EXECUTIVE ORDER NO. 494
EXECUTIVE ORDER NO. 494 -
REORGANIZING CERTAIN GOVERNMENT-OWNED OR CONTROLLED CORPORATIONS AND
FOR OTHER PURPOSES
WHEREAS,
consistent with the Government’s Corporate Rationalization Program and
upon the recommendation of the Department of Budget and Management
pursuant its mandate under Executive Order No. 5, series of 1986, and
Executive Order No. 165, series of 1987, the reorganization of the
following government-owned or controlled corporations should be
effected: (1) the Metals Industry Research and Development Center; (2)
the Fiber Industry Development Authority; (3) the National Post-Harvest
Institute for Research and Extension; (4) the Philippine Coconut
Authority; (5) the Music Promotion Foundation of the Philippines; and
(6) the National Social Action Council;
WHEREAS, Sec. 48 of the General Provisions, Republic Act No. 7078,
otherwise known as the General Appropriations Act FY 1991, provided the
following:
“Scaling
Down and Phase-Out of Activities of Agencies within the Executive
Branch. — The heads of departments, bureaus, offices and agencies are
hereby directed to identify their respective activities which are no
longer essential in the delivery of public services and which may be
scaled down, phased-out or abolished, subject to civil service rules
and regulations. Said activities shall be reported to the Office of the
President through the Department of Budget and Management and to the
Chairman, Committee on Appropriations of the House of Representatives
and the Chairman, Committee of Finance of the Senate. Actual scaling
down, phase-out or abolition of the activities shall be effected
pursuant to circulars or orders issued for the purpose by the Office of
the President.
“Savings generated by
departments, bureaus, offices and agencies on the abolition, phase-out
or scaling down of unnecessary activities may be used by the
departments, bureaus, offices and agencies concerned for the
augmentation of their respective programs, projects and
activities.”
WHEREAS, the Secretary of Justice, in Opinion No. 210, series of 1988,
states that, “the President may, in the implementation of the
privatization program of the government, amend or repeal the charters
of government-owned or controlled corporations pursuant to her
delegated legislative authority under Sec. 22 of Proclamation No.
50, which remains to be operative until it is amended, repealed or
revoked by Congress (Sec. 3, Art. XVIII, Constitution);
WHEREAS, the Secretary of Justice, in Opinion No. 43, Series of 1990,
further states that the President may amend the charters of GOCCs which
have been identified for privatization to effect mergers or
consolidations pending final disposition of such GOCCs to the private
sector “if such disposition action will enhance the implementation of
the privatization program of the government; and, considering that
privatization program aims to generate maximum cash recovery for the
National Government, the “rehabilitation of GOCCs through merger or
consolidation of certain GOCCs identified for privatization, to ensure
maximum cash recovery for the government would certainly be in
furtherance of the government’s privatization program; “and
WHEREAS, the Secretary of Justice, in the same opinion, also states
that “[I]n the case of GOCCs which are recommended for regularization
into regular line agencies, . . . the President may likewise amend the
charters of such GOCCs so as to terminate their corporate existence.
Such disposition action is also deemed consistent with the government’s
privatization program in that the regularization of certain GOCCs into
regular line agencies would give effect to the government’s policy to
accord primacy to the private sector in entrepreneurial endeavors and
relegate the government to a secondary role.”
NOW, THEREFORE, I, CORAZON C. AQUINO, President of the Philippines, by
virtue of the powers vested in me by law, do hereby order:
Section 1. Definition of Terms. — For purposes of
this Executive Order:
a.
Regularization shall refer to the process by which a government-owned
or controlled corporations is transformed into (1) a regular government
agency with essentially the same objectives, powers and functions,
except those which are corporate in nature, and is attached to a
department in the Executive Branch; or (2) a unit which is integral to
an existing agency or executive department and with essentially the
same objectives, powers and functions, except those which are corporate
in nature;
b. Conversion
shall refer to a variant of the divestment process by which, for the
purpose of privatization, a government- owned or controlled corporation
is dissolved but exclusive authority is granted to the management
thereof to form a new and private corporation through registration with
the Securities and Exchange Commission, with the same corporate name
and essentially the same objectives, powers and functions but without
government funding, except that existing assets of the dissolved
corporation may be donated to the new corporation; and
c.
Consolidation refers to the process by which a government- owned or
controlled corporation loses its legal personality and its objectives,
powers and functions, assets, liabilities as well as necessary personal
are integrated into another government-owned or controlled
corporations.
Sec. 2. Regularization. — The following
government-owned or controlled corporations are hereby regularized:
a.
Metals Industry Research and Development Center;
b. Fiber
Industry Development Authority;
c. National
Post-Harvest Institute for Research and Extension; and
d. Philippine
Coconut Authority.
Sec. 3. Incomes of Regularized Corporations. —
Except for donations, grants, legacies, devises and similar
acquisitions, incomes of government-owned or controlled corporations
which are regularized, regardless of the manner of acquisition and of
whatever form, whether as profits, fees, charges, penalties or
otherwise, shall form part of the General Fund. After regulations, the
operations of the regularized corporations shall be funded under the
annual General Appropriations Act.
Sec. 4. Consolidation. — The Music Promotion
Foundation of the Philippines is hereby consolidated with the Cultural
Center of the Philippines.
Sec. 5. Conversion. — The National Social Action
Council is hereby made subject to conversion.
Sec. 6. Details of Dispositive Action. — The
details of the dispositive actions of regularization, consolidation and
conversion as provided in the preceding sections are prescribed in
Annexes “A” to “F” attached hereto. These annexes shall form integral
parts of this Executive Order.
Sec. 7. Notice or Consent Requirement. — If any
reorganizational change authorized in this Executive Order or in any of
the Annexes attached hereto is of such substance or materiality as to
prejudice third persons with rights recognized by law or contract such
that notice to or consent of creditors is required to be made or
obtained pursuant to any agreement entered into with any of such
creditors, such notice or consent requirement shall be complied with
prior to the implementation of such reorganizational change.
Sec. 8. Separability. — If for any reason any
section or provision of this Executive Order or of its Annexes is
declared unconstitutional or invalid, the remainder of this Executive
Order and its Annexes shall not be affected as long as such remaining
sections or provisions can still subsist and be given effect in their
entirety.
Sec. 9. Repeal. — The following laws, presidential
decrees and executive issuances are hereby repealed or modified
accordingly;
a.
Republic Act Nos. 4724 and 6428, Executive Order No. 602, series of
1980, and Presidential Decree No. 1765, series of 1981, concerning the
Metals Industry Research and Development Center;
b. Sec. 8
of Executive Order No. 709, series of 1981, concerning the Fiber
Industry Development Authority;
c.
Presidential Decree No. 1380, series of 1978, and Letter of
Implementation No. 123, series of 1980, and Letter of Instructions No.
1142, series of 1982, concerning the National Post-Harvest Institute
for Research and Extension;
d.
Presidential Decree No. 232, series of 1973, and Presidential Decree
No. 961, series of 1976, and Article II of Presidential Decree No.
1468, series of 1978, concerning the Philippine Coconut Authority;
e. Executive
Order No. 182-A, series of 1969, and Presidential Decree No. 294,
series of 1974, concerning the National Social Action Council;
and
f. Republic
Act No. 1370, except Sec. 3 thereof, concerning the Music Promotion
Foundation.
All other laws, rules and regulations and other issuances or parts
thereof contrary to or inconsistent herewith are likewise hereby
repealed or modified accordingly.
Sec. 10. Effectivity. — This Executive Order shall
take effect immediately after fifteen (15) days following its
publication in a national newspaper or general circulation or in the
Official Gazette.
DONE in the City of Manila,
this 6th day of December in the year of Our Lord, ninety hundred and
ninety-one.
ANNEX
“A”
METALS INDUSTRY RESEARCH AND
DEVELOPMENT CENTER
The Metals Research and Development Center was created as a
government-owned corporation under Republic Act No. 4724, as amended by
Republic Act No. 6428, to provide the public and private sectors with
professional management and technical expertise on such vital
activities as training of engineers and technicians, information
exchange, trade accreditation service, quality control and testing of
metal products, research and business economics advisory program.
Pursuant to the Government’s Corporate Rationalization Program, the
following are hereby directed:
Section 1. Regularization. — The Metals Industry
Research and Development Center, hereinafter referred to as the Center,
is hereby transformed into a regular government agency which shall be
attached to the Department of Science and Technology pursuant to
Administrative Order No. 59, series of 1988. The Center shall continue
to perform the powers and functions of the Metals Industry Research and
Development Center, except those which are corporate in nature.
Sec. 2. Objectives. — The Center shall provide the
public and private sectors with professional management and technical
expertise on the following:
a.
Training of engineers and technicians;
b. Information exchange;
c. Trade accreditation services;
d. Quality control and testing of metal products; and
e. Research and business economics advisory
services.
Sec. 3. Governing Council; Powers and Functions. —
The responsibility of accomplishing the objectives and the exercise of
the authority granted in the preceding section shall be vested in the
Governing Council. The said Council shall have the following powers and
functions:
a.
Formulate such policies, plans and programs and promulgate such
procedures, rules and regulations as may be necessary for the effective
operations of the Center;
b. Receive,
administer, dispose of and disburse the funds of the Center pursuant to
pertinent laws, rules and regulations;
c. Receive in
trust legacies, gifts and donations of whatever kind given to the
Center;
d. Appoint the
technical and administrative personnel of the Center and fix their
compensation, terms of office, and other conditions of employment;
e. Create
donor positions which shall accommodate exceptionally qualified
remetallurgy from both government and private sectors and visiting
research search engineers or scientist in scientists;
f. Enter into
contracts for and on behalf of the Center; and
g. Exercise
such other powers and functions as may be necessary to carry out the
provisions of this Executive Order and Annex “A” thereof.
Sec. 4. Composition of the Governing Council. —
The Governing Council shall be composed of the following:
a.
The Secretary of Science and Technology or his duly authorized
representative, as ex-officio chairman; and
b. A
representative each — in ex-officio capacity — from the Departments of
Trade and Industry, Agriculture, and Environment and Natural Resources;
National Economic and Development Authority; Board of Investments; and
the Center, as members; and
c. A
representative each from the metals, engineering, and allied industries
— to be appointed by the Secretary of Science and Technology — as
members.
Sec. 5. Executive Director. — The Center shall
have an Executive Director who shall be appointed by the Governing
Council upon the recommendation of the Chairman. The Executive Director
shall have the following duties and responsibilities:
a.
Plan, program, direct, supervise and coordinate all the activities all
of the Center;
b. Assist the
Council in the determination, formulation and implementation of the
policies, programs, procedures, rules and regulations as may be
necessary for the effective operations of the Center;
c. Promote and
maintain close coordination between the Government and the private
sector in the development and expansion of the metals and allied
industries;
d. Appoint and
effect other personnel actions of subordinate officers and employees of
the Center in accordance with the instructions of the Governing Council
and Civil Service laws, rules and regulations;
e. Discipline
for cause all subordinate officers and employees of the Center in
accordance with Civil Service laws, rules and regulations, subject to
the ratification by the Governing Council;
f. Subject to
such conditions as the Governing Council may prescribe, sign personally
or through his duly authorized representative checks, vouchers or other
documents involving the acquisition or disposition of property or
funds;
g. Negotiate
and, subject to the approval of the Governing Council, execute all
forms of contracts in behalf of the said Council and enter into all
necessary obligations required to carry out efficiently and effectively
the provisions of this Executive Order and Annex “A” thereof; and
h. Perform
such other related duties and responsibilities as may be assigned to
him by the Governing Council for the efficient and effective
implementation of this Executive Order and Annex “A” thereof.
Sec. 6. MIRDC Testing Foundation of the
Philippines, Inc. — The Metals Industry Research and Development Center
(MIRDC) Testing Foundation of the Philippines, Inc., created and
registered pursuant to Presidential Decree No. 1765, series of 1981,
with the Securities and Exchange Commission (SEC), shall be abolished
expeditiously in accordance with the SEC’s rules and regulations. Its
powers and functions shall forthwith be vested in the Center. Upon the
abolition of the Foundation, the disposition of its appropriation,
funds, records, equipment, facilities, choses in action, rights and
other assets, and the payment of its liabilities shall be determined
pursuant to Sec. 9 and the status of its personnel shall be in
accordance with Sec. 7.
Sec. 7. Personnel and Organizational Policies. —
Upon the regularization of the Metals Industry Research and Development
Center, its officers and employees shall, in a holdover capacity,
continue to perform their respective duties and responsibilities and
receive their corresponding salaries and benefits unless in the
meantime they are separated or retired from the service pursuant to
existing laws, rules and regulations.
The Secretary of Science and Technology, upon the recommendation of the
Chairman of the Governing Council, shall submit the necessary
organizational structure for the Center to the Secretary of Budget and
Management within one hundred and twenty (120) days from the approval
of this Executive Order: Provided, That incumbents of the abolished
MIRDC shall have priority for appointment to the same or comparable
positions in the Center: Provided, further, That the same incumbents
shall have the option to be considered separated or to retire from the
service whenever such option is available to them under existing laws,
rules and regulations. Those incumbents of the abolished MIRDC whose
positions are not among those positions of the Center or who are not
reappointed shall be deemed separated from the service. Those who are
separated or retire from the service shall receive the benefits they
may be entitled to under existing laws, rules and
regulations.
Sec. 8. Periodic Performance Evaluation. — The
Secretary of Science and Technology shall formulate and enforce a
system of appraising and evaluating periodically and objectively the
performance of the Center.
Sec. 9. Transfer of Records and Others. — The
records, equipment, facilities, chose in action, rights, other assets
and personnel of the MIRDC are hereby transferred to the Center for the
proper accomplishment of the objectives of this Executive Order and
Annex “A” thereof. The appropriations and funds of the abolished MIRDC,
if any, shall revert to the General Fund after reserving the amount
necessary to pay the benefits of those separated or retired from the
service under Sec. 7 hereof: Provided, That if the appropriations
and funds of the abolished MIRDC are not sufficient to pay such
benefits, the deficiency shall be satisfied from the savings of the
Department of Science and Technology. Its remaining assets, if any,
shall be allocated to the appropriate units of the Government as the
Office of the President shall determine or shall otherwise be disposed
of in accordance with the Government Auditing Code of the Philippines.
Its liabilities, if any, shall be paid in accordance with the
provisions of the Civil Code of the Philippines on concurrence and
preference of credits.
Sec. 10. Implementing Authority. — The Secretary
of Science and Technology shall promulgate such rules and regulations
and other issuances as may be necessary to ensure the efficient and
effective implementation of this Executive Order and Annex “A” thereof.
ANNEX
“B”
FIBER INDUSTRY DEVELOPMENT
AUTHORITY
The Fiber Industry Development Authority was created as a government-
owned corporation under Sec. 8 of Executive Order No. 709, series of
1981, to promote the growth of the fiber industry.
Pursuant to the Government’s Corporate Rationalization Program, the
following are hereby directed:
Section 1. Declaration of Policy. — It is the
declared policy of the State to promote and accelerate the growth and
development of the fiber industry in order to improve the living
conditions of the farmers engaged in the industry, improve
productivity, expand markets bases and stabilize the prices of fiber
and fiber-based products.
Sec. 2. Regularization. — The Fiber Industry
Development Authority (FIDA) is hereby transformed into a regular
government agency to be known as the Fiber Development Center,
hereinafter referred to as the Center, which shall be attached to the
Department of Agriculture pursuant to Administrative Order No. 59,
series of 1988. The Center shall continue to perform the powers and
functions of the FIDA, except those which are corporate in
nature.
Sec. 3. Purposes and Objectives. — The Center
shall have the following purposes and objectives:
a.
Promote higher productivity and improve and diversify the use of all
indigenous fibers in the country;
b. Improve the
economic and living conditions of those engaged in the fiber industry;
c. Encourage
the development and expansion of the export trade for fiber and its
manufactured products;
d. Encourage
and promote the processing of locally-produced fibers; and
e. Provide
incentives and assistance to those engaged in the industry either
directly or in coordination with other government or private entity.
Sec. 4. Administrator. — The responsibility of
accomplishing the purposes and objectives of the Center as well as the
exercise of its powers and functions shall be vested in the
Administrator. The Administrator shall be appointed by the President of
the Philippines upon the recommendation of the Secretary of
Agriculture. He shall possess recognized competence and experience in
the production, processing and marketing aspects of natural fibers.
Sec. 5. Personnel and Organizational Policies. —
Upon the regularization of the Fiber Industry Development Authority,
its officers and employees shall, in a holdover capacity, continue to
perform their respective duties and responsibilities and receive their
corresponding salaries and benefits unless in the meantime they are
separated or retired from the service pursuant to existing laws, rules
and regulations.
The Secretary of Agriculture, upon the recommendation of the
Administration, shall submit the necessary organizational structure for
the Center to the Secretary of Budget and Management within one hundred
and twenty (120) days from the approval of this Executive Order:
Provided, That incumbents of the FIDA shall have priority for
appointment to the same or comparable positions in the Center:
Provided, further, That the same incumbents shall have the option to be
considered separated or to retire from the service whenever such option
is available to them under existing laws, rules and regulations. Those
incumbents of the FIDA whose positions are not among those positions of
the Center or who are not reappointed shall be deemed separated from
the service. Those who are separated or retired from the service shall
receive the benefits they may be entitled to under existing laws, rules
and regulations.
Sec. 6. Periodic Performance Evaluation. — The
Secretary of Agriculture shall formulate and enforce a system of
appraising and evaluating periodically and objectively the performance
of the Center.
Sec. 7. Transfer of Records and Others. — The
records, equipment, facilities, choses in action, rights, other assets
and personnel of the FIDA are hereby transferred to the Center for the
proper accomplishment of the objectives of this Executive Order and
Annex “B” thereof. The appropriations and funds of the FIDA, if any,
shall revert to the General Fund after reserving the amount necessary
to pay the benefits of those separated or retired from the service
under Sec. 5: Provided, That if the appropriations and funds of the
FIDA are not sufficient to pay such benefits, the deficiency shall be
satisfied from the savings of the Department of Agriculture. Its
remaining assets, if any, shall be allocated to the appropriate units
of the Government as the Office of the President shall determine or
shall otherwise be disposed of in accordance with the Government
Auditing Code of the Philippines and other pertinent laws, rules and
regulations. Its liabilities, if any, shall be paid in accordance with
the provisions of the Civil Code of the Philippines on the concurrence
and preference of credits.
Sec. 8. Implementing Authority. — The Secretary of
Agriculture shall promulgate such rules and regulations and other
issuances as may be necessary to ensure the efficient and effective
implementation of this Executive Order and Annex “B” thereof.
ANNEX
“C”
NATIONAL POST-HARVEST INSTITUTE
FOR RESEARCH AND EXTENSION
The National Post-Harvest Institute for Research and Extension was
created as a government-owned corporation under Presidential Decree No.
1380, series of 1978, and further reorganized under Letter of
Implementation No. 123, series of 1980, and Letter of Instructions No.
1142, series of 1981. It was intended to develop the grains industry’s
post-harvest system, encompassing harvesting, threshing, drying,
storage, milling, transportation and other related activities. However,
for purposes of economy and a more effective organizational set-up, it
would be better if the Institute shall be transferred into a bureau
under the Department of Agriculture.
Pursuant to the Government’s Corporate Rationalization Program, the
following are hereby directed:
Section 1. Regularization. — The National
Post-Harvest Institute for Research and Extension, hereinafter referred
to as the Institute, is hereby transformed into a new bureau in the
Department of Agriculture to be known as the Bureau of Post-Harvest
Research and Extension, hereinafter referred to as the Bureau. The
Bureau shall continue to perform the powers and functions of the
Institute, except those which are corporate in nature.
Sec. 2. Hiring of Experts. — The Bureau may engage
the services of experts from the public or private sector pursuant to
existing laws, rules and regulations.
Sec. 3. Personnel and Organizational Policies. —
Upon the regularization of the Institute, its officers and employees
shall, in a holdover capacity, continue to perform their respective
duties and responsibilities and receive their corresponding salaries
and benefits unless in the meantime they are separated or retired from
the service pursuant to existing laws, rules and regulations.
The Secretary of Agriculture shall submit the necessary organizational
structure for the Bureau to the Department of Budget and Management
within one hundred and twenty (120) days from the approval of this
Executive Order: Provided, That incumbents of the Institute shall have
priority for appointment to the same or comparable positions in the
Bureau: Provided, further, That the same incumbents shall have the
option to be considered separated or to retire from the service
whenever such option is available to them under existing laws, rules
and regulations. Those incumbents of the Institute whose positions are
not among those positions of the Bureau or who are not reappointed
shall be deemed separated from the service. Those who are separated or
retired from the service shall receive the benefits they may be
entitled to under existing laws, rules and regulations.
Sec. 4. Periodic Performance Evaluation. — The
Secretary of Agriculture shall formulate and enforce a system of
appraising and evaluating periodically and objectively the performance
of the Bureau.
Sec. 5. Transfer of Records and Others. — The
records, equipment, facilities, choses in action, rights, other assets
and personnel of the Institute are hereby transferred to the Bureau for
the proper accomplishment of the objectives of this Executive Order and
Annex “C” thereof. The appropriations and funds of said Institute, if
any, shall revert to the General Fund after reserving the amount
necessary to pay the benefits of those separated or retired from public
service under Sec. 3 hereof: Provided, That if the appropriations
and funds of the Institute are not sufficient to pay such benefits, the
deficiency shall be satisfied from the savings of the Department of
Agriculture. Its remaining assets, if any, shall be allocated to the
appropriate units of the Government as the Office of the President
shall determine or shall otherwise be disposed of in accordance with
the Government Auditing Code of the Philippines and other pertinent
laws, rules and regulations. Its liabilities, if any, shall be paid in
accordance with the provisions of the Civil Code of the Philippines on
the concurrence and preference of credits.
Sec. 6. Implementing Authority. — The Secretary of
Agriculture shall promulgate such rules, regulations and other
issuances as may be necessary to ensure the efficient and effective
implementation of this Executive Order and Annex “C” thereof.
ANNEX
“D”
PHILIPPINE COCONUT AUTHORITY
Recent studies have shown that a bureau can attain, at less expense to
the Government and with relatively the same degree of efficiency and
effectiveness, the objectives for which the government-owned Philippine
Coconut Authority has been created.
Pursuant to the Government’s Corporate Rationalization Program, the
following are hereby directed:
Section 1. Regularization. — The Philippine Coconut
Authority (PCA) is hereby transformed into a new bureau in the
Department of Agriculture to be known as the Bureau of Coconut
Development and Inspection Service, hereinafter referred to as the
Bureau. The Bureau shall continue to perform the powers and functions
of the PCA, except those which are corporate in nature.
Sec. 2. Hiring of Experts. — The Bureau may engage
the services of experts from the public or private sector, pursuant to
existing laws, rules and regulations.
Sec. 3. Personnel and Organizational Policies. —
Upon the regularization of the Philippine Coconut Authority, its
officers and employees shall, in a holdover capacity, continue to
perform their respective duties and responsibilities and receive their
responding salaries and benefits unless in the meantime they are
separated or retired from the service pursuant to existing laws, rules
and regulations.
The Secretary of Agriculture shall submit the necessary organizational
structure for the Bureau to the Department of Budget and Management
within one hundred and twenty (120) days from the approval of this
Executive Order: Provided, That incumbents of the PCA shall have
priority for appointment to the same or comparable positions in the
Bureau: Provided, further, That the same incumbents shall have the
option to be considered separated or to retire from the service
whenever such option is available to them under existing laws, rules
and regulations. Those incumbents of the PCA whose positions are not
among the positions of the Bureau or who are not reappointed shall be
deemed separated from the service. Those who are separated or retired
from the service shall receive the benefits they may be entitled to
under existing laws, rules and regulations.
Sec. 4. Periodic Performance Evaluation. — The
Secretary of Agriculture shall formulate and enforce a system of
appraising and evaluating periodically and objectively the performance
of the Bureau.
Sec. 5. Transfer of Records and Others. — The
records, equipment, facilities, choses in action, rights, other assets
and personnel of the PCA are hereby transferred to the Bureau for the
accomplishment of the objectives of this Executive Order and Annex “D”
thereof. The appropriations and funds of the PCA, if any, shall revert
to the General Fund after reserving the amount necessary to pay the
benefits of those separated or retired from the service under Sec. 3
hereof: Provided, That if the appropriations and funds of the PCA are
not sufficient to pay such benefits, the deficiency shall be satisfied
from the savings of the Department of Agriculture. Its remaining
assets, if any, shall be allocated to the appropriate units of the
Government as the Office of the President shall determine or shall
otherwise be disposed of in accordance with the Government Auditing
Code of the Philippines and other pertinent laws, rules and
regulations. Its liabilities, if any, shall be paid in accordance with
the provisions of the Civil Code of the Philippines on the concurrence
and preference of Credits.
Sec. 6. Implementing Authority. — The Secretary of
Agriculture shall promulgate such rules, regulations and other
issuances as may be necessary to ensure the efficient and effective
implementation of this Executive Order and Annex “D” thereof.
ANNEX
“E”
MUSIC
PROMOTION FOUNDATION
The Music Promotion Foundation was created as a government-owned
corporation under Republic Act No. 1370. Considering the nature of its
purposes and functions, its having a corporate existence separate from
the Cultural Center of the Philippines would result in the unnecessary
duplication of government activities.
Pursuant to the Government’s Corporate Rationalization Program, the
following are hereby directed:
Section 1. Abolition. — The Music Promotion
Foundation is hereby abolished. Its powers and functions under Sec. 3 of Republic Act No. 1370 are hereby transferred to the Cultural
Center for the Philippines.
Sec. 2. Transfer of Records and Others. — The
records, equipment, facilities, choses in action, rights, other assets
and personnel of the Music Promotion Foundation are hereby transferred
to the Cultural Center of the Philippines for the proper accomplishment
of the objectives of this Executive Order and Annex “E” thereof. The
appropriations and funds of said Foundation, if any, shall revert to
the General Fund. Its remaining assets, if any, shall be allocated to
the appropriate units of the Government as the Office of the President
shall determine or shall otherwise be disposed of in accordance with
the Government Auditing Code of the Philippines and other pertinent
laws, rules and regulations. Its liabilities, if any, shall be paid in
accordance with the provisions of the Civil Code of the Philippines on
the concurrence and preference of credits.
Sec. 3. Implementing Authority. — The President of
the Cultural Center of the Philippines shall promulgate such rules,
regulations and other issuances as may be necessary for the efficient
and effective implementation of this Executive Order and Annex “E”
thereof.
ANNEX
“F”
NATIONAL SOCIAL ACTION COUNCIL
The National Social Action Council was created under Executive Order
No. 182-A, series of 1969, and vested with corporate powers and under
Presidential Decree No. 294, series of 1973. It is composed of members
from the government and private sectors and the ecumenical faiths.
The National Social Action Council has been intended to be an
instrument for making public consultations with the Government in the
formulation of the latter’s development plans and policies based on the
premise that in pursuit of their respective developmental goals, the
Government, the ecumenical faith and the private sector should
collaborate with one another while maintaining and respecting their
respective roles and responsibilities.
Recent studies have, however, shown that the National Social Action
Council can be more effective if it exercises its powers and performs
is functions as a purely private, non-stock and non-profit corporation
duly registered with the Securities and Exchange Commission.
Pursuant to the Government’s Corporate Rationalization Program, the
following are hereby directed:
Section 1. Abolition. — The National Social Action
Council is hereby abolished.
Sec. 2. Incorporation. — The members of the
National Social Action Council, by exclusive authority herein granted,
shall, within thirty (30) days from the effectivity of this Executive
Order, perform all acts necessary for the creation and registration of
a private, non-stock and non-profit corporation with the Securities and
Exchange Commission.
Sec. 3. Personnel. — Upon the abolition of the
National Social Action Council, its officers and employees shall
continue to perform their duties and responsibilities in a holdover
capacity and shall receive their corresponding salaries and other
benefits unless in the meantime they are separated or retired from the
service pursuant to existing laws, rules and regulations. Upon the
registration of the new corporation, the incumbents of the dissolved
Council shall be deemed separated or retired from the service and shall
be entitled to such termination benefits that they may be entitled to
under pertinent laws, rules and regulations: Provided, That they shall
have priority for appointment to the same or comparable positions in
the said private corporation.
Sec. 4. Disposition of Assets. — The assets of the
National Social Action Council, net of liabilities, shall, upon the
registration of the new private corporation, be transferred to the
latter without consideration, subject to the pertinent auditing and
accounting laws, rules and regulations, and shall thereby constitute as
its capitalization. However, should its liabilities exceed its assets,
the same shall be paid in accordance with the provisions of the Civil
Code of the Philippines on the concurrence and preference of credits.
Sec. 5. Implementing Rules and Regulations. — The
Secretary of Budget and Management shall prescribe the rules and
regulations for the efficient and effective implementation of this
Executive Order and Annex “F” thereof.
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