EXECUTIVEORDERNO.292

INSTITUTINGTHE"ADMINISTRATIVECODEOF1987"

July25,1987

WHEREAS,theAdministrativeCodecurrentlyinforcewasfirstforgedin1917whentherelationshipbetweenthepeopleandthegovernmentwasdefinedbythecolonialorderthenprevailing;

WHEREAS, efforts to achieve an integrative and over‐all recodification of itsprovisionsresultedintheAdministrativeCodeof1978which,however,wasneverpublishedandlaterexpresslyrepealed;

WHEREAS, the effectiveness of the Government will be enhanced by a newAdministrativeCodewhichincorporatesinaunifieddocumentthemajorstructural,functionalandproceduralprinciplesandrulesofgovernance;and

WHEREAS,anewAdministrativeCodewillbeofoptimumbenefittothepeopleandGovernmentofficers andemployees as it embodies changes in administrativestructuresandproceduresdesignedtoservethepeople;

NOW,THEREFORE, I, CORAZONC.AQUINO,Presidentof thePhilippines, by thepowersvestedinmebytheConstitution,doherebypromulgatetheAdministrativeCodeof1987,asfollows:

INTRODUCTORYPROVISIONS

Sec.1.Title.‐ThisActshallbeknownasthe"AdministrativeCodeof1987."

Sec. 2. General Terms Defined. ‐ Unless the specific words of the text, or thecontextasawhole,oraparticularstatute,shallrequireadifferentmeaning:

(1) "Government of the Republic of the Philippines" refers to the corporategovernmental entity through which the functions of government are exercised

throughout the Philippines, including, save as the contrary appears from thecontext,thevariousarmsthroughwhichpoliticalauthorityismadeeffectiveinthePhilippines, whether pertaining to the autonomous regions, the provincial, city,municipalorbarangaysubdivisionsorotherformsoflocalgovernment.

(2) "National Government" refers to the entire machinery of the centralgovernment,asdistinguishedfromthedifferentformsoflocalgovernments.

(3) "LocalGovernment" refers to thepolitical subdivisionsestablishedbyor inaccordancewiththeConstitution.

(4) "Agency of the Government" refers to any of the various units of theGovernment, including a department, bureau, office, instrumentality, orgovernment‐ownedorcontrolledcorporations,ora localgovernmentoradistinctunittherein.

(5)"Nationalagency"referstoaunitoftheNationalGovernment.

(6)"Localagency"referstoalocalgovernmentoradistinctunittherein.

(7) "Department" refers to an executive department created by law. ForpurposesofBookIV,thisshallincludeanyinstrumentality,ashereindefined,havingorassignedtherankofadepartment,regardlessofitsnameordesignation.

(8) "Bureau"refers toanyprincipalsubdivisionorunitofanydepartment.Forpurposes of Book IV, this shall include any principal subdivision or unit of anyinstrumentalitygivenorassignedtherankofabureau,regardlessofactualnameordesignation,asinthecaseofdepartment‐wideregionaloffices.

(9) "Office" refers,within the framework of governmental organization, to anymajor functionalunitof adepartmentorbureau including regionaloffices. Itmayalsorefer toanypositionheldoroccupiedby individualpersons,whose functionsaredefinedbylaworregulation.

(10) "Instrumentality" refers to any agency of the National Government, notintegrated within the department framework vested within special functions orjurisdictionby law,endowedwithsomeifnotallcorporatepowers,administeringspecial funds, and enjoyingoperational autonomy, usually through a charter. Thistermincludesregulatoryagencies,charteredinstitutionsandgovernment‐ownedorcontrolledcorporations.

(11)"Regulatoryagency"referstoanyagencyexpresslyvestedwithjurisdictionto regulate, administer or adjudicate matters affecting substantial rights andinterests of private persons, the principal powers of which are exercised by acollectivebody,suchasacommission,boardorcouncil.

(12)"Charteredinstitution"referstoanyagencyorganizedoroperatingunderaspecialcharter,andvestedbylawwithfunctionsrelatingtospecificconstitutionalpoliciesorobjectives.ThistermincludesthestateuniversitiesandcollegesandthemonetaryauthorityoftheState.

(13) "Government‐owned or controlled corporation" refers to any agencyorganized as a stock or non‐stock corporation, vested with functions relating topublic needs whether governmental or proprietary in nature, and owned by theGovernment directly or through its instrumentalities either wholly, or, whereapplicableasinthecaseofstockcorporations,totheextentofatleastfifty‐one(51)per cent of its capital stock: Provided, That government‐owned or controlledcorporationsmaybefurthercategorizedbytheDepartmentoftheBudget,theCivilServiceCommission,andtheCommissiononAuditforpurposesoftheexerciseanddischargeoftheirrespectivepowers,functionsandresponsibilitieswithrespecttosuchcorporations.

(14) "Officer" as distinguished from "clerk" or "employee", refers to a personwhose duties, not being of a clerical or manual nature, involves the exercise ofdiscretionintheperformanceofthefunctionsofthegovernment.Whenusedwithreferencetoapersonhavingauthoritytodoaparticularactorperformaparticularfunctionintheexerciseofgovernmentalpower,"officer"includesanygovernmentemployee,agentorbodyhavingauthoritytodotheactorexercisethatfunction.

(15) "Employee", when used with reference to a person in the public service,includes any person in the service of the government or any of its agencies,divisions,subdivisionsorinstrumentalities.

BOOKI

SOVEREIGNTYANDGENERALADMINISTRATION

Chapter1

THENATIONALTERRITORY

Sec.3.WhatComprisesNationalTerritory.‐ThenationalterritorycomprisesthePhilippine archipelago, with all the islands and waters embraced therein, and allother territories over which the Philippines has sovereignty or jurisdiction,consistingof its terrestrial, fluvial,andaerialdomains, including its territorialsea,theseabed,thesubsoil,theinsularshelves,andothersubmarineareas.Thewatersaround,between,andconnectingtheislandsofthearchipelago,regardlessoftheirbreadthanddimensions,formpartoftheinternalwatersofthePhilippines.

Sec.4.TerritorialSubdivisionofthePhilippines.‐Theterritorialandpoliticalsubdivisions of the Philippines are the autonomous regions, provinces,subprovinces,cities,municipalitiesandbarangays.

Chapter2

THEPEOPLE

Sec.5.WhoareCitizens.‐ThefollowingarethecitizensofthePhilippines:

(1)ThosewhoarecitizensofthePhilippinesatthetimeoftheadoptionoftheConstitution;

(2)ThosewhosefathersormothersarecitizensofthePhilippines;

(3) Those born before January 17, 1973, of Filipino mothers, who electPhilippinecitizenship,unlessbytheactoromissiontheyaredeemed,underthelaw,tohaverenouncedit.

Sec. 6. Effect of Marriage. ‐ Citizens of the Philippines who marry aliens shallretaintheircitizenship,unlessbytheiractoromissiontheyaredeemed,underthelaw,tohaverenouncedit.

Sec.7.Natural‐bornCitizen.‐Natural‐borncitizensarethosewhoarecitizensofthePhilippinesfrombirthwithouthavingtoperformanyacttoacquireorperfecttheir Philippine citizenship. Those who elect Philippine citizenship in accordancewiththeConstitutionshallbedeemednatural‐borncitizens.

Sec.8.LossorReacquisitionofCitizenship.‐Philippinecitizenshipmaybelostorreacquiredinthemannerprovidedbylaw.

Sec. 9. Dual Allegiance. ‐ Dual allegiance is inimical to the national interest andshallbedealtwithbylaw.

Chapter3

STATEIMMUNITYFROMSUIT

Sec.10.Non‐suabilityoftheState.‐NosuitshalllieagainsttheStateexceptwithitsconsentasprovidedbylaw.

Sec.11.TheState'sResponsibility forActsofAgents. ‐ (1)TheState shallbelegallyboundandresponsibleonlythroughtheactsperformedinaccordancewiththeConstitutionandthelawsbyitsdulyauthorizedrepresentatives.

(2) The State shall not be bound by themistakes or errors of its officers oragentsintheexerciseoftheirfunctions.

Chapter4

NATIONALSYMBOLSANDOFFICIALLANGUAGES

Sec.12.NationalFlag.‐(1)TheflagofthePhilippinesshallbered,whiteandblue,with a sun and three stars, as consecrated and honored by the people andrecognizedbylaw.

(2) The custody, ceremonial use, occasion and manner of display, and thepropercareanddispositionoftheflagshallbegovernedbyappropriaterulesandregulations.

Sec. 13. National Anthem. ‐ Until otherwise provided by law, the musicalarrangementandcompositionofJulianFelipeisadoptedasthenationalanthem.Itshall be sung or played upon the opening or start of all state celebrations orgatheringsandonsuchotheroccasionsasmaybeprescribedbyappropriaterulesandregulations.

Sec.14.ArmsandGreatSealoftheRepublicofthePhilippines.‐(1)TheArmsshallhavepalewaysoftwo(2)pieces,azureandgules;achiefargentstuddedwiththreemulletsequidistantfromeachother;and,inpointofhonor,ovoidargentoverallthesunrayonnantwitheightminorandlesserrays.Beneathshallbeascrollwiththewords"RepublicofthePhilippines,"oritsequivalentinthenationallanguage,inscribedthereon.

(2)TheGreatSealshallbecircularinform,withthearmsasdescribedinthepreceding paragraph, but without the scroll and the inscription thereon, andsurrounding the whole, a double marginal circle within which shall appear thewords"Republicof thePhilippines,"or itsequivalent inthenational language.Forthe purpose of placing the Great Seal, the color of the arms shall not be deemedessential.

Sec.15.UseandCustodyofGreatSeal. ‐TheGreatSeal shallbeaffixed toorplaceduponall commissions signedby thePresidentanduponsuchotherofficialdocuments and papers of the Republic of the Philippines as may be required bycustomandusage.ThePresidentshallhavecustodyoftheGreatSeal.

Sec.16.Arms,SealsandBannersofGovernmentOffices.‐Thevariousofficesofgovernmentmayadoptappropriatecoats‐of‐arms,sealsandbanners.

Sec. 17. Official Languages. ‐ Until otherwise provided by law, Pilipino andEnglishshallbetheofficiallanguages.

Chapter5

OPERATIONANDEFFECTOFLAWS

Sec. 18.When Laws Take Effect. ‐ Laws shall take effect after fifteen (15) daysfollowing the completion of their publication in the Official Gazette or in anewspaperofgeneralcirculation,unlessitisotherwiseprovided.

Sec.19.Prospectivity.‐Lawsshallhaveprospectiveeffectunlessthecontraryisexpresslyprovided.

Sec. 20. Interpretation of Laws and Administrative Issuances. ‐ In theinterpretation of a law or administrative issuance promulgated in all the officiallanguages, theEnglish text shall control,unlessotherwisespecificallyprovided. Incaseofambiguity,omissionormistake,theothertextsmaybeconsulted.

Sec. 21. No Implied Revival of Repealed Law.‐ When a law which expresslyrepealsapriorlawitselfrepealed,thelawfirstrepealedshallnotbetherebyrevivedunlessexpresslysoprovided.

Sec. 22. Revival of Law Impliedly Repealed. ‐ When a law which impliedlyrepealsapriorlawisitselfrepealed,thepriorlawshalltherebyberevived,unlesstherepealinglawprovidesotherwise.

Sec. 23. Ignorance of the Law. ‐ Ignorance of the law excuses no one fromcompliancetherewith.

Chapter6

OFFICIALGAZETTE

Sec.24.Contents. ‐Thereshallbepublished in theOfficialGazetteall legislativeactsandresolutionsofapublicnature;allexecutiveandadministrativeissuancesofgeneralapplication;decisionsorabstractsofdecisionsoftheSupremeCourtandtheCourtofAppeals,orothercourtsofsimilarrank,asmaybedeemedbysaidcourtsofsufficientimportancetobesopublished;suchdocumentsorclassesofdocumentsasmay be required so to be published by law; and such documents or classes ofdocuments as the President shall determine from time to time to have generalapplicationorwhichhemayauthorizesotobepublished.

Thepublicationofanylaw,resolutionorotherofficialdocumentsintheOfficialGazetteshallbeprimafacieevidenceofitsauthority.

Sec. 25. Editing andPublications. ‐ TheOfficialGazette shall be edited in theOfficeofthePresidentandpublishedweeklyinPilipinoorintheEnglishlanguage.Itshall be sold anddistributedby theNationalPrintingOfficewhich shall promptlymailcopiesthereoftosubscribersfreeofpostage.

Chapter7

REGULARHOLIDAYSANDNATIONWIDESPECIALDAYS

Sec. 26. Regular Holidays and Nationwide Special Days. ‐ (1) Unless otherwisemodifiedby law,orderorproclamation,thefollowingregularholidaysandspecialdaysshallbeobservedinthiscountry:

(A)RegularHolidays

NewYear'sDay‐January1

MaundyThursday‐Movabledate

GoodFriday‐Movabledate

ArawngKagitingan(Bataan‐April9andCorregidorDay)

LaborDay‐May1

IndependenceDay‐June12

NationalHeroesDay‐LastSundayofAugust

BonifacioDay‐November30

ChristmasDay‐December25

RizalDay‐December30

(B)NationwideSpecialDays

AllSaintsDay‐November1

LastDayoftheYear‐December31

(2)Theterms"legalorregularholiday"and"specialholiday",asusedinlaws,orders, rules and regulations or other issuances shall be referred to as "regularholiday"and"specialday",respectively.

Sec.27.LocalSpecialDays.‐ThePresidentmayproclaimanylocalspecialdayforaparticulardate,grouporplace.

Sec.28.PretermissionofHoliday.‐Wheretheday,orthelastday,fordoinganyact requiredorpermittedby law falls on a regularholidayor special day, the actmaybedoneonthenextsucceedingbusinessday.

Chapter8

LEGALWEIGHTSMEASURESANDPERIOD

Sec. 29. Official Use of Metric System. ‐ The metric system of weights andmeasures shall be used in the Philippines for all products, articles, goods,commodities,materials,merchandise, utilities, services, aswell as for commercialtransactionslikecontracts,agreements,deedsandotherlegalinstrumentspublicly

andofficiallyattested,andforallofficialdocuments.Onlyweightsandmeasuresofthemetricsystemshallbeofficiallysealedandlicensed.

Sec.30.MandatoryNation‐wideUse.‐Themetricsystemshallbefullyadoptedin all agricultural, commercial, industrial, scientific and other sectors. Persons orentities allowedunderexisting laws touse theEnglish systemorother standardsandweightsaregivenuntilthedatetobefixedbytheMetricSystemBoardtoadoptthemetricsystem.

Sec. 31. Legal Periods. ‐ "Year" shall be understood to be twelve calendarmonths; "month" of thirty days, unless it refers to a specific calendar month inwhichcaseitshallbecomputedaccordingtothenumberofdaysthespecificmonthcontains;"day,"toadayoftwenty‐fourhours;and"night,"fromsunsettosunrise.

Chapter9

GENERALPRINCIPLESGOVERNINGPUBLICOFFICERS

Sec.32.NatureofPublicOffice.‐Publicofficeisapublictrust.Publicofficersandemployees must at all times be accountable to the people, serve them with theutmost responsibility, integrity, loyalty and efficiency, act with patriotism andjustice,andleadmodestlives.

Sec.33.PolicyonChangeofCitizenship. ‐Publicofficersandemployeesowethe Senate and the Constitution allegiance at all times, and any public officer oremployeewhoseekstochangehiscitizenshiporacquirethestatusofanimmigrantofanothercountryduringhistenureshallbedealtwithbylaw.

Sec. 34.DeclarationofAssets, Liabilities andNetWorth. ‐Apublic officer oremployeeshalluponassumptionofofficeandasoftenthereafterasmayberequiredbylaw,submitadeclarationunderoathofhisassets,liabilities,andnetworth.

Sec. 35. Ethics in Government. ‐ All public officers and employees shall beboundbyaCodeofEthicstobepromulgatedbytheCivilServiceCommission.

Sec. 36. Inhibition Against Purchase of Property at Tax Sale. ‐ No officer oremployeeofthegovernmentshallpurchasedirectlyorindirectlyanypropertysoldbythegovernmentforthenon‐paymentofanytax,feeorotherpubliccharge.Anysuchpurchasebyanofficeroremployeeshallbevoid.

Sec. 37. Powers Incidental to Taking of Testimony. ‐When authority to taketestimonyor receiveevidence is conferreduponanyadministrativeofficeroranynon‐judicial person, committee, or other body, such authority shall include thepower to administer oaths, summon witnesses, and require the production ofdocumentsbyasubpoenaducestecum.

Sec.38.LiabilityofSuperiorOfficers. ‐ (1)Apublicofficershallnotbecivillyliableforactsdoneintheperformanceofhisofficialduties,unlessthere isaclearshowingofbadfaith,maliceorgrossnegligence.

(2) Any public officer who, without just cause, neglects to perform a dutywithinaperiodfixedbylaworregulation,orwithinareasonableperiodifnoneisfixed,shallbeliablefordamagestotheprivatepartyconcernedwithoutprejudicetosuchotherliabilityasmaybeprescribedbylaw.

(3)Aheadofadepartmentorasuperiorofficershallnotbecivillyliableforthewrongful acts, omissions of duty, negligence, or misfeasance of his subordinates,unless he has actually authorized bywritten order the specific act ormisconductcomplainedof.

Sec.39.LiabilityofSubordinateOfficers. ‐Nosubordinateofficeroremployeeshall be civilly liable for actsdonebyhim in good faith in theperformanceofhisduties.However,heshallbe liable forwillfulornegligentactsdonebyhimwhicharecontrarytolaw,morals,publicpolicyandgoodcustomsevenifheactedunderordersorinstructionsofhissuperiors.

Chapter10

OFFICIALOATHS

Sec.40.OathsofOfficeforPublicOfficersandEmployees.‐Allpublicofficersandemployees of the government including everymember of the armed forces shall,before entering upon the discharge of his duties, take an oath or affirmation toupholdanddefendtheConstitution;thathewillbeartruefaithandallegiancetoit;obey the laws, legal orders and decrees promulgated by the duly constitutedauthorities;willwellandfaithfullydischargetothebestofhisabilitythedutiesofthe office or position upon which he is about to enter; and that he voluntarilyassumestheobligationimposedbyhisoathofoffice,withoutmentalreservationorpurpose of evasion. Copies of the oath shall be deposited with the Civil ServiceCommissionandtheNationalArchives.

Sec. 41. Officers Authorized to Administer Oath. ‐ (1) The following officershave general authority to administer oath: Notaries public, members of thejudiciary,clerksofcourts, theSecretaryof theeitherHouseof theCongressof thePhilippines, of departments, bureau directors, registers of deeds, provincialgovernorsand lieutenant‐governors,citymayors,municipalmayorsandanyotherofficer in the service of the government of the Philippineswhose appointment isvestedinthePresident.

(2)Oathsmayalsobeadministeredbyanyofficerwhoseduties,asdefinedbylaworregulation,requirepresentationtohimofanystatementunderoath..

Sec. 42. Duty to Administer Oath. ‐ Officers authorized to administer oaths,withtheexceptionofnotariespublic,municipal judgesandclerksofcourt,arenotobliged to administer oaths or execute certificates save in matters of officialbusiness; and with the exception of notaries public, the officer performing theserviceinthosemattersshallchargenofee,unlessspecificallyauthorizedbylaw.

Chapter11

OFFICIALREPORTS

Sec. 43. Annual Reports. ‐ The heads of the several branches, subdivisions,departmentandagenciesorinstrumentalitiesoftheGovernmentshallprepareand

submitannual reports to thePresidentonorbefore the firstdayof July1ofeachyear.

Sec. 44. Contents of Reports. ‐ The contents of the annual reports shall beprescribedbylawor,intheabsencethereof,byexecutiveorder.

Sec. 45. Special Reports. ‐ Each chief of Bureau or other officer of thegovernmentshallmakesuchspecialreportsconcerningtheworkofhisBureauorOffice as may from time to time be required of him by the President of thePhilippinesorHeadofDepartment.

Sec. 46. Deposit with Archives. ‐ Official copies of annual reports shall bedepositedwiththeNationalArchivesandshallbeopentopublicinspection.

Chapter12

PUBLICCONTRACTSANDCONVEYANCES

Sec.47.ContractsandConveyances.‐ContractsorconveyancesmaybeexecutedforandinbehalfoftheGovernmentorofanyofitsbranches,subdivisions,agencies,or instrumentalities, including government‐owned or controlled corporations,wheneverdemandedbytheexigencyorexigenciesoftheserviceandaslongasthesamearenotprohibitedbylaw.

Sec.48.OfficialAuthorizedtoConveyRealProperty.‐Wheneverrealpropertyof the Government is authorized by law to be conveyed, the deed of conveyanceshallbeexecutedinbehalfofthegovernmentbythefollowing:

(1) For property belonging to and titled in the name of the Republic of thePhilippines, by the President, unless the authority therefor is expressly vested bylawinanotherofficer.

(2)ForpropertybelongingtotheRepublicofthePhilippinesbuttitledinthenameofanypoliticalsubdivisionorofanycorporateagencyorinstrumentality,bytheexecutiveheadoftheagencyorinstrumentality.

Sec.49.Authority toConveyotherProperty. ‐Wheneverpropertyother thanrealisauthorizedtobeconveyed,thecontractordeedshallbeexecutedbytheheadof theagencywith theapprovalof thedepartmenthead.Where theoperationsoftheagencyregularlyinvolvethesaleorotherdispositionofpersonalproperty,thedeed shall be executed by any officer or employee expressly authorized for thatpurpose.

Sec.50.ConveyanceofNationalGovernmentPropertytoLocalGovernments.‐WhentherealpropertybelongingtotheNationalGovernmentisneededforschoolpurposes, or other official use by any local government, the President shallauthorizeitstransfer,andthedepartmentheadorotherauthorityconcernedshallexecuteinfavorofthelocalgovernmentthenecessarydeedofconveyancebywayofgift,sale,exchange,orotherwise,anduponsuchtermsasshallbefortheinterestofthepartiesconcerned.Nothinghereinprovidedshallbedeemedtoauthorizetheconveyanceof unreservedpublic land, friar landor any real propertyheldby theGovernmentintrustorforaspecialpurposedefinedbylaw.

Sec.51.ExecutionofContracts.‐(1)ContractsinbehalfoftheRepublicofthePhilippinesshallbeexecutedbythePresidentunlessauthoritythereforisexpresslyvestedbylaworbyhiminanyotherpublicofficer.

(2) Contracts in behalf of the political subdivisions and corporate agencies orinstrumentalitiesshallbeapprovedbytheirrespectivegoverningboardsorcouncilsandexecutedbytheirrespectiveexecutiveheads.

BOOKII

DISTRIBUTIONOFPOWERSOFGOVERNMENT

Chapter1

BASICPRINCIPLESANDPOLICIES

Sec.1.GuidingPrinciplesandPoliciesinGovernment.‐Governmentalpowershallbeexercisedinaccordancewiththefollowingbasicprinciplesandpolicies:

(1)ThePhilippinesisademocraticandrepublicanState.Sovereigntyresidesinthepeopleandallgovernmentauthorityemanatesfromthem.

(2)The State values thedignity of everyhumanperson and guarantees fullrespectforhumanrights.

(3)Civilianauthorityis,atalltimes,supremeoverthemilitary.

(4)TheStateshallensuretheautonomyoflocalgovernments.

(5)TheterritorialandpoliticalsubdivisionsoftheRepublicofthePhilippinesaretheprovinces,cities,municipalities,andbarangays.Thereshallbeautonomousregions, in accordance with the Constitution, in Muslim Mindanao and theCordillerasasmaybeprovidedbylaw.

(6)TheseparationofChurchandStateshallbeinviolable.

(7)Therightofthepeopleandtheirorganizationstoeffectiveandreasonableparticipationatalllevelsofsocial,political,andeconomicdecision‐makingshallnotbe abridged. The State shall, by law, facilitate the establishment of adequateconsultationmechanisms.

(8)ThepowersexpresslyvestedinanybranchoftheGovernmentshallnotbeexercisedby,nordelegated to,anyotherbranchof theGovernment,except to theextentauthorizedbytheConstitution.

Chapter2

LEGISLATIVEPOWER

Sec. 2. Seat of Legislative Power. ‐ The legislative power shall be vested in theCongress of the Philippines which shall consist of a Senate and a House ofRepresentatives, except to theextent reserved to thepeopleby theConstitutionalprovisiononinitiativeandreferendum.

Sec.3.InhibitionsAgainstMembersofCongress.‐(1)NoSenatororMemberofthe House of Representatives may hold any other office or employment in theGovernment, or any subdivision agency, or instrumentality thereof, includinggovernment‐ownedorcontrolledcorporationsortheirsubsidiaries,duringhistermwithout forfeitinghis seat.Neither shall he be appointed to anyofficewhichmayhavebeencreatedortheemolumentsthereofincreasedduringthetermforwhichhewaselected.

(2) No Senator or Member of the House of Representatives may personallyappearas counselbeforeanycourtof justiceorbefore theElectoralTribunals,orquasi‐judicial and other administrative bodies. Neither shall he, directly orindirectly, be interested financially in any contract with, or in any franchise orspecial privilege granted by the Government, or any subdivision, agency orinstrumentalitythereofincludinganygovernment‐ownedorcontrolledcorporation,or its subsidiary, during his term of office. He shall not intervene in any matterbeforeanyofficeof theGovernment forhispecuniarybenefitorwherehemaybecalledupontoactonaccountofhisoffice.

Sec.4.ElectoralTribunal.‐TheSenateandtheHouseofRepresentativesshalleachhaveanElectoralTribunalwhichshallbethesolejudgeofallcontestsrelatingto the election, returns, and qualifications of their respective Members. EachElectoralTribunalshallbecomposedofnine(9)Members,three(3)ofwhomshallbe Justices of the Supreme Court to be designated by the Chief Justice, and theremainingsix(6)shallbeMembersoftheSenateortheHouseofRepresentatives,asthe casemaybe,who shall be chosenon thebasis ofproportional representationfrom the political parties and the parties or organizations registered under theparty‐list system represented therein. The senior Justice in the Electoral TribunalshallbeitsChairman.

Sec. 5. Commission on Appointments. ‐ There shall be a Commission onAppointmentsconsistingofthePresidentoftheSenate,asexofficioChairman,andtwelve (12) Senators and twelve (12) Members of the House of Representatives,electedbyeachHouseonthebasisofproportionalrepresentationfromthepoliticalparties and parties or organizations registered under the party‐list systemrepresentedtherein.TheChairmanoftheCommissionshallnotvote,exceptincaseofatie.TheCommissionshallactonallappointmentssubmittedtoitwithinthirty(30)sessiondaysoftheCongressfromtheirsubmission.TheCommissionshallrulebyamajorityvoteofallitsMembers.

Sec.6.LegislativeInvestigation. ‐TheSenateortheHouseofRepresentativesor any of its respective committeesmay conduct inquiries in aid of legislation inaccordance with its duly published rules of procedure. The rights of personsappearinginoraffectedbysuchinquiriesshallberespected.

Sec.7.AppearanceofHeadsofDepartments.‐Theheadsofdepartmentsmayupontheirowninitiative,withtheconsentofthePresident,orupontherequestofeitherHouse,astherulesofeachHouseshallprovide,appearbeforeandbeheardby such House on anymatter pertaining to their departments.Written questionsshall be submitted to the President of the Senate or the Speaker of the House ofRepresentatives at least three (3) days before their scheduled appearance.Interpellations shall not be limited to written questions, but may cover mattersrelatedthereto.WhenthesecurityoftheStateorthepublicinterestsorequiresandthePresident so states inwriting, theappearance shall be conducted in executivesession.

Sec. 8. Initiative and Referendum.‐ The Congress shall, as early as possible,provide for a system of initiative and referendum and the exceptions therefrom,wherebythepeoplecandirectlyproposeandenactlawsorapproveorrejectanyactor law or part thereof passed by the Congress or local legislative body after theregistrationofapetitionthereforsignedbyatleastten(10)percentumofthetotalnumberofregisteredvoters,ofwhicheverylegislativedistrictmustberepresentedbyatleastthree(3)percentumoftheregisteredvotersthereof.

Sec.9.PowertoProposeConstitutionalAmendments.‐(1)Anyamendmentto,orrevisionoftheConstitutionmaybeproposedby:(a)TheCongress,uponavoteofthree‐fourths (3/4) of all its Members; or (b) a constitutional convention. TheCongressmay,byavoteoftwo‐thirds(2/3)ofallitsMembers,callaconstitutionalconvention, or by amajority vote of all itsMembers, submit to the electorate thequestionofcallingsuchaconvention.

(2)AmendmentstotheConstitutionmaylikewisebedirectlyproposedbythepeople through initiativeuponapetitionofat least twelve(12)percentumof thetotal number of registered voters, of which every legislative district must berepresented by at least three (3) per centum of the registered voters therein. Noamendmentsunder thisparagraph shall be authorizedwithin fiveyears followingthe ratification of the 1987 Constitution nor oftener than once every five yearsthereafter.TheCongressshallprovidefortheimplementationoftheexerciseofthisright.

Sec. 10. Validity of Constitutional Amendments.‐ (1) Any amendment to orrevision of the Constitution proposed by Congress or a constitutional conventionshallbevalidwhenratifiedbyamajorityofthevotescastinaplebiscitewhichshallbe held not earlier than sixty days (60) nor later than ninety days (90) after theapprovalofsuchamendmentorrevision.

(2)AnyamendmenttoorrevisionoftheConstitutiondirectlyproposedbythepeoplethroughinitiativeshallbevalidwhenratifiedbyamajorityofthevotescastin a plebiscitewhich shall be held not earlier than sixty days (60) nor later thanninety days (90) after the certification by the Commission on Elections of thesufficiencyofthepetition.

Chapter3

EXECUTIVEPOWER

Sec.11.ExerciseofExecutivePower.‐TheExecutivepowershallbevestedinthePresident.

Sec. 12.TheVice‐President. ‐ There shall be aVice‐Presidentwho shall havethe same qualifications and term of office and be elected with and in the samemannerasthePresident.HemayberemovedfromofficeinthesamemannerasthePresident.

The Vice‐President may be appointed as a Member of the Cabinet. Suchappointmentrequiresnoconfirmation.

Sec. 13. Vacancy in Office of the President.‐ In case of death, permanentdisability, removal from office, or resignation of the President, the Vice‐PresidentshallbecomethePresidenttoservetheunexpiredterm.Incaseofdeath,permanentdisability, removal from office, or resignation of both the President and Vice‐President,thePresidentoftheSenateor,incaseofhisinability,theSpeakeroftheHouse of Representatives, shall then act as President until the President or Vice‐Presidentshallhavebeenelectedandqualified.

The Congress shall, by law, provide who shall serve as President in case ofdeath, permanent disability, or resignation of theActingPresident.He shall serveuntil thePresidentorVice‐Presidentshallhavebeenelectedandqualified,andbesubject to the same restrictions of powers and disqualifications as the ActingPresident.

Sec.14.VacancyinOfficeoftheVice‐President.‐Wheneverthereisavacancyin the Office of the Vice‐President during the term forwhich hewas elected, thePresidentshallnominateaVice‐President fromamong theMembersof theSenateandtheHouseofRepresentativeswhoshallassumeofficeuponconfirmationbyamajorityvoteofalltheMembersofbothHousesoftheCongress,votingseparately.

Sec.15. InhibitionsAgainstExecutiveOfficials. ‐ThePresident,Vice‐President,the Members of the Cabinet, and their deputies or assistants shall not, unlessotherwiseprovidedinthisConstitution,holdanyotherofficeoremploymentduringtheir tenure.They shallnot, during said tenure,directlyor indirectlypractice anyother profession, participate in any business, or be financially interested in anycontractwith,orinanyfranchise,orspecialprivilegegrantedbytheGovernmentoranysubdivision,agency,orinstrumentalitythereof,includinggovernment‐ownedorcontrolled corporations or their subsidiaries. They shall strictly avoid conflicts ofinterestintheconductoftheiroffice.

The spouse and relatives by consanguinity or affinitywithin the fourth civildegreeofthePresidentshallnotduringhistenurebeappointedasMembersoftheConstitutional Commissions, or the Office of the Ombudsman, or as Secretaries,Undersecretaries, chairmenor heads of bureaus or offices, including government‐ownedorcontrolledcorporationsandtheirsubsidiaries.

Chapter4

JUDICIALPOWER

Sec. 16. Judicial Power. ‐ The judicial power shall be vested in one (1)SupremeCourt,andinsuchlowercourtsasmaybeestablishedbylaw.SuchlowercourtsincludetheCourtofAppeals,Sandiganbayan,CourtofTaxAppeals,RegionalTrial Courts, Shari's District Courts, Metropolitan Trial Courts, Municipal TrialCourtsandMunicipalCircuitTrialCourts,andShari'aCircuitCourtsandtheyshallcontinuetoexercisetheirrespectivejurisdictionuntilotherwiseprovidedbylaw.

Judicial power includes the duty of the courts of justice to settle actualcontroversies involvingrightswhichare legallydemandableandenforceable,and,in cases prescribed by law, to determine whether or not there has been a graveabuse of discretion amounting to lack or excess of jurisdiction on the part of anybranchorinstrumentalityoftheGovernment.

Sec. 17. Composition of the Supreme Court. ‐ The Supreme Court shall becomposedofaChiefJusticeandfourteenAssociateJustices.Itmaysitenbancorinitsdiscretion,indivisionsofthree,fiveorsevenMembers.

Sec.18.JurisdictionandPowersofSupremeCourt.‐TheSupremeCourtshallhavethefollowingpowers:

(1) Exercise original jurisdiction over cases affecting ambassadors, otherpublic ministers and consuls, and over petitions for certiorari, prohibition,mandamus,quowarranto,andhabeascorpus.

(2)Review,revise,reverse,modify,oraffirmonappealorcertiorariasthelawortheRulesofCourtmayprovide,finaljudgmentsandordersoflowercourtsin:

(a) All cases in which the constitutionality or validity of any treaty,internationalorexecutiveagreement,law,presidentialdecree,proclamation,order,instruction,ordinance,orregulationisinquestion.

(b)Allcasesinvolvingthelegalityofanytax,impost,assessment,ortoll,oranypenaltyimposedinrelationthereto.

(c)Allcasesinwhichthejurisdictionofanylowercourtisinissue.

(d)Allcriminalcases inwhichthepenalty imposedisreclusionperpetuaorhigher.

(e)Allcasesinwhichonlyanerrororquestionoflawisinvolved.

(3) Assign temporarily judges of lower courts to other stations as publicinterestmay require. Such temporary assignment shall not exceed six (6)monthswithouttheconsentofthejudgeconcerned.

(4)Orderachangeofvenueorplaceoftrialtoavoidamiscarriageofjustice.

(5) Promulgate rules concerning the protection and enforcement ofconstitutionalrights,pleading,practice,andprocedure inallcourts, theadmissionto the practice of law, the Integrated Bar, and legal assistance to theunderprivileged.Suchrulesshallprovideasimplifiedandinexpensiveprocedureforthe speedydispositionof cases, shall beuniform for all courts of the samegrade;andshallnotdiminish,increase,ormodifysubstantiverights.Rulesofprocedureofspecialcourtsandquasi‐judicialbodiesshallremaineffectiveunlessdisapprovedbytheSupremeCourt.

(6)AppointallofficialsandemployeesoftheJudiciaryinaccordancewiththeCivilServicelaw.

Sec.19.ApportionmentofJurisdiction.‐Congressshalldefine,prescribeandapportion the jurisdictionof the various courtsbutmaynotdeprive the SupremeCourtof its jurisdictionenumerated in the immediatelyprecedingsection.Neithershall a law be passed increasing its appellate jurisdiction as therein specifiedwithoutitsadviceandconcurrence.

No law shall be passed reorganizing the Judiciary when it undermines thesecurityoftenureofitsMembers.

Sec. 20. Administrative Supervision.‐ The Supreme Court shall haveadministrativesupervisionoverallcourtsandthepersonnelthereof.

Sec. 21. Judicial and Bar Council. ‐ (1) A Judicial and Bar Council is herebycreatedunderthesupervisionoftheSupremeCourtcomposedoftheChiefJusticeasexofficioChairman,theSecretaryofJustice,andarepresentativeoftheCongressasex officio Member, a representative of the Integrated Bar, a professor of law, aretiredMemberoftheSupremeCourt,andarepresentativeoftheprivatesector.

(2)TheregularmembersoftheCouncilshallbeappointedbythePresidentforatermoffour(4)yearswiththeconsentoftheCommissionofAppointments.OftheMembers first appointed, the representative of the Integrated Bar shall serve forfour(4)years,theprofessoroflawforthree(3)years,theretiredJusticefortwo(2)years,andtherepresentativeoftheprivatesectorforone(1)year.

(3) The Clerk of the Supreme Court shall be the Secretary ex officio of theCouncilandshallkeeparecordofitsproceedings.

(4)TheregularMembersoftheCouncilshallreceivesuchemolumentsasmaybedeterminedbytheSupremeCourt.TheSupremeCourtshallprovideinitsannualbudgettheappropriationsfortheCouncil.

(5)TheCouncilshallhavetheprincipalfunctionofrecommendingappointeesto the Judiciary. It may exercise such other functions and duties as the SupremeCourtmayassigntoit.

Sec.22.AppointmentofMembersofJudiciary.‐TheMembersoftheSupremeCourtandjudgesoflowercourtsshallbeappointedbythePresidentfromalistofatleastthree(3)nomineespreparedbytheJudicialandBarCouncilforeveryvacancy.Suchappointmentsneednoconfirmation.

Forthelowercourts,thePresidentshallissuetheappointmentswithinninety(90)daysfromthesubmissionofthelist.

Sec. 23. Prohibition Against Performing Quasi‐Judicial or AdministrativeFunctions.‐TheMembersoftheSupremeCourtandofothercourtsestablishedbylaw shall not be designated to any agency performing quasi‐judicial oradministrativefunctions.

Chapter5

CONSTITUTIONALCOMMISSIONS

Sec. 24. Constitutional Commissions. ‐ The Constitutional Commissions,which shall be independent, are theCivil ServiceCommission, theCommissiononElections,andtheCommissiononAudit.

Sec. 25. Inhibitions Against Constitutional Commissioners. ‐ Nomember of aConstitutional Commission shall, during his tenure, hold any other office oremployment. Neither shall he engage in the practice of any profession or in theactivemanagementorcontrolofanybusinesswhichinanywaymaybeaffectedbythe functions of his office, nor shall he be financially interested, directly orindirectly, in any contract with, or in any franchise or privilege granted by theGovernment, any of its subdivisions, agencies, or instrumentalities, includinggovernment‐ownedorcontrolledcorporationsortheirsubsidiaries.

Sec. 26. Fiscal Autonomy. ‐ The Constitutional Commissions shall enjoy fiscalautonomy.Theapprovedannualappropriationsshallbeautomaticallyandregularlyreleased.

Sec.27.PromulgationofRules.‐EachCommissionenbancmaypromulgateitsown rules concerningpleadings andpracticebefore it or before anyof its offices.Suchruleshowevershallnotdiminish,increase,ormodifysubstantiverights.

Sec.28.DecisionsbytheConstitutionalCommissions.‐EachCommissionshalldecide,byamajorityvoteofall itsMembers,anycaseormatterbroughtbefore itwithinsixty(60)daysfromthedateof itssubmissionfordecisionorresolution.Acaseormatterisdeemedsubmittedfordecisionorresolutionuponthefilingofthelastpleading,brief,ormemorandumrequiredbytherulesoftheCommissionorbytheCommissionitself.UnlessotherwiseprovidedbytheConstitutionorbylaw,anydecision,order,orrulingofeachCommissionmaybebroughttotheSupremeCourtoncertioraribytheaggrievedpartywithinthirty(30)daysfromreceiptofacopythereof.

Chapter6

OTHERBODIES

Sec.29.OtherBodies.‐ThereshallbeinaccordancewiththeConstitution,anOfficeoftheOmbudsman,aCommissiononHumanRights,anindependentcentralmonetaryauthority,andanationalpolicecommission.Likewise,asprovidedintheConstitution, Congress may establish an independent economic and planningagency.

BOOKIII

OFFICEOFTHEPRESIDENT

TitleI

POWERSOFTHEPRESIDENT

Chapter1

POWEROFCONTROL

Sec.1.PowerofControl.‐ThePresidentshallhavecontrolofalltheexecutivedepartments, bureaus, and offices. He shall ensure that the laws be faithfullyexecuted.

Chapter2

ORDINANCEPOWER

Sec. 2. Executive Orders. ‐ Acts of the President providing for rules of ageneral or permanent character in implementation or execution ofconstitutionalorstatutorypowersshallbepromulgatedinexecutiveorders.

Sec.3.AdministrativeOrders.‐ActsofthePresidentwhichrelatetoparticularaspectofgovernmentaloperationsinpursuanceofhisdutiesasadministrativeheadshallbepromulgatedinadministrativeorders.

Sec.4.Proclamations.‐ActsofthePresidentfixingadateordeclaringastatusorconditionofpublicmomentorinterest,upontheexistenceofwhichtheoperationof a specific law or regulation is made to depend, shall be promulgated inproclamationswhichshallhavetheforceofanexecutiveorder.

Sec. 5. Memorandum Orders. ‐ Acts of the President on matters ofadministrativedetailorofsubordinateortemporaryinterestwhichonlyconcernaparticular officer or office of theGovernment shall be embodied inmemorandumorders.

Sec. 6.MemorandumCirculars. ‐Acts of thePresident onmatters relating tointernaladministration,whichthePresidentdesirestobringtotheattentionofallor some of the departments, agencies, bureaus or offices of the Government, forinformationorcompliance,shallbeembodiedinmemorandumcirculars.

Sec.7.GeneralorSpecialOrders.‐Actsandcommandsof thePresident inhiscapacity as Commander‐in‐Chief of the Armed Forces of the Philippines shall beissuedasgeneralorspecialorders.

Chapter3

POWEROVERALIENS

Sec. 8. Power to Deport. ‐ The President shall have the power to deportalienssubjecttotherequirementsofdueprocess.

Sec. 9. Power to Change Non‐Immigrant Status of Aliens. ‐ The President,subject totheprovisionsof law,shallhavethepowertochangethestatusofnon‐immigrants by allowing them to acquire permanent residence status withoutnecessityofvisa.

Sec.10.PowertoCountermandDecisionsoftheBoardofCommissionersoftheBureau of Immigration. ‐ The decision of the Board of Commissioners which hasjurisdictionoveralldeportationcasesshallbecomefinalandexecutoryafterthirty(30)days frompromulgation, unlesswithin suchperiod thePresident shall orderthecontrary.

Sec.11.PoweroverAliensundertheGeneralPrinciplesofInternationalLaw.‐ThePresidentshallexercisewithrespecttoaliensinthePhilippinessuchpowersasarerecognizedbythegenerallyacceptedprinciplesofinternationallaw.

Chapter4

POWERSOFEMINENTDOMAIN,ESCHEAT,

LANDRESERVATIONANDRECOVERYOFILL‐GOTTENWEALTH

Sec.12.PowerofEminentDomain.‐ThePresidentshalldeterminewhenitisnecessaryor advantageous toexercise thepowerof eminent domain inbehalf oftheNationalGovernment,anddirecttheSolicitorGeneral,wheneverhedeemstheactionadvisable,toinstituteexpropriationproceedingsinthepropercourt.

Sec.13.PowertoDirectEscheatorReversionProceedings.‐ThePresidentshalldirect the Solicitor General to institute escheat or reversion proceedings over all

lands transferred or assigned to persons disqualified under the Constitution toacquireland.

Sec. 14. Power to Reserve Lands of the Public and Private Domain of theGovernment.‐(1)ThePresidentshallhavethepowertoreserveforsettlementorpublicuse,andforspecificpublicpurposes,anyof the landsof thepublicdomain,theuseofwhichisnototherwisedirectedbylaw.Thereservedlandshallthereafterremainsubjecttothespecificpublicpurposeindicateduntilotherwiseprovidedbylaworproclamation;

(2)Heshallalsohavethepowertoreservefromsaleorotherdispositionandforspecificpublicusesorpurposes,anylandbelongingtotheprivatedomainoftheGovernment,oranyoftheFriarLands,theuseofwhichisnototherwisedirectedbylaw, and thereafter such land shall be used for the purposes specified by suchproclamationuntilotherwiseprovidedbylaw.

Sec.15.PoweroverIll‐gottenWealth.‐ThePresidentshalldirecttheSolicitorGeneraltoinstituteproceedingstorecoverpropertiesunlawfullyacquiredbypublicofficialsoremployees,fromthemorfromtheirnomineesortransferees.

Within the period fixed in, or any extension thereof authorized by, theConstitution,thePresidentshallhavetheauthoritytorecoverill‐gottenpropertiesamassed by the leaders and supporters of the previous regime and protect theinterest of the people through orders of sequestration or freezing of assets oraccounts.

Chapter5

POWEROFAPPOINTMENT

Sec. 16. Power of Appointment. ‐ The President shall exercise the power toappointsuchofficialsasprovidedforintheConstitutionandlaws.

Sec. 17. Power to Issue Temporary Designation. ‐ (1) The President maytemporarily designate an officer already in the government service or any othercompetent person to perform the functions of an office in the executive branch,appointment to which is vested in him by law, when: (a) the officer regularlyappointedtotheofficeisunabletoperformhisdutiesbyreasonofillness,absenceoranyothercause;or(b)thereexistsavacancy;

(2) The person designated shall receive the compensation attached to theposition, unless he is already in the government service in which case he shallreceive only such additional compensation as, with his existing salary, shall notexceedthesalaryauthorizedbylawforthepositionfilled.Thecompensationherebyauthorized shall be paid out of the funds appropriated for the office or agencyconcerned.

(3)Innocaseshallatemporarydesignationexceedone(1)year.

Chapter6

GENERALSUPERVISIONOVER

LOCALGOVERNMENTS

Sec. 18. General Supervision Over Local Governments. ‐ The President shallexercisegeneralsupervisionoverlocalgovernments.

Chapter7

OTHERPOWERS

Sec.19.PowersUndertheConstitution.‐ThePresidentshallexercisesuchotherpowersasareprovidedforintheConstitution.

Sec.20.ResidualPowers.‐UnlessCongressprovidesotherwise,thePresidentshall exercise such other powers and functions vested in the Presidentwhich are

provided for under the laws andwhich are not specifically enumerated above, orwhicharenotdelegatedbythePresidentinaccordancewithlaw.

TitleII

ORGANIZATION

Chapter8

ORGANIZATIONOFTHEOFFICEOFTHEPRESIDENT

Sec.21.Organization.‐TheOfficeofthePresidentshallconsistoftheOfficeofthePresidentProperandtheagenciesunderit.

Sec.22.OfficeforthePresidentProper.‐(1)TheOfficeofthePresidentPropershall consist of thePrivateOffice, theExecutiveOffice, theCommonStaff SupportSystem,andthePresidentialSpecialAssistants/AdvisersSystem;

(2) The Executive Office refers to the Offices of the Executive Secretary,DeputyExecutiveSecretariesandAssistantExecutiveSecretaries;

(3)TheCommonStaffSupportSystemembracestheofficesorunitsunderthegeneral categories of development and management, general governmentadministrationandinternaladministration;and

(4) The President Special Assistants/Advisers System includes such specialassistantsoradvisersasmaybeneededbythePresident.

Sec.23.TheAgenciesunder theOfficeof thePresident. ‐TheagenciesundertheOfficeof thePresident refer to thoseofficesplacedunder thechairmanshipofthePresident,thoseunderthesupervisionandcontrolofthePresident,thoseundertheadministrativesupervisionoftheOfficeofthePresident,thoseattachedtoitfor

policy and program coordination, and those that are not placed by law or ordercreatingthemunderanyspecificdepartment.

TitleIII

FUNCTIONS

Chapter9

FUNCTIONSOFTHEDIFFERENTOFFICES

INTHEOFFICEOFTHEPRESIDENTPROPER

A‐PRIVATEOFFICE

Sec. 24. Functions of the PrivateOffice. ‐ ThePrivateOffice shall provide directservicestothePresidentandshallforthispurposeattendtofunctionsandmattersthatarepersonalorwhichpertaintotheFirstFamily.

B‐THEEXECUTIVEOFFICE

Sec.25.DeclarationofPolicy.‐TheExecutiveOfficeshallbefullyresponsivetothespecific needs and requirements of the President to chieve the purposes andobjectivesoftheOffice.

Sec. 26. The Executive Secretary, the Deputy Executive Secretaries, and theAssistant Executive Secretaries. ‐ The Executive Office shall be headed by theExecutive Secretary who shall be assisted by one (1) or more Deputy ExecutiveSecretariesandone(1)ormoreAssistantExecutiveSecretaries.

Sec.27.Functionsof theExecutiveSecretary. ‐TheExecutiveSecretaryshall,subject to the control and supervision of the President, carry out the functionsassignedbylawtotheExecutiveOfficeandshallperformsuchotherdutiesasmaybedelegatedtohim.Heshall:

(1)DirectlyassistthePresidentinthemanagementoftheaffairspertainingtotheGovernmentoftheRepublicofthePhilippines;

(2)Implementpresidentialdirectives,ordersanddecisions;

(3)Decide,forandinbehalfofthePresident,mattersnotrequiringpersonalpresidentialattention;

(4)ExercisesupervisionandcontroloverthevariousunitsintheOfficeofthePresidentProperincludingtheirinternaladministrativerequirements;

(5)Exercisesupervision,inbehalfofthePresident,overthevariousagenciesundertheOfficeofthePresident;

(6) Appoint officials and employees of the Office of the President whoseappointmentsarenotvestedinthePresident;

(7)ProvideoverallcoordinationintheoperationoftheExecutiveOffice;

(8)DetermineandassignmatterstotheappropriateunitsintheOfficeofthePresident;

(9) Have administrative responsibility for matters in the Office of thePresidentcomingfromthevariousdepartmentsandagenciesofgovernment;

(10) Exercise primary authority to sign papers "By authority of thePresident", attest executive orders and other presidential issuances unlessattestationisspecificallydelegatedtootherofficialsbyhimorbythePresident;

(11)Determine,withthePresident'sapproval,theappropriateassignmentofofficesandagenciesnotplacedbylawunderanyspecificexecutivedepartment;

(12) Provide consultative, research, fact‐finding and advisory service to thePresident;

(13) Assist the President in the performance of functions pertaining tolegislation;

(14)AssistthePresidentintheadministrationofspecialprojects;

(15) Take charge ofmatters pertaining to protocol in State and ceremonialfunctions;

(16) Provide secretarial and clerical services for the President, the Cabinet,theCouncilofState,andotheradvisorybodiestothePresident

(17) Promulgate such rules and regulations necessary to carry out theobjectives,policiesandfunctionsoftheOfficeofthePresidentProper;

(18)PerformsuchotherfunctionsasthePresidentmaydirect.

C‐COMMONSTAFFSUPPORTSYSTEM

Sec.28.FunctionsoftheCommonStaffSupportSystem.‐ThevariousstaffunitsintheOfficeofthePresidentPropershallformacommonstaffsupportsystemandshallbeorganizedalongthevarioustasksoftheOfficenamely:

(1) The Cabinet Secretariat which shall assist the President in theestablishment of agenda topics for the Cabinet deliberation, or facilitate thediscussion of cabinet meetings. It shall have such organization, powers andfunctionsasareprescribedbylaw;

(2) The Presidential Management Staff (PMS) which shall be the primarygovernmentagencydirectlyresponsibletotheOfficeofthePresidentforprovidingstaff assistance in the Presidential exercise of overall management of thedevelopmentprocess. Itshallhavesuchorganization,powersandfunctionsasareprescribedbylaw;

(3) General Government Administration Staff which shall provide thePresident with staff support on matters concerning general governmentadministrationrelative to theoperationsof thenationalgovernment includingtheprovision of legal services, administrative services, staff work on political andlegislative matters, information and assistance to the general public, measurestoward resolutionof complaints againstpublicofficials andemployeesbrought totheattentionoftheOfficeofthePresidentandsuchothermattersasthePresidentmayassign;

(4) Internal Administrative Staff which shall render auxiliary and supportservicesfortheinternaladministrationoftheOfficeofthePresident.

D‐PRESIDENTIALASSISTANT/ADVISERSSYSTEM

Sec. 29. Functions of Presidential Assistants/Advisers Systems. ‐ The SpecialAssistants/AdvisersSystemshallprovideadvisoryorconsultative servicestothePresidentinsuchfieldsandundersuchconditionsasthePresidentmaydetermine.

Chapter10

FUNCTIONSOFTHEAGENCIES

UNDERTHEOFFICEOFTHEPRESIDENT

Sec. 30. Function of AgenciesUnder theOffice of the President. ‐ Agenciesunder the Office of the President shall continue to operate and function inaccordance with their respective charters or laws creating them, except asotherwiseprovidedinthisCodeorbylaw.

Sec. 31. Continuing Authority of the President to Reorganize his Office. ‐ ThePresident, subject to the policy in the Executive Office and in order to achievesimplicity,economyandefficiency,shallhavecontinuingauthoritytoreorganizetheadministrativestructureoftheOfficeofthePresident.Forthispurpose,hemaytakeanyofthefollowingactions:

(1)Restructure the internal organization of theOffice of the President Proper,includingtheimmediateOffices,thePresidentialSpecialAssistants/AdvisersSystemandtheCommonstaffSupportSystem,byabolishing,consolidatingormergingunitsthereofortransferringfunctionsfromoneunittoanother;

(2) Transfer any function under the Office of the President to any otherDepartment orAgency aswell as transfer functions to theOffice of the PresidentfromotherDepartmentsandAgencies;and

(3) Transfer any agency under the Office of the President to any otherdepartmentoragencyaswellastransferagenciestotheOfficeofthePresidentfromotherdepartmentsoragencies.

BOOKIV

THEEXECUTIVEBRANCH

Chapter1

THEDEPARTMENTS

Sec. 1. Purpose andNumberofDepartments. ‐ TheExecutiveBranch shall havesuchDepartmentsasarenecessaryforthefunctionaldistributionoftheworkofthePresidentandfortheperformanceoftheirfunctions.

Chapter2

SECRETARIES,UNDERSECRETARIES,

ANDASSISTANTSECRETARIES

Sec. 6. Authority and Responsibility of the Secretary. ‐ The authority andresponsibility for the exercise of the mandate of the Department and for thedischarge of its powers and functions shall be vested in the Secretary, who shallhavesupervisionandcontroloftheDepartment.

Sec.7.PowersandFunctionsoftheSecretary.‐TheSecretaryshall:

(1)AdvisethePresidentinissuingexecutiveorders,regulations,proclamationsandother issuances, the promulgation of which is expressly vested by law in thePresidentrelativetomattersunderthejurisdictionoftheDepartment;

Sec.9.SubmissionofBudgetEstimates.‐TheSecretaryshallprepareandsubmittothePresidentthroughtheDepartmentofBudgetandManagementanestimateofthe necessary expenditures of the department during the next fiscal year, on thebasisofthereportsandestimatessubmittedbybureausandofficersunderhim.

(1) Advise and assist the Secretary in the formulation and implementation ofdepartmentobjectivesandpolicies;

Chapter3

DEPARTMENTSERVICES

Sec. 12. Department Services. ‐ Except as otherwise provided by law, eachDepartment shall have Department Services which shall include the Planning

Service, the Financial and Management Service, the Administrative Service, andwhenevernecessarytheTechnicalandLegalServices.

Chapter4

BUREAUS

Sec. 18. Bureaus in General. ‐ (1) A Bureau is any principal subdivision of thedepartmentperformingasinglemajorfunctionorcloselyrelatedfunctions.Bureausareeitherstafforline.

(a) Advise and assist the Office of the Secretary on matters pertaining to theBureau'sareaofspecialization;

(3)Thestaffbureaushallavailitselfoftheplanning,financialandadministrativeservicesinthedepartmentproper.Thebureaumayhaveaseparateadministrativedivision,ifcircumstancessowarrant.

(a) Exercise supervision and control over all division and other units, includingregionaloffices,underthebureau;

Chapter5

FIELDOFFICES

Sec.21.RegionalOffices. ‐RegionalOfficesshallbeestablishedaccordingto lawdefining field service areas. The administrative regions shall be composed of aNationalCapitalRegionandRegionsI toXII.Provincialanddistrictofficesmaybeestablishedonlybylawwhenevernecessary.

(a) Implement laws, policies, plans, programs, rules and regulations of thedepartmentoragencyintheregionalarea;

(1) Implement laws,policies,rulesandregulationswithintheresponsibilityof theagency;

Chapter6

POWERSANDDUTIESOFHEADSOF

BUREAUSOROFFICES

Sec.29.PowersandDutiesinGeneral. ‐Theheadofbureauorofficeshallbeitschief executive officer. He shall exercise overall authority in matters within thejurisdictionofthebureau,officeoragency,includingthoserelatingtoitsoperations,andenforcealllawsandregulationspertainingtoit.

Chapter7

ADMINISTRATIVERELATIONSHIP

Sec. 38. Definition of Administrative Relationship. ‐ Unless otherwise expresslystated in theCodeor inother lawsdefining the special relationshipsofparticularagencies,administrativerelationshipsshallbecategorizedanddefinedasfollows:

Chapter8

SUPERVISIONANDCONTROL

Sec. 39. Secretary's Authority. ‐ (1) The Secretary shall have supervision andcontrolover thebureaus,offices,andagenciesunderhim,subject to the followingguidelines:

(a) Initiative and freedom of action on the part of subordinate units shall beencouragedandpromoted,ratherthancurtailed,andreasonableopportunitytoactshallbeaffordedthoseunitsbeforecontrolisexercised;

(2)ThisChaptershallnotapplytocharteredinstitutionsorgovernment‐ownedorcontrolledcorporationsattachedtothedepartment.

Chapter9

RELATIONSHIPORGOVERNMENT‐OWNEDORCONTROLLEDCORPORATIONSANDREGULATORYAGENCIESTOTHEDEPARTMENT

Sec.42.Government‐OwnedorControlledCorporations.‐Government‐ownedorcontrolledcorporationsshallbeattachedtotheappropriatedepartmentwithwhichthey have allied functions, as hereinafter provided, or as may be provided byexecutive order, for policy and program coordination and for general supervisionprovidedinpertinentprovisionsofthisCode.

Chapter10

APPOINTMENTSANDQUALIFICATIONS

Sec. 44. Appointment of Secretaries. ‐ The Secretaries of Departments shall beappointedbythePresidentwiththeconsentoftheCommissiononAppointments,atthe beginning of his term of office, and shall hold office, unless sooner removed,until the expirationof his termof office, or until their successors shall havebeenappointedandqualified.

Chapter11

ADMINISTRATIVEISSUANCES

Sec. 50. General Classification of Issuances. ‐ The administrative issuances ofSecretariesandheadsofbureaus,officesoragenciesshallbeintheformofcircularsororders.

Chapter12

MISCELLANEOUSRECEIPTS

Sec. 54. Charges for Property Sold or Services Rendered; Refunds. ‐ (1) Forservicesrequiredbylawtoberenderedforafee,forsuppliesfurnished,orarticlesofanykindsoldtootherdivisionsofthegovernmentortoanyperson,theheadofbureau,officeoragencymay,uponapprovaloftheSecretarychargeandcollectthecostoftheservice,supplies,orarticlesorotherrateinexcessofcostprescribedbylaw or approved by the same authority. For local governments, the rate, exceptwhere otherwise prescribed by law, shall be affixed at cost or at such otherreasonablerateinexcessofcostbytheboardsorcouncilsconcerned;

Chapter13

CONTRACTS

Sec. 57. Conveyances and Contracts to which the Government is a Party. ‐ Anydeed, instrument or contract conveying the title to real estate or to any otherproperty the value of which does not exceed fifty million pesos (P50,000,000)awarded through public bidding, and five million pesos (P5,000,000) awardedthrough negotiation, shall be executed and signed by the respective Secretary onbehalf of the Government of the Philippines. Where the value of the propertyexceedstheaforesaidceilings,suchdeed, instrumentorcontractshallbeexecutedandsignedbythePresidentofthePhilippinesonbehalfoftheGovernment.

Chapter14

CONTROVERSIESAMONGGOVERNMENT

OFFICESANDCORPORATIONS

Sec. 66.HowSettled. ‐All disputes, claimsand controversies, solelybetweenoramong the departments, bureaus, offices, agencies and instrumentalities of theNational Government, including government‐owned or controlled corporations,suchasthosearising fromthe interpretationandapplicationofstatutes,contractsor agreements, shall be administratively settled or adjudicated in the mannerprovided in this Chapter. This Chapter shall, however, not apply to disputesinvolving the Congress, the Supreme Court, the Constitutional Commissions, andlocalgovernments.

TitleI

FOREIGNAFFAIRS

Chapter1

GENERALPROVISIONS

Sec. 1. Declaration of Policy. ‐ The State shall pursue an independent foreignpolicy. In its relations with other states the paramount consideration shall benational sovereignty, territorial integrity, national interest, and the right to self‐determination.

Chapter2

DEPARTMENTPROPER

Sec.5.OfficesUndertheDirectSupervisionoftheSecretary.‐TheSecretaryshallexercisedirectsupervisionoverthefollowing:

Chapter3

DEPARTMENTSERVICES

Sec. 10. Office of the Legal Adviser. ‐ The Office of the Legal Adviser shall beheaded by a Legal Adviser, who shall be a career Chief of Mission. However, theLegalAdvisermaybeappointedbythePresident,upontherecommendationoftheSecretary, from outside the career service, in which case he shall have theassimilatedrankofaChiefofMission.Histermshallbeco‐terminuswiththetenureof the Secretary, unless sooner terminated, and he is not eligible for foreignassignment. The Legal Adviser shall provide legal advice and services to theDepartment.

Chapter4

BOARDOFFOREIGNSERVICEADMINISTRATION

Sec. 15. Composition. ‐ The Board of Foreign Service Administration shall becomposed of nine (9) members: one (1) Undersecretary as Chairman; the other

Undersecretary as Vice‐Chairman; the six (6) Assistant Secretaries and the LegalAdviser,asmembers.

Chapter5

BOARDOFFOREIGNSERVICEEXAMINERS

Sec. 17. Composition. ‐ The Board of Foreign Service Examiners shall becomposedofone (1)UndersecretaryasChairman;and theAssistantSecretary forPersonnel and Administrative Services and a Commissioner of the Civil ServiceCommissionasmembers.TheBoardshallbeundertheadministrativesupervisionofsuchUndersecretary.

Chapter6

ATTACHEDAGENCIES

Sec. 19. Attached Agencies. ‐ The Law of the Sea Secretariat, the Inter‐AgencyTechnical Committee on Economic, Scientific and Technical Cooperation withSocialistCountries (SOCCOM), the Inter‐AgencyTechnicalCommitteeonTechnicalCooperationAmongDevelopingCountries (IATC‐TC), thePermanent Inter‐AgencyTechnicalCommitteeonESCAPMatters (PITCEM), andotheragencies attached tothe Department shall continue to operate and function in accordance with theirrespective charters or laws creating them, except as otherwise provided in thisCode.

Chapter7

THEFOREIGNSERVICE

Sec.20.FunctionsofDiplomaticMissions.‐TheDiplomaticMissionsshall:

Chapter8

ATTACHESANDREPRESENTATIVES

Sec. 22. Attaches of the Department. ‐ The Department Head shall designateattachesoftheDepartmentfromtheranksofForeignServiceOfficersandForeignServiceStaffOfficers.

Chapter9

PERSONNEL

Sec. 29. Policy. ‐ To enable the Foreign Service to effectively serve abroad theinterestsoftheRepublicofthePhilippines,itshallbethepolicyoftheDepartmentthatonlypersonswhoarecompetent,ofgoodmoralcharacter,andfullyinformedofthePhilippineHistoryandcurrent trends inFilipino life shallbeappointed to theservice.

Chapter10

APPOINTMENTS,COMPENSATIONANDBENEFITS

Sec.35.ForeignServiceOfficers.‐(1)ForeignServiceOfficersshallbeappointedbythePresident.

Chapter11

PROMOTIONS

Sec.39.MeritPromotionSystem.‐TheBoardoftheForeignServiceshallestablishameritpromotionsystemforallofficersandemployeesoftheDepartment.

Chapter12

ASSIGNMENTSANDTRANSFERS

Sec.43.RotationPlan.‐Thesecretaryshallestablishasystemofassignmentsandtransferstoensurethatallqualifiedofficersandemployees,excepttheemployeesinthe non‐career service, shall serve in diplomatic and consular establishments in

differentregionsoftheworld.Theassignmentandtransferofpersonnelshallfollowa regular rotation plan. For purposes of assignments, the home office shall beconsideredapost.Allpersonnelshallbeavailableforassignmenttoanypost.

Chapter13

PASSPORT

Sec. 48.Definition. ‐ A Philippine passport is an official document of identity ofPhilippinecitizenshipoftheholderissuedfortravelpurposes.

Chapter14

MISCELLANEOUSPROVISIONS

Sec. 55. Use of Savings. ‐ The Secretary is authorized to use any savings in theappropriations for the Department for the payment of: (a) expenses for theevacuationorrepatriationtothePhilippines,whennecessaryduetoanemergency,of members of the household of the personnel of any diplomatic or consularestablishment as well as the transportation of their personal effects; (b) actualreturnpassagebythemostdirectandeconomicalmeansoftransportationandthecostofshipmentofthehouseholdeffectstoManilaofanyofficeroremployeeintheForeign Service, including the immediate dependent members of his family, whoresigns or is separated from the service for cause; (c) the cost of preparing andtransportingtheremainsofanofficeroremployeewhoisacitizenofthePhilippinesand the immediatemembers of his familywhomaydie abroadorwhile in travelstatus;or(d)contingentandunforeseenexpensesthatmayariseinconnectionwiththeoperationoftheForeignService.

TitleII

FINANCE

Chapter1

GENERALPROVISIONS

Sec.1.DeclarationofPolicy. ‐ It is thepolicyoftheStatethattheDepartmentofFinance shall beprimarily responsible for the soundand efficientmanagementofthe financial resources of the Government, its subdivisions, agencies andinstrumentalities.

Chapter2

DEPARTMENTPROPER

Sec. 5. Office of the Secretary. ‐ The Office of the Secretary shall consist of theSecretary,hisUndersecretaryandtheirimmediatestaffs.

Chapter3

DEPARTMENTSERVICES

Sec. 8. Policy Development and Management Services Group. ‐ The PolicyDevelopment and Management Services Group, which shall be headed by anUndersecretary,shallconsistofthefollowing:

Chapter4

BUREAUS

Sec.16.OperationsGroups.‐TheOperationGroups,eachofwhichshallbeheadedbyanUndersecretary,shallconsistofthefollowing:

Chapter5

REGIONALOFFICES

Sec. 40.RegionalOffices. ‐ There shall be aRegionalOffice in each region. EachRegionalOfficeshallbeheadedbyaRegionalDirector.

Chapter6

ATTACHEDAGENCIES

Sec. 42. AttachedAgencies. ‐ The following agencies are hereby attached to theDepartment:

TitleIII‐JUSTICE

ChapterI

GENERALPROVISIONS

Sec.1.DeclarationofPolicy.‐It isthedeclaredpolicyoftheStatetoprovidethegovernmentwithaprincipal lawagencywhich shall beboth its legal counsel andprosecution arm; administer the criminal justice system in accordance with theacceptedprocessesthereofconsistingintheinvestigationofthecrimes,prosecutionofoffendersandadministrationofthecorrectionalsystem;implementthelawsontheadmissionandstayofaliens,citizenship, landtitlingsystem,andsettlementofland problems involving small landowners and members of indigenous culturalminorities;andprovidefreelegalservicestoindigentmembersofthesociety.

Chapter2

DEPARTMENTPROPER

Sec.5.TheDepartmentProper.‐TheDepartmentPropershallbecomposedoftheOffice of the Secretary and the Undersecretaries, Technical and AdministrativeService,FinancialManagementService,LegalStaffandtheOfficeoftheChiefStateProsecutor.

Chapter3

OFFICEOFTHEGOVERNMENT

CORPORATECOUNSEL

Sec. 10. Office of the Government Corporate Counsel. ‐ The Office of theGovernment Corporate Counsel (OGCC) shall act as the principal law office of allgovernment‐owned or controlled corporations, their subsidiaries, other corporateoff‐springsandgovernmentacquiredassetcorporationsandshallexercisecontrolandsupervisionoverall legaldepartmentsordivisionsmaintainedseparatelyandsuchpowersandfunctionsasarenowormayhereafterbeprovidedbylaw.Intheexerciseof suchcontrolandsupervision, theGovernmentCorporateCounsel shallpromulgate rules and regulations to effectively implement the objectives of theOffice.

Chapter4

NATIONALBUREAUOFINVESTIGATION

Sec.11.NationalBureauof Investigation. ‐TheNationalBureauof Investigation(NBI)withallitsdulyauthorizedconstituentunitsincludingitsregionalanddistrictofficesandrehabilitationcenter,shallcontinuetoperformthepowersandfunctionsasarenowvestedinitundertheexistinglawandsuchadditionalfunctionsasmayhereafterbeprovidedbylaw.

Chapter5

PUBLICATTORNEY'SOFFICE

Sec. 14. Public Attorney's Office (PAO). ‐ The Citizen's Legal Assistance Office(CLAO)isrenamedPublicAttorney'sOffice(PAO).ItshallexercisethepowersandfunctionsasarenowprovidedbylawfortheCitizen'sLegalAssistanceOfficeormayhereafterbeprovidedbylaw.

Chapter6

BOARDOFPARDONSANDPAROLE

Sec. 17. Board of Pardons and Parole. ‐ The Board of Pardons and Parole shallcontinuetodischargethepowersandfunctionsasprovidedinexistinglawandsuchadditionalfunctionsasmaybeprovidedbylaw.

Chapter7

PAROLEANDPROBATIONADMINISTRATION

Sec. 23. Parole and Probation Administration. ‐ The Parole and ProbationAdministration hereinafter referred to as the Administration shall have thefollolwingfunctions:

Chapter8

BUREAUOFCORRECTIONS

Sec.26.BureauofCorrections.‐TheBureauofCorrectionsshallhaveitsprincipaltask the rehabilitationofprisoners.TheBureauofCorrections shall exercise suchpowers and functions as are now provided for the Bureau of Prisons or mayhereafterbeprovidedbylaw.

Chapter9

LANDREGISTRATIONAUTHORITY

Sec. 28. The Land Registration Authority. ‐ The Land Registration Authority,hereinafter referred to as theAuthority shall continue to exercise its powers andfunctions under existing lawon the LandTitles andDeedsRegistrationAuthorityandthosewhichmayhereafterbeprovidedbylaw.

Chaper10

BUREAUOFIMMIGRATION

Sec. 31. Bureau of Immigration. ‐ The Bureau of Immigration is principallyresponsiblefortheadministrationandenforcementofimmigration,citizenshipandalien admission and registration laws in accordance with the provisions of thePhilippine ImmigrationAct of 1940, as amended (C.A.No. 613, as amended). ThefollowingunitsshallcomprisethestructuralorganizationoftheBureau:

Chapter11

COMMISSIONONTHESETTLEMENTOFLANDPROBLEMS

Sec.32.CommissionontheSettlementofLandProblems.‐TheCommissionontheSettlement of Land Problems shall be responsible for the settlement of landproblems involving small landowners andmembersof culturalminorities. It shallalsoperformsuchotherfunctions,asarenowormayhereafterbeprovidedbylaw.

Chapter12

OFFICEOFTHESOLICITORGENERAL

Sec.34.OrganizationalStructure.‐TheOfficeoftheSolicitorGeneralshallbeanindependentandautonomousofficeattachedtotheDepartmentofJustice.

TitleIV‐AGRICULTURE

Chapter1

GENERALPROVISIONS

Sec.1.DeclarationofPolicy. ‐TheStateshallpromotethewellbeingof farmers,including share tenants, leaseholders, settlers, fishermen,andother ruralworkersbyprovidinganenvironmentinwhichtheycanincreasetheirincome,improvetheirliving conditions, and maximize their contributions to the national economy.Toward this end, the State shall accelerate agricultural development and enhancetheproductionofagriculturalcrops,fisheries,andlivestockbyoptimizingtheuseofresources and by applying modern farming systems and technology in order toattain food security for domestic use and expand and diversify agriculturalproduction for export. It shall also encourage private initiative in agri‐businessventuresbothintheproductionandintheexportationandimportationoffoodandotheralliedcommodities.

Chapter2

DEPARTMENTPROPER

Sec. 5. Office of the Secretary. ‐ The Office of the Secretary shall consist of theSecretaryandhisimmediatestaffasdeterminedbyhim.

Chapter3

DEPARTMENTSERVICES

Sec.10.PlanningandMonitoringService. ‐ThePlanningandMonitoringServiceshall be responsible for the formulation and integration of plans and programs,emanatingfromallunitsoftheDepartment, includingtheBureau,RegionalOfficesandAttachedAgencies.Itshallalsoberesponsiblefordataanalysisandmonitoringof the implementation of said plans and programs through its managementinformationsystem.

Chapter4‐BUREAUSANDOFFICES

Sec.18.BureauofAnimalIndustries.‐TheBureauofAnimalIndustryshall:

Chapter5

REGIONALOFFICES

Sec. 26. Functions. ‐ The Department of Agriculture is authorized to establish,operate,andmaintainaRegionalOfficeineachoftheadministrativeregionsofthecountry.EachRegionalOfficeshallbeheadedbyaRegionalDirector,tobeassistedby three (3) Assistant Regional Directors, assigned to Operations, Research, andSupport Services, respectively. Each Regional Office shall have, within itsadministrativeregions,thefollowingdutiesandresponsibilities:

‐Chapter6‐ATTACHEDAGENCIES

Sec. 47. Attached Agencies. ‐ The following units are hereby attached to theDepartment:

TitleV

PUBLICWORKSANDHIGHWAYS

Chapter1

GENERALPROVISIONS

Sec. 1. Declaration of Policy. ‐ The State shall maintain an engineering andconstruction arm and continuously develop its technology, for the purposes ofensuring thesafetyofall infrastructure facilitiesandsecuring forallpublicworksand highways the highest efficiency and the most appropriate quality inconstruction.Theplanning,design,constructionandmaintenanceofinfrastructurefacilities, especially national highways, flood control and water resourcesdevelopment systems, and other public works in accordance with nationaldevelopment objectives, shall be the responsibility of such an engineering andconstructionarm.However,theexerciseofthisresponsibilityshallbedecentralizedtothefullestextentfeasible.

Chapter2

DEPARTMENTPROPER

Sec.5.Officeof theSecretary. ‐TheOfficeof theSecretaryshallbecomposedoftheSecretaryandhisimmediatestaff.

Chapter3

DEPARTMENTSERVICES

Sec. 8. Internal Audit Service. ‐ The Internal Audit Service shall conductcomprehensiveauditofvariousDepartmentactivities.Specifically,itshallhavethefollowingfunctions:

Chapter4

THEBUREAU

Sec. 14.BureauHead. ‐ EachBureau shall beheadedby aBureauDirectorwhoshallberesponsible forefficientlyandeffectivelycarryingout the functionsof theBureau.

Chapter5

REGIONALOFFICES

Sec. 20. Regional Offices. ‐ Regional Offices shall be responsible for highways,flood control and water resource development systems, and other public workswithin the region, except those defined in Section 3, par. (4) hereof. For thispurpose,theirdutiesandresponsibilitiesshallbeasfollows:

Chapter6

ATTACHEDAGENCIES

Sec. 25. Attached Agencies and Corporations. ‐ Agencies and corporationsattached to the Department shall continue to operate and function in accordancewith their respective charters/laws/executive orders creating them. Accordingly,the Metropolitan Waterworks and Sewerage System, the Local Water UtilitiesAdministration, the National Irrigation Administration, and the National WaterResourcesCouncil,amongothers,shallcontinuetobeattachedtotheDepartment;whiletheMetropolitanManilaFloodControlandDrainageCouncil,asreorganized,shallbeattachedtotheDepartment.

TitleVI

EDUCATION,CULTUREANDSPORTS

Chapter1

GENERALPROVISIONS

Sec.1.DeclarationofPolicy.‐TheStateshallprotectandpromotetherightofallcitizens toqualityeducationatall levelsandshall takeappropriate steps tomakesucheducationaccessibletoall.Pursuanttothis,theStateshall:

Chapter2

DEPARTMENTPROPER

Sec.5.Officeof theSecretary. ‐TheOfficeof theSecretaryshallbecomposedoftheSecretaryandhisimmediatestaff.

Chapter3

DEPARTMENTSERVICES

Sec.7.FunctionsoftheServices.‐TheServicesoftheDepartmentshallconsistofthefollowing:

Chapter4

BOARDOFHIGHEREDUCATION

Sec.8.Organization. ‐TheBoardshallbecomposedofanUndersecretaryof theDepartmentofEducation,CultureandSportsdesignatedasChairmanandfourothermembers tobeappointedby thePresidentof thePhilippinesuponnominationbythe Secretary of Education, Culture and Sports for a term of four years. The fourmembers shallhavedistinguished themselves in the fieldofhighereducationanddevelopment either in the public or private sector. TheDirector of the Bureau ofHigherEducationshallparticipateinthedeliberationoftheBoardbutwithouttherighttovote.

Chapter5

STATECOLLEGESANDUNIVERSITIES

Sec.11.Governance.‐Byvirtueofhischairmanshipoftheirboardsoftrusteesasprovided in their respective charters, the Secretary, directly or through hisUndersecretaries,shallcontinuetogovernstatecollegesanduniversities.

Chapter6

BUREAUSANDOFFICES

Sec.12.BureauofElementaryEducation. ‐TheBureauofElementaryEducationshallhavefollowingfunctions:

Chapter7

REGIONALOFFICES

Sec.18.Organization.‐TheDepartmentisherebyauthorizedtoestablish,operateandmaintainaRegionalOfficeineachoftheadministrativeregionsofthecountry.EachRegionalOfficeshallbeheadedbyaRegionalDirectorwhoshallbeassistedbyanAssistantRegionalDirector. TheRegionalDirector shall be responsible for theSchoolDivisionsandtheirSuperintendentswithinhisadministrativeregion.

Chapter8

ATTACHEDAGENCIES

Sec. 20. AttachedAgencies. ‐ The following agencies are hereby attached to theDepartment:

Chapter9

MISCELLANEOUSPROVISIONS

Sec.23.MediumofInstruction.‐TheDepartmentshallpromulgaterulesandtheregulations on the medium of instruction for all schools in accordance with thepolicydeclaredinSection7,ArticleXIVoftheConstitution.

TitleVII

LABORANDEMPLOYMENT

Chapter1

GENERALPROVISIONS

Sec.1.DeclarationofPolicy.‐(1)TheStateshallaffordfullprotectiontolaborandpromotefullemploymentandequalityofemploymentopportunitiesforall.

Chapter2

DEPARTMENTPROPER

Sec. 5. Office of the Secretary. ‐ The Office of the Secretary shall consist of theSecretaryandhisimmediatestaff.

Chapter3‐DEPARTMENTSERVICES

Sec.9.PlanningService.‐ThePlanningServiceshallprovidetheDepartmentwithefficient, effective and economical services relating to planning, programming,projectdevelopmentandevaluation,andthedevelopmentandimplementationofamanagementinformationsystem.

Chapter4

BUREAUS

Sec. 16. Bureau of Labor Relations. ‐ The Bureau of Labor Relations shall setpolicies,standards,andproceduresontheregistrationandsupervisionoflegitimatelabor union activities including denial, cancellation and revocation of labor unionpermits. It shall also set policies, standards, and procedure relating to collectivebargaining agreements, and the examination of financial records of accounts oflabororganizationstodeterminecompliancewithrelevantlaws.

Chapter5

REGIONALOFFICES

Sec. 24. Regional Offices, District Offices and Provincial Extension Units. ‐ TheDepartment is hereby authorized to establish, operate and maintain suchDepartment‐wideRegionalOffices,DistrictOfficesandProvincialExtensionUnitsineachof theadministrativeregionsof thecountry, insofarasnecessary topromoteeconomy and efficiency in the delivery of its services. Its Regional Office shall beheadedbyaRegionalDirectorwhoshallhavesupervisionandcontrolthereof.TheRegionalDirector,whenever necessary, shall be assisted by anAssistantRegionalDirector. A Regional Office shall have, within its regional areas, the followingfunctions:

Chapter6

ATTACHEDAGENCIES

Sec. 25. Attached Agencies. ‐ The following agencies are attached to theDepartmentforpolicyandprogramcoordinationandadministrativesupervision:

TitleVIII

NATIONALDEFENSE

SubtitleI

PRELIMINARYPROVISIONS

Chapter1

NATIONALDEFENSEPOLICIES

Sec.1.DeclarationofPolicies.‐(1)TheprimedutyoftheGovernmentistoserveandprotect thepeople.Governmentmaycallupon thepeople todefend theStateand, in fulfillment thereof,allcitizensmayberequired,underconditionsprovidedbylaw,torenderpersonalmilitaryorcivilservice.

Chapter2

NATIONALSECURITYCOUNCIL

Sec.2.DeclarationofPolicies.‐(1)Theformulationofintegratedandrationalizednational, foreign, military, political, economic, social and educational policies,programs,andproceduresvitaltothesecurityofthestate.

Chapter3

NATIONALINTELLIGENCECOORDINATINGAGENCY

Sec. 9. Functions. ‐ The National Intelligence Coordinating Agency, hereinafterreferredtoastheAgency,shall:

SubtitleII

DEPARTMENTOFNATIONALDEFENSE

Chapter1

GENERALPROVISIONS

Sec.15.DeclarationofPolicy.‐Thedefenseestablishmentshallbemaintainedtomaximize its effectiveness for guarding against external and internal threats tonational peace and security and provide support for social and economicdevelopment.

Chapter2

DEPARTMENTPROPER

Sec. 19.Office of the Secretary. ‐ TheOffice of the Secretary shall consist of theSecretaryandhisimmediatestaffasdeterminedbyhim.

Chapter3

GOVERNMENTARSENAL

Sec. 24. Organization. ‐ The Government Arsenal shall be headed by a Directorwho shall be assisted by one or more Assistant Directors. It shall have staff andoperatingunitsprovidedbylaw.

Chapter4

OFFICEOFCIVILDEFENSE

Sec. 27. Organization. ‐ The Office of Civil Defense shall be headed by anAdministrator who shall be assisted by a Deputy Administrator. The Office shallhavestaffandoperatingunitsasmaybeprovidedbylaw.

Chapter5

PHILIPPINEVETERANSAFFAIRSOFFICE

Sec.31.Organization. ‐ThePhilippineVeteransAffairsOfficeshallbeheadedbyanAdministratorwhomaybeassistedbyoneDeputyAdministrator. It shallhavestaffandoperatingunitsprovidedbylaw.

Chapter6

ARMEDFORCESOFTHEPHILIPPINES

Sec.33.Functions.‐TheArmedForcesofthePhilippines(AFP)shall:

Chapter7

GENERALHEADQUARTERS

Sec.40.Functions.‐TheGeneralHeadquarters,AFP,shall:

Chapter8

MAJORSERVICES

Sec.46.Organization.‐TheMajorServicesshallbeorganizedbytheChiefofStaffinaccordancewiththepolicieslaiddownbytheSecretaryofNationalDefense.Thecommanders of theMajor Services shall hold such grade as providedby law, andshallbeappointedby thePresidentupon the recommendationof theSecretaryofNationalDefense.

Chapter9

PHILIPPINEMILITARYACADEMY

Sec. 58. Organization. ‐ (1) The Philippine Military Academy is the primarytraining and educational institution of theAFP. It shall be the primary sources ofregularofficersoftheStandingForce.

Chapter10

NATIONALDEFENSECOLLEGEOFTHEPHILIPPINES

Sec.60.OrganizationandAdministration.‐(1)TheNationalDefenseCollegeofthePhilippines, hereafter referred to as the College, shall be under the direction,supervisionandcontroloftheSecretaryofNationalDefense.

Chapter11

INTEGRATEDNATIONALPOLICE

Sec.63.Composition.‐Unlessotherwiseprovidedbylaw,theIntegratedNationalPolice shall be composed of the Philippine Constabulary as the nucleus and the

IntegratedPoliceForce,FireServicesas JailManagementServicesascomponents,undertheDepartmentofNationalDefense.

Chapter12

ATTACHEDAGENCIES

Sec.68.AttachedAgencies.‐AgencieswhichareattachedtotheDepartmentshalloperate inaccordancewiththeirrespectiveorganizationalstructuresandperformthe functions and duties assigned to them by law, subject to the requirements ofeconomy,efficiency,andeffectiveness.

SubtitleIII

THENATIONALPOLICECOMMISSION

Sec. 69. Declaration of Policy. ‐ (1) The State shall establish and maintain onepolice force which shall be national in scope and civilian in character, to beadministeredandcontrolledbyanationalpolicecommissionandshallprovide,bylaw,theauthorityoflocalexecutivesoverthepoliceunitsintheirjurisdiction.

TitleIX

HEALTH

Chapter1

GENERALPROVISIONS

Sec. 1. Declaration of Policy. ‐ The State shall protect and promote the right tohealth of the people and instill health consciousness among them; adopt anintegrated and comprehensive approach to health development, with priority fortheunderprivilegedsick,elderly,disabled,womenandchildren;endeavortomakeessential goods, health and other social services available to all the people ataffordable cost; establish and maintain an effective food and drug regulatorysystem; and undertake appropriate healthmanpower development and research,responsivetothecountry'shealthneedsandproblems.

Chapter2

DEPARTMENTPROPER

Sec. 5. Department Proper. ‐ The Department Proper shall be composed of theOffice of the Secretary, the Office for Management Services, the Office for PublicHealth Services, the Office for Hospital and Facilities Services, the Office forStandards and Regulations, and the Executive Committee for National FiledOperations.

Chapter3

DEPARTMENTSERVICES

Sec. 12. Office forManagement Services. ‐ The Office forManagement Services,headed by an Undersecretary who shall be supported by an Assistant Secretary,shall include six (6) staff services involved in providing support services to theDepartmentProper,fieldofficesandattachedagencies,whichareasfollows:

Chapter4

OFFICESANDBUREAUS

Sec.13.Office forPublicHealthServices. ‐TheOffice forPublicHealthServices,headedbyanUndersecretary,shallincludeten(10)staffservicesinvolvedinpolicyformulation, standards development, programs development, and programmonitoring of disease control and service delivery programs implemented by thefieldoffices.TheUndersecretaryforPublicHealthServices,whoshallbesupportedbyanAssistantSecretary,shallsupervisethefollowing:

Chapter5

FIELDOFFICES

Sec. 16. Office for National Field Operations. ‐ The Office for National FieldOperations, throughanExecutiveCommittee,shallsupervisetheoperationsof thevariousRegionalFieldOfficesand theNationalHealthFacilities,asenumerated inSection17(3)andfurtherdescribedinSections18,19and20hereof.

Chapter6

ATTACHEDAGENCIES

Sec. 24. Attached Entities. ‐ The Philippine Medical Care Commission and theDangerousDrugsBoardshallbeattachedto theDepartmentandshallcontinuetooperateandfunctioninaccordancewiththelawcreatingthem,exceptasotherwiseprovidedinthisCode.

TitleX

TRADEANDINDUSTRY

Chapter1

GENERALPROVISIONS

Sec. 1. Declaration of Policy. ‐ The State shall develop a self‐reliant andindependentnationaleconomyeffectivelycontrolledbyFilipinos.Itrecognizestheindispensableroleoftheprivatesector,encouragesprivateenterprise,andprovidesincentivestoneededinvestments.

Chapter2

DEPARTMENTPROPER

Sec. 5. Office of the Secretary. ‐ The Office of the Secretary shall consist of theSecretary,his immediatestaff, theUndersecretaryforPolicyPlanningandSupportServices, and the Offices and Services directly supportive of the Office of theSecretary.Thefunctionsoftheforegoingshallbeasfollows:

Chapter3

OFFICEOFTHEUNDERSECRETARYFORDOMESTICTRADE

Sec. 10. Office of the Undersecretary for Domestic Trade. ‐ The Office of theUndersecretary forDomesticTradeshall includeall thestaffbureausandservicesinvolved in policy formulation, standards development, regulatory, and servicedeliveryprogramspertinent todomestic trade and commercebeing implementedby theDepartment's line operating units. TheUndersecretary forDomestic Tradeshallsupervisethefollowing:

Chapter4

OFFICEOFTHEUNDERSECRETARYFORINTERNATIONALTRADE

Sec. 11.Office of theUndersecretary for InternationalTrade. ‐ TheOffice of theUndersecretaryforInternationalTradeshallincludealltheunitsinvolvedinpolicyformulation, standards development, program monitoring of the development,regulatory, and service delivery programs of the Department pertinent tointernational trade and commerce being implemented by the Department's lineoperating units. The Undersecretary for International Trade shall supervise thefollowing:

Chapter5

OFFICEOFTHEUNDERSECRETARYFOR

INDUSTRYANDINVESTMENTS

Sec.12.OfficeoftheUndersecretaryforIndustryandInvestments.‐TheOfficeofthe Undersecretary for Industry and Investments shall supervise all agenciesinvolvedintheformulationandimplementationofprogramsandprojectspertinentto the development of domestic industries and the promotion of investments inactivities or enterprises critical to the Department's trade and industrydevelopmentprogram.

Chapter6

OFFICEOFTHEUNDERSECRETARYFOR

REGIONALOPERATIONS

Sec.13.Officeof theUndersecretary forRegionalOperations. ‐TheOfficeof theUndersecretaryforRegionalOperationsshallexercisesupervisionandcontrolovertheDepartment'sRegionalOffices,described inSection9,par.1hereof. Itshallberesponsible for the field operations of the Department, ensuring full compliancewithDepartmentpolicies,rigorousimplementationofDepartmentandregulations,and proper implementation of Department plans and programs by the RegionalOfficesintheirrespectiveadministrativejurisdictions.

Chapter7

ATTACHEDAGENCIES

Sec.15.LineCorporateAgenciesandGovernmentEntities.‐ThefollowingaretheLine Corporate Agencies and Government Entities thatwill perform their specificregulatory functions, particular developmental responsibilities, and specializedbusiness activities in a manner consonant with the Departments' mandate,objectives,policies,plans,andprograms:

TitleXI

AGRARIANREFORM

Chapter1

GENERALPROVISIONS

Sec. 1. Declaration of Policy. ‐ The State shall undertake an agrarian reformprogramfoundedontherightoffarmersandregularfarmworkerswhoarelandlesstoowndirectlyorcollectivelythelandstheytillor,inthecaseofotherfarmworkers,toreceiveajustshareofthefruitsthereof.

Chapter2

DEPARTMENTPROPER

Sec. 5. Office of the Secretary. ‐ The Office of the Secretary shall consist of theSecretaryandhisimmediatestaff.

Chapter3

DEPARTMENTSERVICES

Sec. 8. Management and Executive Services. ‐ The Management and ExecutiveServicesshallhavethefollowingfunctions:

Chapter4

BUREAUS

Sec. 13. Bureau of Agrarian Legal Assistance. ‐ The Bureau of Agrarian LegalAssistanceshallhavethefollowingfunctions:

Chapter5

REGIONALANDDISTRICTOFFICES

ANDATTACHEDAGENCIES

Sec.18.RegionalOffice.‐TheRegionalOfficeshallberesponsibleforsupportingthe fieldunitsandsupervisingprogramimplementationof theDepartmentwithintheregion.Itshall:

TitleXII

LOCALGOVERNMENT

Chapter1

GENERALPROVISIONS

Sec. 1. Declaration of Policy. ‐ The State shall ensure the autonomy of localgovernments. For this purpose, it shall provide for a more responsive andaccountable local government structure instituted through a system ofdecentralization.Theallocationofpowersandresourcestolocalgovernmentunitsshall be promoted, and inter‐local government grouping, consolidation andcoordinationof resources shallbeencouraged.TheState shall guarantee the localgovernment units their just share in national taxes and their equitable share inproceeds from the use of natural resources, and afford them awider latitude forresourcesgeneration.

Chapter2

DEPARTMENTPROPER

Sec. 5. Office of the Secretary. ‐ The Office of the Secretary shall consist of theSecretaryandhisimmediatestaff.

Chapter3

DEPARTMENTSERVICES

Sec.7.PlanningService.‐ThePlanningServiceshallberesponsibleforprovidingthe Department with efficient and effective services relating to planning,programming,researchandstatistics.

Chapter4

BUREAUSANDOFFICES

Sec. 12. Bureau of Local Government Supervision. ‐ The Bureau of LocalGovernment Supervision, to be headed by a Bureau Director appointed by thePresident upon the recommendation of the Secretary, shall have the followingfunctions:

Chapter5

REGIONALANDFIELDOFFICES

Sec. 18. Regional and Field Offices. ‐ The Secretary is authorized to establish,operate and maintain one Regional Office in each of the administrative regionsestablishedbylaw.ARegionalOfficeshallhave,withinitsadministrativeregion,thefollowingfunctions:

Chapter6

LEAGUESOFPROVINCES,CITIES

ANDMUNICIPALITIES

Sec.19.LeaguesofProvinces,CitiesandMunicipalities.‐ThereisherebycreatedtheLeaguesofProvinces,CitiesandMunicipalities.

TitleXIII

TOURISM

Chapter1

GENERALPROVISIONS

Sec. 1. Declaration of Policy. ‐ The State shall promote, encourage and developtourismasamajornationalactivity inwhichprivatesector investment,effortandinitiative are fostered and supported, and through which socio‐economicdevelopment may be accelerated, foreign exchange earned, international visitorsoffered the opportunity to travel to the Philippines and appreciate its naturalbeauty,historyandculture,andFilipinos themselvesenabled toseemoreof theircountryandembuedwithgreaterprideinandcommitmenttothenation.

Chapter2

DEPARTMENTPROPER

Sec. 5. Office of the Secretary. ‐ The Office of the Secretary shall consist of theSecretaryandhisimmediatestaff.

Chapter3

DEPARTMENTSERVICES

Sec.7.DepartmentServiceCharacterandHead. ‐TheDepartmentServicesshallbeessentiallystaffincharacter,eachofwhichshallbeheadedbyaServiceChief.

Sec. 8. Financial and Management Service. ‐ The Financial and ManagementServiceshallprovidetheDepartmentwithstaffadviceandassistanceonbudgetary,financialandmanagementmattersandshallperformsuchotherrelatedfunctionsasmaybeassignedordelegatedtoitbytheSecretary.

Chapter4

BUREAUSANDOFFICES

Sec.11.BureauandOfficeCharacterandHead.‐TheBureausandOfficesshallbeessentiallystaffincharacter,eachofwhichshallbeheadedbyaStaffDirector.

Chapter5

FOREIGNANDREGIONALOFFICES

Sec. 19. Foreign Field Offices. ‐ Subject to the approval of the President, theDepartment shall have foreign offices asmay be necessary in themarketing andpromotion of the Philippines as an international tourist destination, which shalloversee and implement the marketing and promotional programs of theDepartment.

Chapter6

ATTACHEDAGENCIES

Sec. 21. Attached Agencies. ‐ The Philippine Tourism Authority, and PhilippineConvention Bureau, Intramuros Administration, and National Parks DevelopmentCommitteeareherebyattachedtotheDepartmentandshallcontinuetooperateandfunction in accordancewith the respective charters/laws/orders provided in thisCode.

TitleXIV

ENVIRONMENTANDNATURALRESOURCES

Chapter1

GENERALPROVISIONS

Sec. 1. Declaration of Policy. ‐ (1) The State shall ensure, for the benefit of theFilipino people, the full exploration and development as well as the judiciousdisposition, utilization, management, renewal and conservation of the country'sforest, mineral, land, waters, fisheries, wildlife, off‐shore areas and other naturalresources, consistentwith thenecessityofmaintaininga soundecologicalbalanceandprotecting andenhancing thequalityof the environment and theobjectiveofmaking the exploration, development and utilization of such natural resourcesequitably accessible to the different segments of the present as well as futuregenerations.

Chapter2

THEDEPARTMENTPROPER

Sec.6.Composition. ‐TheDepartmentPropershallbecomposedoftheOfficeoftheSecretary,theOfficesoftheUndersecretariesandAssistantSecretaries,andthePublicAffairsOffice,SpecialConcernsOffice,andthePollutionAdjudicationBoard.

Chapter3

THESTAFFSECTORALBUREAUS

Sec. 14. ForestManagement Bureau. ‐ The ForestManagement Bureau shall beheadedbyaDirectorandassistedbyanAssistantDirector,andshallintegrateandabsorb the powers of the Bureau of Forest Development and theWood IndustryDevelopmentAuthoritywhichwere abolishedbyExecutiveOrderNo.131, exceptthoselinefunctionsandpowersthereofwhicharetransferredtotheregionalfieldoffice.

Chapter4

THEDEPARTMENTFIELDOFFICES

Sec.20.FieldOfficesoftheDepartment.‐TheFieldofficesoftheDepartmentarethe Environmental and Natural Resources Regional Offices in the thirteen (13)administrative regions of the country; the Environment and Natural ResourcesProvincialOfficeineveryprovince,andtheCommunityOfficeineverymunicipality,wheneverdeemednecessary.

Chapter5

ATTACHEDAGENCIESANDCORPORATIONS

Sec. 23. Attached Agencies and Corporations. ‐ The following agencies andcorporations shall be attached to andunder the administrative supervisionof theDepartment:

TitleXV

TRANSPORTATIONANDCOMMUNICATIONS

Chapter1

GENERALPROVISIONS

Sec. 1. Declaration of Policy. ‐ The State is committed to the maintenance andexpansion of viable, efficient, fast, safe and dependable transportation and

communications systems as effective instruments for national recovery andeconomicprogress.Itshallnotcompeteasamatterofpolicywithprivateenterpriseandshalloperatetransportationandcommunications facilitiesonly in thoseareaswhereprivateinitiativesareinadequateornon‐existent.

Chapter2

DEPARTMENTPROPER

Sec. 5. Office of the Secretary. ‐ The Office of the Secretary shall consist of theSecretary, his immediate staff, the FranchisingReviewStaff and the Investigation,SecurityandLawEnforcementStaff.

Chapter3

DEPARTMENTSERVICES

Sec. 13. Department Services. ‐ The Department Services shall include thefollowing:

Chapter4

REGIONALOFFICES

Sec.14.RegionalOffices.‐TheDepartmentshallhavethree(3)RegionalOfficesineach of the administrative regions of the country: the Regional Office for LandTransportation,theRegionalOfficeforTelecommunicationsandtheRegionalOfficeforPostalServices.EachRegionalOfficeshallbeheadedbyaRegionalDirectortobeassistedbyanAssistantRegionalDirector.

Chapter5

REGULATORYBOARD

Sec. 15. Land Transportation Franchising and Regulatory Board. ‐ The quasi‐judicialpowersandfunctionswithrespecttolandtransportationshallbeexercisedthrough theLandTransportationandRegulatoryBoard,hereinafterreferred toasthe"Board".

Chapter6

ATTACHEDAGENCIES

Sec. 23. Attached Agencies and Corporations. ‐ The following agencies andcorporationsareattachedtotheDepartment:ThePhilippineNationalRailways,theMaritime Industry Authority, the Philippine National Lines, the PhilippineAerospace Development Corporation, the Metro Manila Transit Corporation, theOffice of Transport Cooperatives, the Philippine Ports Authority, the PhilippineMerchant Marine Academy, the Toll Regulatory Board, the Light Rail TransitAuthority,theTransportTrainingCenter,theCivilAeronauticsBoard,theNationalTelecommunicationsCommissionandtheManilaInternationalAirportAuthority.

TitleXVI

SOCIALWELFAREANDDEVELOPMENT

Chapter1

GENERALPROVISIONS

Sec.1.DeclarationofPolicy.‐TheStateiscommittedtothecare,protection,andrehabilitationof individuals, familiesandcommunitieswhichhave the least in lifeand need social welfare assistance and social work intervention to restore theirnormalfunctioningandenablethemtoparticipateincommunityaffairs.

Chapter2

DEPARTMENTPROPER

Sec. 5. Office of the Secretary. ‐ The Office of the Secretary shall consist of theSecretary and the Secretary's immediate staff, and the Public Affairs and LiaisonService.

Chapter3

DEPARTMENTSERVICES

Sec.8.Servicesof theDepartment. ‐TheServices listed inSection7 (1)and (3)hereof and the public Affairs and Liaison Service shall respectively have thefollowingfunctions:

Chapter4

BUREAUSANDOFFICES

Sec. 9. Composition. ‐ The Staff bureaus listed in Section 7 (2) hereof shall beessentially staff in character and as such shall exercise technical supervisionovertheRegionalOffices;shallbeprimarilyinvolvedinthedevelopmentofpoliciesandprogramswithintheirrespectivefunctionalspecializations;andshallformulateanddeveloprelatedpolicies,guidelinesandstandardsnecessaryinguidingtheRegionalOfficesintheproperimplementationofsuchpoliciesandprograms.

Chapter5

REGIONALOFFICES

Sec. 12. Regional Office. ‐ The Department is hereby authorized to establish,operateandmaintainaRegionalOfficeineachoftheadministrativeregionsofthecountry.

Chapter6

PROVINCIAL/CITYOFFICES

Sec.16.Provincial/CityOffice.‐TheDepartmentisherebyauthorizedtoestablish,operate and maintain Provincial/City Offices throughout the country withjurisdictionoverallmunicipalities/districtswithintheprovince.TheProvincial/CityOfficesshallhavethefollowingfunctions:

Chapter7

MUNICIPAL/DISTRICTOFFICES

Sec. 18. Municipal/District Office. ‐ The Department is hereby authorized toestablish,operateandmaintainaMunicipal/DistrictOfficetoserviceamunicipalityorcitydistrictwhichshallbeheadedbytheSupervisingSocialWelfareOfficerandshallbeprimarilyresponsible for theefficientandeffective implementationof theDepartment'sfieldprogramsinthemunicipalityorcity,underthesupervisionoftheProvincial/CityOffice.

Chapter8

ATTACHEDAGENCIES

Sec.19.AgenciesUnderAdministrativeSupervisionandAttachedAgencies.‐ThePopulation Commission Council for the Welfare of Children, National NutritionCouncil and the National Council for the Welfare of Disabled Person and theagencies attached to the Department shall continue to operate and function inaccordance with their respective charters or laws creating them, except asotherwiseprovidedinthisCode.

Chapter9

FUNDDRIVES

Sec. 20. Solicitation. ‐ Any person, corporation, organization, or associationdesiringtosolicitorreceivecontributionforcharitableorpublicwelfarepurposesshall first secure a permit from theRegionalOffices of theDepartment. Upon thefilingof awrittenapplication for apermit in the formprescribedby theRegionalOffices of the Department, the Regional Director or his duly authorizedrepresentativemay, in his discretion, issue a permanent or temporary permit or

disapprove the application. In the interest of the public, hemay in his discretionreneworrevokeanypermitissuedunderAct4075.

Chapter10

SOCIALWELFAREAGENCIESANDSERVICES

Sec. 23. Social Welfare Services by Others. ‐ Social welfare services by theDepartment shall bewithout prejudice to similar efforts by any local governmentunit or private agency, institution or group. All Department units shall activelypromoteandextendmaximumassistance,includingtheprovisionofcounterpartorsupplementaryfundsandresources,uponapprovalbytheSecretary,tosuchefforts.

TitleXVII

BUDGETANDMANAGEMENT

Chapter1

GENERALPROVISIONS

Sec. 1. Declaration of Policy. ‐ The national budget shall be formulated andimplemented as an instrument of national development, reflective of nationalobjectives and plans; supportive of and consistent with the socio‐economicdevelopmentplansandorientedtowardstheachievementofexplicitobjectivesandexpected results, to ensure that the utilization of funds and operations ofgovernment entities are conducted effectively; formulatedwithin the context of aregionalizedgovernmentalstructureandwithin the totalityofrevenuesandotherreceipts, expenditures and borrowings of all levels of government and ofgovernment‐ownedorcontrolledcorporations;andpreparedwithinthecontextofthenationallong‐termplansandbudgetprogramsoftheGovernment.

Chapter2

DEPARTMENTPROPER

Sec. 4. Office of the Secretary. ‐ The Office of the Secretary shall consist of hisimmediate staff, the Budget Control Staff, Research Staff, a Regional CoordinationStaffforLuzon,andaRegionalCoordinationStaffforVisayasandMindanao.

Chapter3

DEPARTMENTSERVICES

Sec.7.ManagementServicesOffice.‐TheManagementServicesOfficeshallconsistofthefollowingbureaus:

Chapter4

BUREAUS

Sec.10.TheBudgetOperationsOffice.‐TheBudgetOperationsOfficeshallreviewandanalyzetheworkandfinancial flows, thebudgetaryproposalsofnationalandlocalgovernmentagenciesandcorporations,checkeachagency'scompliancewiththebudgetarypoliciesandprojectpriorities,determinethebudgetaryimplicationsof foreign assisted projects from the time of project design to the negotiation forfinancial assistance, prepare recommendations for fund releases, formulate andimplementfiscalpoliciesandplansforbudgetpreparationandcontrol,andconductstudies on economic trends and factors affecting government revenues,expendituresandborrowings.ItshallconsistofthefollowingBureaus:

TitleXVIII

SCIENCEANDTECHNOLOGY

Chapter1

GENERALPROVISIONS

Sec.1.DeclarationofPolicy.‐TheStateshall:

Chapter2

DEPARTMENTPROPER

Sec. 5. Office of the Secretary. ‐ The Office of the Secretary shall consist of theSecretaryandhisimmediatestaff.

Chapter3

SERVICES

Sec.8.Services.‐TheServicesoftheDepartmentshallconsistofthefollowing:

Chapter4

BOARD,COUNCILSANDINSTITUTES

Sec. 9. Inter‐Council Review Board. ‐ There shall be an Inter‐Council ReviewBoard, composed of the Secretaries or their designatedUndersecretarieswho aremembersofthesectoralplanningcouncilsunderSections10,11,12,13,14,and15,andshallbechairedbytheSecretaryofScienceandTechnology.

Chapter5

REGIONALOFFICES.

Sec.28.RegionalOffices.‐TheDepartmentisauthorizedtoestablish,operateandmaintain a Regional Office, whenever appropriate, in each of the administrativeregionsofthecountry,tobeheadedbyaRegionalDirectorwhoshallreportandbesubject to the supervision of, the Undersecretary for Regional Operations. ARegionalOfficeshallhave,withinitsadministrativeregion,thefollowingfunctions:

Chapter6

ATTACHEDAGENCIES

Sec. 30. Attached Agencies. ‐ The following agencies shall be attached to theDepartment: the Philippine National Science Society, the National Academy ofScienceandTechnology,thePhilippineScienceHighSchool,andtheMetalsIndustryResearchandDevelopmentCenter.

TheCentershallhavethepowersandfunctionsassignedtoitbylaw.

BOOKV

TitleI

CONSTITUTIONALCOMMISSIONS

SubtitleA

CIVILSERVICECOMMISSION

Chapter1

GENERALPROVISIONS

Sec. 1. Declaration of Policy. ‐ The State shall insure and promote theConstitutionalmandate that appointments in the Civil Service shall bemade onlyaccording to merit and fitness; that the Civil Service Commission, as the centralpersonnel agency of the Government shall establish a career service, adoptmeasures topromotemorale,efficiency, integrity, responsiveness,andcourtesy inthe civil service, strengthen the merit and rewards system, integrate all humanresources development programs for all levels and ranks, and institutionalize amanagementclimateconducivetopublicaccountability;thatpublicofficeisapublictrust and public officers and employees must at all times be accountable to thepeople; and that personnel functions shall be decentralized, delegating thecorresponding authority to the departments, offices and agencies where suchfunctionscanbeeffectivelyperformed.

Chapter2

COVERAGEOFTHECIVILSERVICE

Sec. 6. Scope of the Civil Service. ‐ (1) The Civil Service embraces all branches,subdivisions, instrumentalities, and agencies of the Government, includinggovernment‐ownedorcontrolledcorporationswithoriginalcharters.

Chapter3

ORGANIZATIONANDFUNCTIONS

OFTHECIVILSERVICECOMMISSION

Sec.10.Composition.‐TheCommissionshallbecomposedofaChairmanandtwoCommissionerswhoshallbenaturalborncitizensofthePhilippinesand,atthetimeoftheirappointment,atleastthirty‐fiveyearsofage,withprovencapacityforpublicadministration,andmustnothavebeencandidatesforanyelectivepositionintheelectionsimmediatelyprecedingtheirappointment.

Chapter4

INTERDEPARTMENTRELATIONS

Sec.18.CivilServiceAssistancetoDepartmentandAgencies.‐EachSecretaryorhead of office, agency, government‐owned or controlled corporationwith originalcharterand localgovernmentshallberesponsible forpersonneladministration inhis officewhich shall be in accordancewith the provision relating to civil serviceembodied in the Constitution, this Title and the rules, principles, standards,guidelines and regulations established by the Commission. The Civil ServiceCommissionshall,wheneveritdeemsitintheinterestofthepublicservice,organizein each department, office, agency, government‐owned or controlled corporation,andprovincialandcitygovernmentaCivilServiceStaffwhichshallbeheadedbyanofficer of the Commission. The necessary staff personnel and office facilities andequipmentshallbeprovidedby thedepartment,government‐ownedorcontrolledcorporationorlocalgovernmentwherethestaffisestablishedbuttheCommissionmay augment these with its own. The Staff shall serve as the principal liaisonbetween the Civil Service and Department concerned and shall perform thefollowingspecificfunctionsandthosefunctionswhichmayhereafterbeassignedtoitbytheCommission.

Chapter5

PERSONNELPOLICIESANDSTANDARDS

Sec. 21. Recruitment and Selection of Employees. ‐ (1) Opportunity forgovernmentemploymentshallbeopentoallqualifiedcitizensandpositiveeffortsshallbeexertedtoattractthebestqualifiedtoentertheservice.Employeesshallbeselectedonthebasisoffitnesstoperformthedutiesandassumetheresponsibilitiesofthepositions.

Chapter6

RIGHTTOSELF‐ORGANIZATION

Sec.38.Coverage.‐(1)Allgovernmentemployees,includingthoseingovernment‐owned or controlled corporations with original charters, can form, join or assistemployees'organizationsoftheirownchoosingforthefurtheranceandprotectionoftheirinterests.Theycanalsoform,inconjunctionwithappropriategovernmentauthorities, labor‐management committees, work councils and other forms ofworkers'participationschemestoachievethesameobjectives.

Chapter7

PROHIBITIONS

Sec.54.LimitationonAppointment. ‐ (1)Noelectiveofficial shallbeeligible forappointmentordesignation inanycapacity toanypublicofficeorpositionduringhistenure.

Chapter8

LEAVEOFABSENCE

Sec. 60. Leave ofAbsence. ‐Officers and employees in theCivil Service shall beentitledtoleaveofabsence,withorwithoutpay,asmaybeprovidedbylawandtherulesandregulationsoftheCivilServiceCommissionintheinterestoftheservice.

Chapter9

MISCELLANEOUSPROVISIONS

Sec. 61. Examining Committee, Special Examiners and Special Investigators. ‐Subjecttoapprovalbytheproperheadofadepartmentoragency,theCommissionmay select suitable persons in the government service to act as members ofexamining committees, special examiners or special investigators. Such personsshallbedesignatedexaminersorinvestigatorsoftheCommissionandshallperformsuchdutiesastheCommissionmayrequire,andintheperformanceofsuchdutiestheyshallbeunderitsexclusivecontrol.Examiningcommittees,specialexaminersor special investigators so designatedmay be given allowances or per diems fortheirservices,tobepaidoutofthefundsof,andataratetobedeterminedby,theCommission.

SubtitleB

THECOMMISSIONONAUDIT

Chapter1

GENERALPROVISIONS

Sec.1.DeclarationofPolicy.‐All resourcesof thegovernmentshallbemanaged,expended or utilized in accordance with law and regulations and safeguardedagainstlossorwastagethroughillegalorimproperdispositiontoensureefficiency,economyand effectiveness in theoperations of government. The responsibility totake care that such policy is faithfully adhered to rests directlywith the chief orheadofthegovernmentagencyconcerned.

Chapter2

ORGANIZATIONOFTHECOMMISSIONONAUDIT

Sec. 3. TheCommissionProper. ‐ TheCommissionProper shall be composedoftheChairman and twoCommissioners. It shall sit as a body to formulatepolicies,

promulgaterulesandregulations,andprescribestandardsgoverningthedischargeofitspowersandfunctions.

Chapter3

OFFICES

Sec.7.CentralOffices.‐TheCommissionshallhavethefollowingcentraloffices:

Chapter4

JURISDICTION,POWERSANDFUNCTIONSOFTHECOMMISSION

Sec.10.StatementofObjectives.‐Inkeepingwiththeconstitutionalmandate,theCommissionadherestothefollowingobjectives:

Chapter5

DECISIONSOFTHECOMMISSION

Sec.33.AppealfromDecisionofAuditors.‐Anypersonaggrievedbythedecisionof an auditor of any government agency in the settlement of an account or claimmay,withinsix(6)monthsfromreceiptsofacopythereof,appealinwritingtotheCommission.

Chapter6

GOVERNMENTAUDITINGANDACCOUNTING

Sec.38.DefinitionofGovernmentAuditing.‐Governmentauditingistheanalyticaland systematic examination and verification of financial transactions, operations,accounts and reports of any government agency for the purpose of determiningtheir accuracy, integrity and authenticity, and satisfying the requirements of law,rulesandregulations.

Chapter7

RECEIPTANDDISPOSITIONOFFUNDSANDPROPERTY

Sec.42.AccountingforMoneyandPropertyReceivedbyPublicOfficials.‐Exceptas may otherwise be specifically provided by law or competent authority, allmoneysandpropertyofficiallyreceivedbyapublicofficerinanycapacityoruponanyoccasionmustbeaccountedforasgovernmentfundsandgovernmentproperty.Government property shall be taken up in the books of the agency concerned atacquisitioncostoranappraisedvalue.

Chapter8

APPLICATIONOFAPPROPRIATEDFUNDS

Sec.45.DisbursementofGovernmentFunds.‐(1)Revenuefundsshallnotbepaidout of any public treasury or depository except in pursuance of an appropriationlaworotherspecificstatutoryauthority;

Chapter9

ACCOUNTABILITYANDRESPONSIBILITY

FORGOVERNMENTFUNDSANDPROPERTY

Sec. 50. Accountable Officers; Board Requirements. ‐ (1) Every officer of anygovernment agency whose duties permit or require the possession or custodygovernment funds shall be accountable therefor and for safekeeping thereof inconformitywithlaw;and

Chapter10

MISCELLANEOUSPROVISIONS

Sec.54.DutytoRespecttheCommission'sIndependence.‐Itshallbethedutyofeverypersontorespect,protectandpreservetheindependenceoftheCommission.

SubtitleC

COMMISSIONONELECTIONS

Chapter1

GENERALPROVISIONS

Sec. 1. Declaration of Policy. ‐ The State shall at all times ensure free, orderly,honest,peacefulandcredibleelectionsundera freeandopenpartysystemwhichshallbeallowedtoevolveaccordingtothefreechoiceofthepeoplesubjecttotheprovisionsofArticleIX‐Cofthe1987ConstitutionofthePhilippines.

Chapter2

THECOMMISSIONPROPER

Sec.4.CompositionandQualifications.‐ThereshallbeaCommissiononElectionscomposed of a Chairman and six (6) Commissioners who shall be natural borncitizensofthePhilippinesand,atthetimeoftheirappointment,at leastthirty‐five(35)yearsofage,holdersofacollegedegree,andmustnothavebeencandidatesforany elective position in the immediately preceding elections.However, amajoritythereof, includingtheChairman,shallbemembersof thePhilippineBarwhohavebeenengagedinthepracticeoflawforatleastten(10)years.

Chapter3

THEFIELDOFFICES

Sec.11.FieldOfficeoftheCommission.‐TheCommissionshallhavethefollowingfieldoffices:

TitleII

OTHERBODIES

SubtitleA

COMMISSIONONHUMANRIGHTS

Sec.1.CompositionandQualification.‐TheCommissiononHumanRightsshallbecomposedofaChairmanandfour(4)Memberswhomustbenatural‐borncitizensofthePhilippinesand,atthetimeoftheirappointment,atleastthirty‐fiveyearsofage, andmust not have been candidates for any elective position in the electionsimmediately preceding their appointment. However, a majority thereof shall bemembersofthePhilippineBar.

SubtitleB

OFFICEOFTHEOMBUDSMAN

Sec. 1. Composition. ‐ (1) TheOffice of theOmbudsman shall be headed by theOmbudsman,tobeknownastheTanod‐bayan,whoshallbeassistedbyoneoverallDeputy and at least by one Deputy each for Luzon, Visayas and Mindanao. AseparateDeputyforthemilitaryestablishmentmaylikewisebeappointed.

SubtitleC

THENATIONALECONOMICANDDEVELOPMENTAUTHORITY

Chapter1

GENERALPROVISIONS

Sec. 1. Declaration of Policy. ‐ The State shall ensure that all socio‐economicprogramsandactivitiesofthegovernmentshallbeprogrammedwithinthecontextofwell‐formulatedandconsistentlong,medium,andshort‐termdevelopmentplansand policies to promote both the growth of the economy and the equitabledistributionofthebenefitsofsuchgrowthtothemembersofsociety.Tothisend,itis recognized that the formulation of the required socio‐economic developmentpolicies and plans is a vital process that calls for the participation of the variousgovernment agencies and private sector institutions and individuals concerned,

both on national, regional, and local levels. This process of policy and planformulation, however needs to be coordinated closely by a central governmentagency to ensure consistency of these plans and policies and optimal use of thenation'sscarceresources.

Chapter2

NEDABOARD

Sec.5.CompositionoftheNEDABoard. ‐TheNEDABoardshallbecomposedofthefollowing:

Chapter3

NEDASECRETARIAT

Sec.8.TheNEDASecretariat. ‐TheSecretariatofNEDAshallhave the followingfunctions:

Chapter4

ATTACHEDAGENCIES

Sec. 16. Retained Agencies. ‐ The following agencies, currently attached to theAuthority,shallcontinuetobesoattachedforpurposesofsupervision;

(1)PhilippineInstituteforDevelopmentStudies:

(2)PhilippineNationalVolunteerServiceCoordinating

Agency;and

(3)TariffCommission.

TheAuthority shall arrange for the transfer of the functionsof the followingagenciestotheRegionalDevelopmentCouncilsconcernedorotheragenciesasmaybeappropriate:

(1)KalingaSpecialDevelopmentRegion;

(2)LagunaLakeDevelopmentAuthority;

(3)LeyteSab‐ABasinDevelopmentAuthority.

The National Council for integrated Area Development (NACIAD) and theCentral Visayas Regional Projects Office (CVRPO) are hereby transferred to theAuthoritywhichshall,withinone(1)yearfromthedateofeffectivityofthisCode,recommend their transfer to the appropriate department in conjunctionwith theDepartment of Budget and Management. The Authority shall further review thefunctions and activities of all other Integrated Area Development programs andprojectsandanyotherprogramsrequiringmulti‐sectoraland/ormulti‐disciplinaryapproachesinordertorecommendtheappropriatedispositionandsupervisionofthesame.

TheAuthorityshallfurthermorereviewthemandate,objectivesandfunctionsofalldevelopmentauthoritiesinordertorecommendsuchdispositionsorrevisionsoftheircharters,asmaybedeemedadvisable.

BOOKVI

NATIONALGOVERNMENTBUDGETING

Chapter1

GENERALPROVISIONS

Sec.1.ConstitutionalPoliciesontheBudget. ‐ (1)Allappropriations,revenueortariffbills,billsauthorizingincreaseofthepublicdebt,billsoflocalapplication,andprivate bills shall originate exclusively in the House of Representatives but theSenatemayproposeorconcurwithamendments.

Chapter2‐BUDGETPOLICYANDAPPROACH

Sec. 3. Declaration of Policy. ‐ It is hereby declared the policy of the State toformulate and implement a National Budget that is an instrument of nationaldevelopment,reflectiveofnationalobjectives,strategiesandplans.Thebudgetshallbesupportiveofandconsistentwiththesocio‐economicdevelopmentplanandshallbeorientedtowardstheachievementofexplicitobjectivesandexpectedresults,toensure that funds are utilized and operations are conducted effectively,economically and efficiently. The national budget shall be formulated within thecontext of a regionalized government structure and borrowings of all levels ofgovernmentandofgovernment‐ownedorcontrolledcorporations.Thebudgetshalllikewisebepreparedwithinthecontextofthenationallong‐termplanandofalong‐termbudgetprogram.

Chapter3

BUDGETPREPARATION

Sec. 11. Submission of the Budget. ‐ The President shall, in accordance withSection22 (1), articleVII of theConstitution, submitwithin thirty (30)days fromtheopeningofeachregularsessionoftheCongressasthebasisforthepreparationoftheGeneralAppropriationsAct,anationalgovernmentbudgetestimatedreceiptsbasedonexistingandproposedrevenuemeasures,andofestimatedexpenditures.

Chapter4

BUDGETAUTHORIZATION

Sec.23.ContentoftheGeneralAppropriationsAct.‐TheGeneralAppropriationsAct shall be presented in the form of budgetary programs and projects for eachagencyofthegovernment,withthecorrespondingappropriationsforeachprogram

and project, including statutory provisions of specific agency or generalapplicability. The General Appropriations Act shall not contain any itemization ofpersonalservices,whichshallbepreparedbytheSecretaryafterenactmentoftheGeneralAppropriationsAct,forconsiderationandapprovalofthePresident.

Chapter5

BUDGETEXECUTION

Sec. 32. Use of Appropriated Funds. ‐ All moneys appropriated for functions,activities,projectsandprogramsshallbeavailablesolely for thespecificpurposesforwhichtheseareappropriated.

Chapter6

BUDGETACCOUNTABILITY

Sec.51.EvaluationofAgencyPerformance.‐ThePresident,throughtheSecretaryshall evaluate on a continuing basis the quantitative and qualitativemeasures ofagency performance as reflected in the units of work measurement and otherindicatorsofagencyperformance, includingthestandardandactualcostsperunitofwork.

Chapter7

EXPENDITUREOFAPPROPRIATEDFUNDS

Sec. 58. Contracting of Activities. ‐ Agencies may enter into contracts withindividuals or organizations, both public and private, subject to provisions of lawandapplicableguidelinesapprovedbythePresident:provided,thatcontractsshallbeforspecificserviceswhichcannotbeprovidedbytheregularstaffoftheagency,shall be for a specific period of time, and shall have a definite expected output:provided, further, that implementing,monitoring and other regular and recurringagency activities shall not be contracted for, except for personnel hired on anindividual and contractual basis and working as part of the organization, or asotherwise may be approved by the President: Provided, finally, that the cost ofcontractedservicesshallnotexceedtheamountthatwouldotherwisebe incurred

hadtheworkbeenperformedbyregularemployeesofgovernment,exceptasmaybeauthorizedunderthissection.

Sec. 59. Authority to Receive Additional Compensation. ‐ Officials andemployees who are duly appointed by competent authority to any position inanothergovernmentofficeoragencyinaconcurrentcapacity,may,inthediscretionof the President, be allowed to receive additional compensation in the form ofallowanceorhonorariumatsuchratesheshallfixandsubjecttosuchconditionsasshe may prescribe. Such additional compensation shall be paid from theappropriationsoftheofficeoragencybenefittingfromtheconcurrentservice.

Sec. 60. Restrictions on Salary Increases. ‐ No portion of the appropriationsprovidedintheGeneralAppropriationsActshallbeusedforpaymentofanysalaryincreaseoradjustmentunlessspecificallyauthorizedbylaworappropriatebudgetcircular nor shall any appropriation for salaries authorized in the GeneralAppropriations Act, save as otherwise provided for under the Compensation andPositionClassificationAct,bepaidunlessthepositionshavebeenclassifiedbytheBudgetCommission.

Sec. 61.Merit Increases. ‐ Thebudgets of national government agenciesmayprovidedfora lump‐sumformerit increases,subjecttosuchtermsandconditionsasmaybeapprovedbythePresident.Such lump‐sumshallbeusedto fundsalaryincreases approved by the head of agency in recognition of meritoriousperformance: Provided, That theCivil ServiceCommission and theDepartment ofBudgetshall jointly issue therulesandregulationsgoverning thegrantingofsuchmeritincreases.

Sec. 62. Salary for Substitutionary Service. ‐When an official or employee isissuedadulyapprovedappointment ina temporaryoractingcapacity to take theplace and perform the duties of anotherwho is temporarily absent fromhis postwithpay,savingsintheappropriationsofthedepartment,bureauorofficemaybeused for the payment of his salary or differential, subject to the approval of theSecretary.

Sec. 63. Additional Compensation for Overtime Service. ‐ Officials andemployees of the National Government, when required to work overtime afterregular working hours during ordinary days, during half‐day sessions, or onSaturdays,Sundaysandholidays,bytheheadsofdepartmentsconcerned,tofinish

work that must be completed within a specified time, may be paid overtimecompensation from any unexpected balance of the appropriation for salaries andwagesauthorized in theGeneralAppropriationsAct andunder suchguidelinesasmaybeissuedbythePresident.

Sec.64.CompensationofPersonsReceivingPension. ‐Apersonreceiving lifepension,annuity,orgratuityasaresultofserviceinthenationalgovernmentoranylocal government unit, or from any government‐owned or controlled corporation,who is reappointed to any position, the appropriation for the salary of which isprovided from funds of the office, shall have the option to receive either thecompensation for the position, or the pension, gratuity or annuity, but in no caseshallhereceiveboth.

Sec. 65. Prohibition of Voluntary Service. ‐ Unless otherwise specificallyapproved by the President, no person shall be employed or appointed in thegovernment under the guise of voluntary service, with compensation below theauthorizedhiringratefortheposition,butwithprivilegeoftransportationand/orrepresentation expenses in any form, or of receiving per diems, allowances,honoraria,subsistence,quartersincashorinkind,payablefromgovernmentfunds:provided, that the application of this provisions may be waived to authorizevoluntaryserviceintheArmedForcesofthePhilippinesorinconnectionwithreliefoperations.

Sec. 66. Additional Compensation for School Faculty Members. ‐ Professors,instructors,teachers,ormembersofthefacultyofgovernmentschools,collegesanduniversities,whenrequiredtoteachmorethantheirregularteachingloadsmaybepaidadditional compensationnot exceeding seventy‐fivepercentumof theirbasicsalary.

Sec. 67. Laundry. ‐ At the discretion of the department head concerned, anyofficial or employee of the national government serving in any hospital, penalinstitution, or other similar institution,who is required towear a uniformduringtheperformanceofhisduties,maybegrantedlaundryallowanceinkind,orwhichmaybecommutedatsuchratesasmaybeauthorizedbytheDepartmentofBudget.

Sec. 68. Hazard Pay. ‐ Upon recommendation of the department headconcernedandapprovaloftheSecretary,hazardpaymaybeallowedtoemployeeswhoareactuallyassignedtodangerorstrife‐tornareas,disease‐infestedplaces,or

indistressedorisolatedstationsandcamps,whichexposethemtogreatdangerofcontagion or peril to life. Such hazard pay shall be paid from savings of thedepartment concerned at such rates, terms and conditions as the Secretary mayprescribe.

Sec.69.Subsistence.‐Noofficialoremployeeofthenationalgovernmentshallbe given subsistence, the cost of which is payable from any fund, except thefollowingandonlywhenanappropriationthereforisspecificallyprovided:

(1)Marineofficers,engineersandcrewofgovernmentvessels, launches,andmotorboats,whoshall taketheirmealsonthemesswhenaboardthesaidvessels,launches,ormotorboats;

(2)Lightkeepersandotheremployeesinlightstationsdulyauthorizedbytheheadofthedepartmenttoreceivesubsistence,whoshallbefurnishedrawcanned,orpreservedfoodsupplies;

(3) Officials and employees who are required to render service within thepremises of hospitals, penal institutions, leper institutions, military installations,andothersimilarinstitutions,foracontinuousperiodthatincludesmealtime,maybe allowed full subsistencewhen required to live in said premises tomake theirservicesavailableatanyandalltimes;

(4) Laborers temporarily fielded to isolated or unsettled districts shall befurnished the usual rations or the equivalent in cash, at the expense of thegovernment.

Inhospitalsandleperinstitutionswheretherearenomesshallsorwheneverthese are inadequate, personnel entitled to subsistence allowance in kind maycommutesuchsubsistenceuponrequestofthepersonnelconcernedsubjecttotheapproval of the department head at authorized rates chargeable against theappropriationsforsuppliesandmaterialsauthorizedintheGeneralAppropriationsAct.

Sec. 70. Subsistence of Crew of Government Vessels. ‐ The subsistenceallowance for the officers and crew of the coast guard and revenue cutters and

lighthouse tenders and other large vessels operated by the Government shall bespent for conducting amessunder the charge and administrationof oneormoremembersofthecomplement ineachvesseltobedesignatedbythecorrespondingheadof department, and in accordancewith regulations to be issuedbyhim.Theperson or persons so designated shall keep an account of the advances of fundsreceivedandexpendituresmadetherefromfortheoperationofthemessandshallrendersuchreporttothecorrespondingAccountingOfficerpromptlyattheendofeachmonth.

Sec.71.FurnishedQuarters.‐Whenthepositionofanyofficialoremployeeisprovidedwith"furnishedquarters",suchofficialoremployeeshallbeentitledtotheuse of such government‐owned furniture and equipment as are necessary for hisboard and lodging and those for his family including children below twenty‐oneyearsofage.

Sec. 72. Per Diems of Government Officials and Employees. ‐ When agovernmentofficialoremployeeisauthorizedtotravelonofficialbusinessoutsideofhispermanent station,he shallbeentitled toperdiems to coverhisboardandlodginginaccordancewithhisschedule:provided,thatinadditiontoperdiems,theofficial or employee may be entitled to transportation expenses in going to andcoming fromhisdestinationand to adaily allowancewhile in the field:provided,further,thatofficialsandemployeesontravelstatuswhoseexpensesforboardandlodgingarepaiddirectlyorindirectlybygovernmentmaynotbeentitledtoreceivetheperdiemsandallowancescorrespondingtosuchpayments.

Department secretaries, headsof Constitutional bodies, undersecretaries andall other positions of equivalent rank are authorized the reimbursement of actualexpenses supported by receipts,within such limits asmay be imposed under theprovisionsofthissection.

Officials andemployees authorized to travel abroadmaybegranted clothingallowance: provided, that no official or employee shall be granted such clothingallowanceoftenerthanonceeverytwenty‐four(24)months.

TheratesofperdiemsandotherallowancesasauthorizedinthissectionshallbedeterminedbythePresident.TheratesmaybechangedfromtimetotimeuponrecommendationofaTravelRatesCommitteewhichisherebycreated,consistingofthe Secretary of Budget as Chairman and the Secretary of Foreign Affairs, the

Secretary of Tourism and the Chairman, Commission on Audit, or theirrepresentatives,asmembers.

TheCommitteeshallreviewtravelratesandshallrecommendtothePresidentfor considerationandapprovalmodification in ratesandpolicywhen found tobewarrantedbyactualdomesticorforeigntravelcosts,asthecasemaybe.

Government‐owned or controlled corporations shall observe the ratesestablishedunderthissection:provided,thatprofitmakingcorporationsmayadopttheirownscalesasmaybeprovidedbylaw.TheTravelRatesCommitteeshallissuethenecessaryrulesandregulationstoenforcetheprovisionsofthissection.

Sec.73.AdditionalConditionsforPaymentofTravelExpenses.‐Whentravelisdone by water and subsistence is not included in the transportation cost, theamountactuallyandnecessarilyspentforsubsistenceduringsuchtraveltimeshallbepaid,andnoperdiemsshallbeallowedinlieuthereof.

Per diems and travel allowances shall not be granted to members of fieldpartiesorothersforwhomsubsistenceandallowancesinkindaresuppliedorotherspecialprovisionmadetocovertravelexpenses.

The travel expensesof agovernmentofficialoremployeewho is assigned torenderaspecialservicetoanyprivatepersonorentity,theexpensesforwhicharepayablebythelatter,shallbepaidfromadepositwhichtheprivatepartyshallberequired to make before the performance of the special service is commenced,subject to the limitations and requirements herein provided for travel expensespayablefromgovernmentfunds.

No official or employee of the Governmentwho remains temporarily at onestationforaperiodlongerthanone(1)monthshallbepaidperdiemsinexcessofone(1)month,exceptupontheapprovaloftheheadofdepartment,and,incasehistemporarystayinanyoneplaceexceedsthree(3)months,paymentofperdiemsinexcess of three (3)months shall bemadeonly upon theprevious approval of theSecretary.

Sec. 74. Transportation of Members of Family of an Employee TransferredfromOneStation toAnother. ‐Whenever,due to theexigenciesof theserviceandnot at his own request, an official or employee is transferred fromone station toanother, said official or employee and his spouse and children below twenty‐oneyears of age shall be entitled to transportation and freight for reasonable andnecessarybaggageandhouseholdeffects,at theexpenseof theGovernment, tobepaid from the appropriation for traveling expenses of the bureau or officeconcerned.

Sec. 75. Purchase, Use, Operation and Maintenance of Motor TransportEquipment. ‐ No appropriation for equipment authorized in the GeneralAppropriations Act shall be used directly or indirectly for the purchase ofautomobiles, jeeps, jitneys, station wagons, motorcycles, trucks, launches,speedboats, airplanes, helicopters and other types of motor transport equipmentunlessotherwisespecificallyauthorizedbythePresident.

All departments, bureaus, offices and agencies authorized topurchasemotortransportequipmentincludingthoseacquiredthroughdonations,giftsorgratuitoustitle are likewise authorized to use, operate and maintain them for purposes ofcarryingouttheofficialfunctionsandactivitiesoftheagency.Thesemotorvehiclesshall be used strictly for official business, bear government plates only, and afterofficehourskeptingarageprovidedthereforbytheofficeoragencytowhichtheybelong,except,wheninuseforofficialbusinessoutsideofficehours.ThePresident,however, may authorize exceptions from these provisions for officials ofgovernment who work under extended hours or whose activities call for specialsecurityarrangements.Anyviolationof theprovisionsof thissectionshall subjecttheerringofficialoremployeetoadministrativedisciplinaryactionandheshallbepersonallyliableforanylossordamagecausedtothegovernmentorthirdpersons.

TheCommissiononAuditshallissuerulesandregulationsgoverningtheuse,operationandmaintenanceofgovernmentmotortransportequipment.

Sec.76.LimitationofRentalofMotorVehicles.‐Noappropriationsauthorizedin the General Appropriations Act shall be used for renting motor transportequipment for a continuous period of more than fifteen days, except as may beauthorizedbytheSecretary.

Sec. 77. Limitation of Purchase of Supplies, Materials, and Equipment SpareParts. ‐Exceptasotherwiseprovided in theGeneralAppropriationsAct, thestockon hand of supplies, materials and equipment spare parts, acquired throughordinary and emergency purchase, shall at no time exceed normal three‐monthrequirements, subject to the pertinent rules and regulations issued by competentauthority:Provided,Thatdepartmentheadsmayapprovethebuild‐upofstocksonhand of critical supplies and materials, in anticipation of cost increases orrequirements of a national emergency, and specifying maximum quantities ofindividual items, but in no case shall these stocks exceed more than one year'ssupply,unlessotherwiseapprovedbythePresident.

Sec.78.PurchaseofLocallyManufacturedProducts.‐Allappropriationsforthepurchase of equipment, supplies and materials authorized in the GeneralAppropriations Act shall be available only for locally manufactured equipment;parts,accessories,medicinesanddrugs,suppliesandmaterials,exceptwhennoneisavailableinthemarketorwhenthepriceofthelocallymanufacturedarticleexceedthosedeterminedbytheFlagLaw.

Sec.79.AvailabilityofAppropriationsforRentalofBuildingandGrounds.‐Anyappropriation authorized in any Act for rental of buildings and grounds for anydepartment,bureau,officeoragencyshallbeavailable forexpenditureonlywhenauthorizedbythedepartmentheadconcerned.Suchappropriationmayalsobeusedforlease‐purchasearrangements.

With the concurrence of the Secretary of Budget and Management and theSecretaryofFinance,theheadofthedepartmentmaycontractwithanygovernmentfinancial institution for loans intended for the acquisition of land for theconstruction of an office building for any of the agencies under the department.Annual amortizationof the loans shall be taken from the appropriation for rentalauthorizedunderanyActforthedepartment,bureauorofficeconcerned.

Sec. 80. Misuse of Government Funds and Property. ‐ Any public official oremployee who shall apply any government fund or property under hisadministrationorcontroltoanyuseotherthanforwhichsuchfundorpropertyisappropriatedbylaws,shallsufferthepenaltyimposedundertheappropriatepenallaws.

BOOKVII

ADMINISTRATIVEPROCEDURE

Chapter1

GENERALPROVISIONS

Sec.1.Scope.‐ThisBookshallbeapplicabletoallagenciesasdefinedinthenextsucceeding section, except the Congress, the Judiciary, the ConstitutionalCommissions,military establishments in allmatters relating exclusively toArmedForces personnel, the Board of Pardons and Parole, and state universities andcolleges.

Chapter2

RULESANDREGULATIONS

Sec. 3. Filing. ‐ (1)Every agency shall filewith theUniversityof thePhilippinesLawCenterthree(3)certifiedcopiesofeveryruleadoptedbyit.RulesinforceonthedateofeffectivityofthisCodewhicharenotfiledwithinthree(3)monthsfromthat date shall not thereafter be the basis of any sanction against any party orpersons.

Chapter3

ADJUDICATION

Sec. 10. Compromise and Arbitration. ‐ To expedite administrative proceedingsinvolvingconflictingrightsorclaimsandobviateexpensivelitigations,everyagencyshall, in the public interest, encourage amicable settlement, comprise andarbitration.

Chapter4

ADMINISTRATIVEAPPEALINCONTESTEDCASES

Sec.19.Appeal.‐Unlessotherwiseprovidedbylaworexecutiveorder,anappealformafinaldecisionoftheagencymaybetakentotheDepartmenthead.

FINALPROVISIONS

Sec. 27. Repealing Clause. ‐ All laws, decrees, orders, rules and regulations, orportions thereof, inconsistent with this Code are hereby repealed or modifiedaccordingly.

DONEintheCityofManila,this25thdayofJuly,intheyearofOurLord,nineteenhundredandeighty‐seven.