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LETTER OF INSTRUCTIONS
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LETTER OF INSTRUCTIONS NO. 863 -
DIRECTING THE REVIEW OF CY 1979 BUDGETARY PROGRAM AND ESTABLISHING
GENERAL PRIORITIES IN THE PREPARATION OF THE CY 1980 APPROPRIATIONS BILL |
The Minister of the Budget
WHEREAS, it is essential that government fiscal priorities be directed towards anticipating possible adverse consequences of the international energy crisis;
WHEREAS, unnecessary projects and activities must be eliminated so as to ensure that those activities of the highest priority can be fully supported;
WHEREAS, the CY 1980 budget must be formulated to support priorities in food production and other basic needs;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, do hereby Order and Instruct:
1.
The Minister of the Budget shall review and submit a report on
compliance with the Cabinet agreement for all agencies of government,
including state universities and colleges, to generate an additional 5%
savings on total budget program for current operating expenditures. It
is reiterated that no agency shall be exempt from these reserves.
2. The
implementation of newly created organizational units shall be
suspended, consistent with the provisions of LOI No. 728. No funds
shall be released for such new organizational units, nor shall savings
of existing agencies be utilized to start any new organizational unit
without specific approval of the Committee created under LOI No.
728.
3. All
Ministries and Heads of Office shall study the workload of their
employees and shall reemploy them as may be necessary to accomplish
existing and anticipated workload without any additional personnel.
4. The
operating budgets of government corporations receiving operating
subsidies, particularly the National Grains Authority, National
Irrigation Administration, Fertilizer Industry Authority, and the
Philippine Coconut Authority, shall be reviewed with the purpose of
minimizing such operating subsidies.
5. The CY 1980
budget shall be prepared under the following guidelines:
a.
No project or agency shall be entitled to an automatic percentage
increase. Each activity shall be examined as to its place in the
overall priority structure. Funding allocations shall be made
accordingly.
b. Relatively
less essential projects shall be deferred, as may be necessary to
generate sufficient budgetary support to food production programs,
energy exploration, public transportation, and the basic necessities.
c. New
emphasis shall be given in food production to cassava, legumes, and
protein sources such as chattel and other food animals, mongo,
seguidillas, and soya beans. Alcogas development, irrigation,
farm-to-market roads, and energy exploration shall be given full
support in the preparation of the budget program.
d. The
creation of new positions shall be authorized only in extremely
meritorious cases, particularly technical staff in regional or field
offices. Agencies shall not be allowed any increase in the amount of
lump sums for contractual, casual, and non-itemized positions.
e. The budgets
of coordinative bodies shall be limited to the minimum necessary for
purely coordinative, as against implementing, functions. Requirements
for implementing activities shall be included in the budgets of the
line agencies concerned.
Done in the City of Manila, this 23rd day of May, nineteen hundred and seventy-nine.
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Since 19.07.98.