrastructure facilities caused by calamities in 1972 and for additional development projects designed to further accelerate socio-economic development;chanroblesvirtualawlibrary

WHEREAS, there is a need to increase the appropriations of some on-going and previously authorized projects to ensure their completion in view of increased construction costs brought about by circumstances beyond the control of the government and of changes in technical designs and requirements;chanroblesvirtualawlibrary

WHEREAS, there is also a need to provide appropriations for new projects in support of priority programs of the government including the food production and distribution program;chanroblesvirtualawlibrary

WHEREAS, it is necessary to provided adequate appropriations to cover the local counterpart funds of on-going and proposed foreign-financed projects in view of the country increasing capability to absorb foreign assistance as demonstrated by the various loans andds extended to Government projects;chanroblesvirtualawlibrary

WHEREAS, there is a need to appropriate funds for these projects in adequate amounts to cover their total costs up to completion to assure continuity of their implementations;chanroblesvirtualawlibrary

WHEREAS, in order to make more effective the National Development Program, there is a need to provide sustained financial support to the Infrastructure Program;chanroblesvirtualawlibrary

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution and for sustained development of the country through complementary infrastructure facilities, do hereby decree and order as follows:cralaw:red

Section 1.    Capital Development Projects. — The following sums, or so much thereof as may be necessary, are hereby appropriated, out of the general funds in the National Treasury not otherwise appropriated, from the proceeds of bond issues and/or loans from local or foreign financial institutions, to implement projects pertaining to the program of capital improvements of the Administration, subject to the provision hereinafter set forth, for the purpose mentioned hereunder:cralaw:red

TITLE A — TRANSPORTATION AND COMMUNICATIONS

1.    For the construction, improvement, rehabilitation; reconstruction, completion, including project preparations, and the purchase of necessary construction materials and supplies, of the projects listed/summarized hereunder:cralaw:red

(a)    Highways
1.    Pan Philippine Highway    P465,000,000

2.    Manila North Expressway Extension    125,000,000

3.    Manila East Road    75,000,000

4.    San Fernando-Gapan Road,
    Pampanga and Nueva Ecija    70,000,000

5.    Sto. Tomas-Batangas Road, Batangas    15,000,000

6.    Tarlac-Lingayen Road, Tarlac and
    Pangasinan    30,000,000

7.    Road Right-of-Way, Luzon Road
    Projects    91,000,000

8.    Cotabato-Digos Road, Cotabato    25,000,000

9.    Manila South Expressway Extension    20,000,000

10.    Tarlac-Santa Rosa Road including
    Feeder Roads, Tarlac and Nueva
    Ecija    10,000,000

11.    Iligan-Cagayan de Oro-Butuan City
    Road    200,000,000

12.    Cotabato City-General Santos City
    Road    30,000,000

13.    Cubao Interchange, Quezon City    20,000,000

14.    Davao-Calinan-Bukidnon Road    90,000,000

15.    Jct. Carmen-Dapecol-Panabo Pier
    Road, Davao del Norte    10,000,000

16.    Marikina-Infanta Road, Rizal and
    Quezon    100,000,000

17.    Lumban-Caliraya-Cavinti Road,
    Laguna    15,000,000

18.    Jct. Layac-Mariveles Road, Bataan    55,000,000

19.    Lamut-Banawe Road, Ifugao    30,000,000

20.    Agoo Tubao-Baguio Road, La Union
    and Benguet    40,000,000

21.    Bacoor-Naic Ternate-Nasugbu Road,
    Cavite and Batangas    60,000,000

22.    Tagaytay-Batangas Road, Tagaytay
    City and Batangas    65,000,000

23.    Zambales-Pangasinan Road    60,000,000

24.    Zamboanga Integrated Development
    Road Projects, Zamboanga del Sur    80,000,000

25.    Mindoro Integrated Development
    Road Projects, Occidental and
    Oriental Mindoro    150,000,000

26.    Legaspi-Tiwi Road, Albay    P20,000,000

27.    Tabaco-Ligao Road, Albay    15,000,000

28.    Silay-Bacolod-Bago Road, Negros
    Occidental    85,000,000

29.    Bago-Kabankalan Road, Negros
    Occidental    45,000,000

30.    Jaro-Janiuay Road, Iloilo    30,000,000

31.    Janiuay-Calinog Road, Iloilo    30,000,000

32.    Calinog-Passi Road, Iloilo    10,000,000

33.    Calinog-Dao Road, Iloilo    30,000,000

34.    Jaro-Zarrago Road, Iloilo    10,000,000

35.    Zarraga-Passi Road, Iloilo    60,000,000

36.    Carvasona-Duenal Road, Iloilo    10,000,000

37.    Zarraga-Barotac Nuevo Road, Cebu    35,000,000

38.    Cebu City-Carmen Road, Cebu    25,000,000

39.    Naga-Lutopan-Toledo Road, Cebu    50,000,000

40.    Puerto-Malaybalay Road, Bukidnon    60,000,000

41.    Malaybalay-Kibawe Road, Bukidnon    70,000,000

42.    Silay-Fabrica Road, Negros Occidental    75,000,000

43.    Fabrica-San Carlos Road, Negros Occidental    50,000,000

44.    San Carlos-Villahermoso Road,
    Negros Oriental    30,000,000

45.    Villahermoso-Sibuco Road, Negros
    Oriental    55,000,000

46.    Dao-Roxas City Road, Cebu    25,000,000

47.    Roxas-Pontevedra-Bailan Road,
    Capiz    15,000,000

48.    Lanot-Bailan Road, Capiz    15,000,000

49.    Bailan-Estancia Road, Capiz    35,000,000

50.    Limbog-Kalibo Road, Aklan    30,000,000

51.    Barotac Neuvo-Barotac Viejo Road,
    Iloilo    20,000,000

52.    Dawatan-Banate Road, Iloilo    10,000,000

53.    Carmen-San Remigion Road, Antique    45,000,000

54.    Anonang-Daanbantayan, Road, Cebu    15,000,000

55.    Cebu South Road, Cebu    65,000,000

56.    Baguio-Lubuagan Road, Benguet
    and Kalinga, Apayao    180,000,000

57.    Iloilo-Antique Road    60,000,000

58.    Dumaguete North Road, Negros
    Oriental    120,000,000

59.    Dumaguete South Road, Negros
    Oriental    P80,000,000

60.    Tagbilaran East Road, Bohol    120,000,000

61.    Tagbilaran North Road, Bohol    90,000,000

62.    Palo-Carigara-Ormoc Road, Leyte    70,000,000

63.    Dugo-Gonzaga-San Vicente Road,
    Cagayan    65,000,000

64.    Midsayap-Dulawan-Marbel Road,
    North Cotabato and Maguindanao    70,000,000

65.    Dipolog-Oroquieta Road,
    Zamboanga del Norte and Misamis
    Occidental    65,000,000

66.    Ilocos Sur-Ilocos Norte-Magapit
    Road, Ilocos Sur, Ilocos Norte and
    Cagayan    150,000,000

67.    Ilagan-Palanan Road, Isabela    70,000,000

68.    Solsona-Cabugao-Corner Rizal Road,
    Ilocos Norte, Kalinga, Apayao and
    Cagayan    130,000,000

69.    Quirino Highway, Quezon
    and Camarines Sur    100,000,000

70.    Metro Manila Ring Roads    190,000,000

71.    Circumferential Roads, Metro Manila    150,000,000

72.    Secondary and Feeder Roads in Bicol
    Region    60,000,000

73.    Gen. Santos-Malisbeng Secondary
    Roads, South Cotabato    60,000,000

74.    Basey-Balangiga Road, Western and
    Eastern Samar    50,000,000

75.    Capas-Botolan Road, Tarlac and
    Zambales    30,000,000

76.    Dipolog-Pagadian Road, Zamboanga
    del Norte and del Sur    50,000,000

77.    Valencia-Pangantucan-Kalilangan
    Road, Bukidnon    18,500,000

78.    Kalilangan-Kalingilan-Kibawe
    Road, Bukidnon    20,800,000

79.    Talakag-Lantapan Road, Bukidnon    20,000,000

80.    Brookes' Point Roads, Palawan    30,000,000

81.    Gasan Buenavista-Torrijos
    Road, Marinduque    11,000,000

82.    Ilagan-Kapatagan Road, Lanao del
    Norte    39,000,000

83.    Lake Lanao Coastal Road, Lanao del
    Sur    P92,000,000

84.    Padada-Columbio Road, Davao Del
    Sur and Sultan Kudarat    42,000,000

85.    Soquil-Maitum-Malisarong Road,
    South Cotabato    65,000,000

86.    South Cotabato Roads    34,000,000

87.    Radial and Circumferential Roads,
    Jolo, Sulu    20,000,000

88.    National Roads in Manila    100,000,000

89.    Improvement of National Roads and
    Bridges
    a.    Luzon    130,000,000
    b.    Mindanao    95,000,000
    c.    Visayas    70,000,000

90.    Feeder and Secondary Roads and
    Bridges    400,000,000

91.    Development Roads    240,000,000

92.    Provincial, City and Municipal Roads    300,000,000

93.    Roads Right-of-Way    150,000,000

94.    Various National Roads    311,700,000
    Total for Highways    P7,150,000,000
    ============

(b)    Railways
1.    Rehabilitation of Batangas Line
    (Calamba-Batangas Port)    P32,000,000

2.    Main Line South Project (Manila-
    Legaspi)    302,000,000

3.    Other Railways Projects    10,000,000
    Total for Railways    P344,000,000
    ===========

(c)    Airports andr Navigation
1.    Manila Internationalrport    (P254,000,000)

2.    Butuanrport    17,900,000

3.    Cagayan de Ororport    12,520,000

4.    Cagayan de Sulurport    17,000,000

5.    Cauayanrport    21,000,000

6.    Davao Cityrport    15,600,000

7.    Export Processing Zone
    Authorityrport    40,000,000

8.    Fugarport    20,300,000

9.    Iloilorport    P20,000,000

10.    Ipilrport    10,500,000

11.    Legaspirport    11,500,000

12.    Mactanrport    13,800,000

13.    Manila General Aviationrport    22,000,000

14.    Zamboanga City    15,000,000

15.    Variousrports    405,953,000

16.    Air Navigation Facilities    50,000,000
    Total forrpots/Air Navigation    P947,073,000
    ===========

(d)    Port works and Maritime Navigation
1.    Port of Manila    P270,000,000

2.    Port of Tobaco, Albay    24,365,000

3.    Port of Mariveles (Syncrolift), Bataan    30,000,000

4.    Port of Batangas, Batangas    14,500,000

5.    Port of Cagayan De Oro    45,500,000

6.    Port of Cebu, Cebu City    55,150,000

7.    Port of Cotabato (Polloc) Port of    120,000,000

8.    Makar, Gen. Santos City    44,700,000

9.    Port of Tacloban City, Leyte    14,600,000

10.    Port of Calapan, Mindoro Oriental    126,770,000

11.    Philippine (Navotas) Fisheries Port,
    Rizal    32,000,000

12.    Port of Casambalanga, Cagayan    25,000,000

13.    Port of Sta. Ana, Davao Oriental    10,600,000

14.    Port of Iloilo, Iloilo City    12,800,000

15.    Port of Bicobian, Isabela    14,400,000

16.    Port of Tandulsog, Jolo, Sulu    38,000,000

17.    Port of Pulupandan, Negros Occidental    13,900,000

18.    Port of Ozamis, Misamis Occidental    11,400,000

19.    Port of Dumaguete, Negros Oriental    12,900,000

20.    Port of Puerto Princesa, Palawan    13,900,000

21.    Port of Mariveles, Bataan    10,000,000

22.    Port of Puluan, Dapitan City    10,000,000

23.    Port of Basilan, Zamboanga del Sur    11,700,000

24.    Various National Ports    255,776,000
    Total for National Ports    P1,217,961,000

25.    Various Municipal Ports    36,869,000

26.    Lighthouses and Other Maritime
    Navigation Facilities    P25,000,000
    Total for Portworks and Maritime
    Navigation    P1,279,830,000
        ============

(e)    Telecommunications

1.    Telegraphic Transfer Services
    Improvement    P30,000,000

2.    Municipal Telephone System    42,000,000

3.    Telecommunications Maintenance
    Centers (Regional And Provincial)    48,500,000
    Total for Telecommunications    P120,500,000
    ===========

    TOTAL FOR
    TRANSPORTATION AND
    COMMUNICATIONS    P9,841,403,000
        ============

TITLE B — WATER RESOURCES DEVELOPMENT

1.    For the construction, improvement, rehabilitation, reconstruction, completion, including project preparation and the purchase of necessary construction materials supplies of the projects listed/summarized hereunder:cralaw:red

(a)    Irrigation
1.    Aurora-Peñaranda Basin Diversion
    Scheme    228,000,000

2.    Tarlac Irrigation Systems
    Improvement Project    139,000,000

3.    Angat-Magat Integrated
    Agricultural Development Project    95,436,000

4.    Davao del Norte Irrigation Project
    (Saug-Compostela)    21,900,000

5.    Agusan del Sur Irrigation Project
    (Bunawan-Salvacion)    44,400,000

6.    Pulangui River (Valencia) Bukidnon    55,060,000

7.    Upper Pampanga River Project,
    Watershed Development Pilot
    Project    10,000,000

8.    Casecnan Trans-Basin Development
    Project    P20,000,000

9.    Lower Agno Irrigation Project,
    Pangasinan    12,000,000

10.    Various National Irrigation Projects    295,765,000

11.    Various Communal Irrigation
    Projects    70,000,000

12.    Pump Irrigation Projects    50,000,000

13.    Irrigation-Electrification Projects    30,000,000

14.    Mindoro Integrated Development
    Irrigation Projects    71,500,000

15.    Bicol River Basin Development
    Irrigation Projects    78,000,000

16.    Zamboanga Integrated Development
    Irrigation Projects    30,000,000

17.    Groundwater Development Project    70,710,000
    Total for Irrigation    P1,321,771,000
        ============

(b)    Water Supply
1.    Various Artesian Wells and Springs    P90,959,000

2.    Various Waterworks    78,729,000
    Total for Water Supply    P169,688,000

(c)    Flood Control and Drainage
1.    Agno River Control, Pangasinan    P108,100,000

2.    Asingan-San Manuel Levee with
    Closure of the Chico River, Agno
    River Control, Pangasinan    17,000,000

3.    Abelong and Angalacan River
    Control, Pangasinan    14,500,000

4.    Magat River Control, Nueva
    Viscaya, Isabela and Cagayan    800,000,000

5.    Pampanga River Control, Pampanga,
    Bulacan and Nueva Ecija    118,580,000

6.    Gumain-Porac River Control,
    Pampanga    15,642,000

7.    Pasig-Potrero River Control Pampanga    41,500,000

8.    Labangan Floodway, Bulacan    12,500,000

9.    San Fernando-Abacan River
    Control, Pampanga    P38,500,000

10.    Parua River Control, Tarlac    39,000,000

11.    Rio Chico River Control, Pampanga
    and Nueva Ecija    54,900,000

12.    Manila and Suburbs River Control,
    Manila and Suburbs    2,273,500,000

13.    Mangahan Floodway, Rizal    180,000,000

14.    Magasawang Tubig River Control,
    Oriental Mindoro    12,000,000

15.    Bicol River Control, Camarines Sur    45,950,000

16.    Ilog-Hilabangan, River Control,
    Negros Occidental    64,344,000

17.    Panay River Control Capiz and
    Roxas City    28,100,000

18.    Samar-Leyte Schistosomiasis
    Control Project    10,000,000

19.    Maranding River Control, Lanao Del
    Norte    10,200,000

20.    Agusan River Control, Butuan City
    and Agusan    73,000,000

21.    Davao River Control, Davao City    10,520,000

22.    Cotabato River Control, Cotabato    194,350,000

23.    Pampanga, Bicol and Cotabato
    Dredging Project    54,000,000

24.    Various River and Flood Control
    Projects    236,856,000
    Total for River Control And
    Drainage    P4,453,042,000
    ============

    TOTAL FOR WATER RESOURCES
    DEVELOPMENT    P5,944,501,000
    ============

TITLE C — BUILDINGS

1.    For the construction, improvement, rehabilitation, reconstruction, including project preparation and the purchase of necessary construction materials and supplies, of the projects listed/summarized hereunder:cralaw:red

(a)    National and Related Buildings
1.    Philippine College of Arts and
    Trades Building, Manila    P16,330,000

2.    Bureau of Posts Building, Manila
    and Provincial Branches    11,400,000

3.    Department of Education and
    Culture Building    52,000,000

4.    Philippine College of Commerce
    Building, Manila    24,400,000

5.    Department of Public Works,
    Transportation and Communications
    Building, Quezon City    50,000,000

6.    Bureau of Lands Building    45,000,000

7.    Weather Bureau Building, Quezon
    City    13,200,000

8.    Bureau of Soils Building,
    Quezon City    25,000,000

9.    Bureau of Animal Industry Building,
    Quezon City    10,000,000

10.    Philippine Fisheries Commission
    Building, Quezon City    10,000,000

11.    University of the Philippines
    Diliman, Quezon City and Los
    Baños, Laguna
    a.    Academic Buildings, Diliman and
    Los Baños    62,400,000
    b.    Campus Utilities and Ground,
    Diliman and Los Baños    31,085,000
    c.    Ancillary Facilities, Diliman and Los
    Baños    16,100,000
    d.    Other Projects    23,720,000

12.    Department of Labor Buildings,
    Quezon City    45,000,000

13.    Department of Social Welfare Building    15,500,000

14.    National Economic and
    Development Authority Building    30,000,000

15.    Department of Trade Building,
    Quezon City    50,000,000

16.    Central Mindanao State University
    Building, Bukidnon    20,915,000

17.    Mindanao State University Building
    Marawi City    14,110,000

18.    Children's Educational Foundation
    Building, Villa, Cotabato    12,025,000

19.    Local Government Regional
    Training Center Buildings    15,000,000

20.    Department of Natural Resources
    Building, Quezon City    45,000,000

21.    Various National Buildings    269,474,000
    Total for National Buildings    P907,659,000
    ===========

(b)    Hospitals and Sanitaria
1.    Jose Reyes Hospital, Manila    P11,400,000

2.    Dr. Jose Fabella Memorial Hospital,
    Manila    11,600,000

3.    Philippine General Hospital, Manila    10,650,000

4.    National Cancer Center Building,
    Manila     14,000,000

5.    Various Hospitals and Related
    Buildings    269,414,000
    Total for Hospitals and Sanitaria    P317,064,000
    ===========

    (c)    Elementary School Buildings    P600,000,000
    (d)    Secondary School Buildings    100,000,000
    (e)    Other Public Buildings and
        Miscellaneous Public Works    100,000,000
    TOTAL FOR BUILDINGS    P2,024,723,000
    =============

TITLE D — SHORE PROTECTION

1.    For the construction, improvement, rehabilitation, reconstruction, completion, including project preparation and the purchase of necessary construction materials and supplies of the projects summarized hereunder:cralaw:red

(a)    Various Sea Walls    P23,665,000
    Total for Section 1    P17,834,292,000
    =============

Section 2.    Miscellaneous Projects. — The following sums, or so much thereof as may be necessary are hereby appropriated, out of the general funds in the national treasury not otherwise appropriated, subject to the provisions hereinafter set forth, for the purpose mentioned hereunder:  chanroblesvirtualawlibrary

a)    For the maintenance and/or repair of public
    buildings, shrines, and monuments,
    including ground and outside installations:
    Provided, That, so much as may be
    necessary but not to exceed P1,000,000
    of this sum shall be made available for the
    Malacañang buildings and Mansion and
    Guest Houses in Baguio: Provided,
    further, that P100,000 of this sum
    shall be made available for the
    maintenance of the Mabini Shrine in
    Tanauan, Batangas, including the salaries
    of the two caretakers of the Shrine who
    shall be the two nearest surviving
    kins of Apolinario Mabini    P30,000,000

b)     For the maintenance and emergency
    repair of existing flood control and
    drainage structures    10,000,000

c)     For the prosecution of pre-investment
    studies, regional planning, project pre-
    feasibility and feasibility studies,
    preliminary engineering and other
    activities necessary prior to actual
    project implementation, including
    administrative services and training
    directly identified with the studies
    and purchase of equipment, materials
    and supplies as may be authorized by
    the National Economic and Development
    Authority upon recommendation of
    department heads concerned    P100,000,000

d)     For the prosecution of necessary detailed
    engineering of projects authorized in this
    and other public works measures,
    including detailed surveys, soils
    investigation, detailed designs, preparation
    of specifications and contract documents
    and other related activities that are
    necessary prior to actual construction, as
    may be authorized by the National
    Economic and Development Authority
    upon recommendation of department
    heads concerned    50,000,000

e)     For the purchase of necessary rights-of-way
    for the implementation of projects authorized
    in this and other public works measures as
    may be authorized by the National Economic
    and Development Authority upon
    recommendation of department heads
    concerned    100,000,000

f)      For water resources investigations, survey
    and studies, establishment of recording
    stream gaging stations of various rivers
    including publication, and preparation of
    water Atlas for the Philippines to be
    undertaken by the National Water
    Resources Council    13,000,000

g)    For the construction of ware housing
    facilities necessary for the implementation
    of programs of the National Grains
    Authority and other governmental
    agencies    100,000,000

h)    For the implementation of the Philippine
    Australian Development Assistance
    Program    P100,000,000
    Total for Section 2    P503,000,000
    ===========

SPECIAL PROVISIONS

Section 3.    Program of Work Required Before Prosecuting Public Works. — Before prosecuting any public works project, the district, city or project engineer concerned shall prepare a program of work for approval by the Department Head concerned for any project with an estimated cost of more than P500,000; by the Bureau Head concerned for any project with an estimated cost of more than P200,000 but not more than P500,000; by the Regional Director concerned for any project with an estimated cost of more than P50,000 but not more than P200,000; and by the District or City Engineer concern for any project with an estimated cost of P50,000 or less. In no case shall construction funds be remitted to field offices or construction work on a project be started before the program of work is approved.

No program of work for any project which requires special site investigation, survey, and construction plans shall be approved unless such plans are used as basis of the program: Provided, That for projects with an estimated cost of P1,000,000 or more, the PERT/CPM technique shall be used and a time-scaled diagram of the activities shall as well a monthly cash flow shall be made part of the program of work. The PERT/CPM diagram shall be used by the agency concerned as a basis for, inter alia, monitoring the progress of work, making progress payments, and assessing claims for extra cost and time extension.

The program of work for any project shall not be amended except in case of unforeseen contingencies or any change in field conditions or other similar circumstances in which case an amendment may be allowed provided that such amendment will not result in a deficiency of the expected accomplishment in excess of fifteen per centum thereof and an extension of project duration beyond a reasonable period.  chanroblesvirtualawlibrary

Section 4.    Rental of Equipment. — Rental of equipment shall not be deducted at the time of the release of funds for public works or even in anticipation of use of the equipment but shall be paid based on actual use when the appropriation so released is P25,000 or less. When the appropriation so released is above P25,000 and use of rented equipment is anticipated, deduction for rental shall be made at the time of the release of funds but such deduction shall not exceed ten per centum of the released appropriation: Provided, That, should the amount so deducted be in excess of actual rental, the balance of such deduction should be remitted immediately to the district or city engineering office concerned.

Section 5.    Preference to Local Labor. — In the execution and construction of any public works project, the labor requirements shall be filled by laborers from the sitio, barrio, poblacion or municipality where the project is being undertaken. However, in case of skilled labor, it may be procured elsewhere within the province where the project is located; and in the case of specialized skilled labor, it may be procured outside the province where the project is located.

Section 6.    Labor — Intensive Methods — Whenever technically practicable and economically feasible, labor-intensive methods may be used in the prosecution of public works or portion thereof authorized in this Decree and other Public Works measures: Provided, That the structural integrity of the project is not impaired and its financial cost does not increase by more than ten (10%) per centum over that involved in alternative normal equipment-intensive construction technique as defined by the agency concerned: Provided, further, That the employment of workers for the labor-intensive operations will not unduly impair the labor requirements for agricultural production. Before any such project is prosecuted, the agency concerned shall prepare at least two alternative methods of construction based on the same plans and structural standards, one being labor-intensive, together with a comparative evaluation of projected financial and economic costs, employment generation, and technical quality; such comparison shall be the basis for selecting the most advantageous construction techniques to be employed in terms of the criteria in the preceding sentence.  chanroblesvirtualawlibrary

The selected construction technique shall be made part and the basis of the program of work which shall be subject to approval by the officials concerned in accordance with the provisions of Section 3 of this Decree.

The purchase of hand tools and other work implements for undertaking public works projects by labor-intensive technique is authorized to be charged against the project funds not be exceed five (5%) per centum of the estimated project cost; Provided, That the agencies concerned shall undertake a continuing inventory of such hand tools and other work implements and make full economic use thereof in different projects.

The agencies concerned shall refer to the relevant studies of the Department of Public Works, Transportation and Communications and the International Labor Organization for the identification of project work items or activities suitable for labor-intensive methods of construction.

Section 7.    Pre-Construction Activities. — In the implementation of the work a general plan of operations shall be prepared to indicate the methods and procedures to be followed. This plan will cover and organize all relevant fields of study, delineation of responsibilities for undertaking each phase, specifying all analytical procedures and resources to be required for conducting the studies: Provided, That the appropriation shall include administrative services directly identified with the studies and purchase of equipment, materials, and supplies.

Section 8.    Use of Private Consulting Services. — For any public works project with an estimated cost of P200,000 or more, the Department Head concerned may hire the services of Filipino or associated Filipino and foreign consultants or consulting firms whenever available, for a fee not exceeding two and one half per centum (2 ½%) of the estimated cost for the review of the project or plans and specifications devised by the bureau or office concerned, and/or for a fee not exceeding nine per centum (9%) of the estimated total project cost to undertake the detailed design, including plans and specifications, and/or construction, supervision of the project: Provided, That the participation of Filipino consultants and/or government implementing agency concerned in any point venture of foreign and local agencies shall be maximized.

Section 9.    Purchase of Sites. — Any appropriation herein authorized for construction of a project shall be understood to include the acquisition or purchase of sites whenever such acquisition or purchase is necessary for the prosecution of the project.

Section 10.    Prosecution of Public Works Projects by Administration. — The provisions of any law, rules or regulations to the contrary notwithstanding and irrespective of the source of funds, all public works project with a cost of Two Hundred Thousand Pesos (P200,000) or less may be done by administration by the bureau or agency concerned without benefit of public bidding subject to the provisions of Section 5 and Section 6 thereof. Public works projects with a cost of more than Two Hundred Thousand Pesos (P200,000) shall, after public bidding, be awarded by contract. If there are no acceptable bids for the project, or the bids are higher by more than ten per centum (10%) over the government estimate, the project may be prosecuted by administration by the bureau or agency concerned after securing the approval of the Department Head. In case of urgent necessity or emergency, projects costing more than P200,000 may be prosecuted by administration without benefit of public bidding upon representation by the bureau or agency concerned, subject to favorable recommendation of the Department Head and approval by the President of the Philippines.

Section 11.    Purchase of Materials and Supplies. — The Department Head concerned is authorized, in the interest of public service, subject to bidding and auditing requirements, to procure the necessary materials and supplies, needed for the construction, reconstruction, improvement, repair and/or maintenance of any public work project, regardless of the source of funds; Provided, That, when such materials and supplies are obtainable locally in the district, city or neighboring districts, the same may be procured by the District or City Engineer without prior authority from the Department Head; Provided, further, that, no surcharge shall be imposed for the service of procuring such materials and supplies; Provided, furthermore, that the cost of such materials and supplies shall not exceed the estimated cost of such materials and supplies stated in the approved program of work as provided under Section 3 hereof.

Section 12.     Engineering Surcharge and Other Overhead Expenses. — No national surcharge shall be collected from the appropriation or expenditures authorized for any category of public work and all surcharges to be collected by the district or city engineering office for administrative overhead and engineering expenses, including the compensation and travel expenses and all other deductions shall not exceed ten per centum of expenditures or appropriation for any public works project, so that ninety per centum of said appropriation shall be expanded directly for the project: Provided, That nine per centum said expenditures shall accrue to the district or city engineering office and one per cent shall accrue to the regional engineering offices concerned: Provided, further, That such surcharges shall be under the custody of the disbursing officers of the said engineering offices: Provided, finally, That such surcharges may be used for the purchase of the motor vehicles and equipment.  chanroblesvirtualawlibrary

Section 13.     National Disbursing Funds. — Any provisions of existing law to the contrary notwithstanding, all funds appropriated under the provisions of this Decree shall, when released, be carried in the account books of the treasurers or special disbursing officers as national disbursing funds and all projects herein specified are classified as national projects: Provided, That, provincial fund allocated as counterpart shall not be considered as national fund.

Section 14.     Interchangeability of Financing Methods. — Upon the recommendation of the Secretary of Finance and the National Economic and Development Authority, the President of the Philippines is authorized to modify the financing methods indicated in this and previous Public Works Measures, so as to enable the department head concerned to undertake the projects financed from general revenue with the proceeds from the sale of bonds and/or from loans.  chanroblesvirtualawlibrary

Section 15.     Other Financing Methods. — The provisions of existing laws, executive orders, rules and regulations to the contrary notwithstanding, the proceeds from the payment for reparations goods may be used for financing projects authorized in this Decree and other Public Works Measures, including the purchase of necessary equipment, construction materials and supplies.

Section 16.     Unreleased Appropriations. — All unreleased appropriations in Republic Acts Numbered Forty Eight Hundred Fifty Four, Fifty One Hundred Eighty Seven, and Fifty Nine Hundred Seventy Nine are hereby repealed.

Section 17.     Reports. — The Department Head concerned shall submit an annual accomplishment report to the President, copy of which shall be furnished the National Economic and Development Authority, Such report shall include the appropriations released as of the end of the fiscal year, the extent of work accomplished, further work to be done to complete the program of broad categories of public works and recommendations if any, for transfer of appropriations or for program changes to be incorporated in the next Public Works Appropriations Measure.

Section 18.     Effectivity. — This Decree shall take effect immediately.

Done in the City of Manila, this 31st day of July, in the year of Our Lord, nineteen hundred and seventy-five.


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