Presidential Decree No. 759
PRESIDENTIAL DECREES
MALACAÑANG
M a n i l a
PRESIDENTIAL DECREE No. 759 July 31, 1975
APPROPRIATING FUNDS FOR PUBLIC WORKS, SYNCHRONIZING THE SAME WITH PREVIOUS PUBLIC WORKS APPROPRIATIONS
WHEREAS, Presidential Decree Nos. 3 and 475 provide appropriations for rehabilitation and reconstruction of damaged infrastructure facilities caused by calamities in 1972 and for additional development projects designed to further accelerate socio-economic development;
WHEREAS, there is a need to increase the appropriations of some on-going and previously authorized projects to ensure their completion in view of increased construction costs brought about by circumstances beyond the control of the government and of changes in technical designs and requirements;
WHEREAS, there is also a need to provide appropriations for new projects in support of priority programs of the government including the food production and distribution program;
WHEREAS, it is necessary to provided adequate appropriations to cover the local counterpart funds of on-going and proposed foreign-financed projects in view of the country increasing capability to absorb foreign assistance as demonstrated by the various loans and aids extended to Government projects;
WHEREAS, there is a need to appropriate funds for these projects in adequate amounts to cover their total costs up to completion to assure continuity of their implementations;
WHEREAS, in order to make more effective the National Development Program, there is a need to provide sustained financial support to the Infrastructure Program;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution and for sustained development of the country through complementary infrastructure facilities, do hereby decree and order as follows:
Section 1. Capital Development Projects. The following sums, or so much thereof as may be necessary, are hereby appropriated, out of the general funds in the National Treasury not otherwise appropriated, from the proceeds of bond issues and/or loans from local or foreign financial institutions, to implement projects pertaining to the program of capital improvements of the Administration, subject to the provision hereinafter set forth, for the purpose mentioned hereunder:
TITLE ATRANSPORTATION AND COMMUNICATIONS
1. For the construction, improvement, rehabilitation; reconstruction, completion, including project preparations, and the purchase of necessary construction materials and supplies, of the projects listed/summarized hereunder:
(a) Highways
| 1. | Pan Philippine Highway | P465,000,000 |
| 2. | Manila North Expressway Extension | 125,000,000 |
| 3. | Manila East Road | 75,000,000 |
| 4. | San Fernando-Gapan Road, Pampanga and Nueva Ecija | 70,000,000 |
| 5. | Sto. Tomas-Batangas Road, Batangas | 15,000,000 |
| 6. | Tarlac-Lingayen Road, Tarlac and Pangasinan | 30,000,000 |
| 7. | Road Right-of-Way, Luzon Road Projects | 91,000,000 |
| 8. | Cotabato-Digos Road, Cotabato | 25,000,000 |
| 9. | Manila South Expressway Extension | 20,000,000 |
| 10. | Tarlac-Santa Rosa Road including Feeder Roads, Tarlac and Nueva Ecija | 10,000,000 |
| 11. | Iligan-Cagayan de Oro-Butuan City Road | 200,000,000 |
| 12. | Cotabato City-General Santos City Road | 30,000,000 |
| 13. | Cubao Interchange, Quezon City | 20,000,000 |
| 14. | Davao-Calinan-Bukidnon Road | 90,000,000 |
| 15. | Jct. Carmen-Dapecol-Panabo Pier Road, Davao del Norte | 10,000,000 |
| 16. | Marikina-Infanta Road, Rizal and Quezon | 100,000,000 |
| 17. | Lumban-Caliraya-Cavinti Road, Laguna | 15,000,000 |
| 18. | Jct. Layac-Mariveles Road, Bataan | 55,000,000 |
| 19. | Lamut-Banawe Road, Ifugao | 30,000,000 |
| 20. | Agoo Tubao-Baguio Road, La Union and Benguet | 40,000,000 |
| 21. | Bacoor-Naic Ternate-Nasugbu Road, Cavite and Batangas | 60,000,000 |
| 22. | Tagaytay-Batangas Road, Tagaytay City and Batangas | 65,000,000 |
| 23. | Zambales-Pangasinan Road | 60,000,000 |
| 24. | Zamboanga Integrated Development Road Projects, Zamboanga del Sur | 80,000,000 |
| 25. | Mindoro Integrated Development Road Projects, Occidental and Oriental Mindoro | 150,000,000 |
| 26. | Legaspi-Tiwi Road, Albay | P20,000,000 |
| 27. | Tabaco-Ligao Road, Albay | 15,000,000 |
| 28. | Silay-Bacolod-Bago Road, Negros Occidental | 85,000,000 |
| 29. | Bago-Kabankalan Road, Negros Occidental | 45,000,000 |
| 30. | Jaro-Janiuay Road, Iloilo | 30,000,000 |
| 31. | Janiuay-Calinog Road, Iloilo | 30,000,000 |
| 32. | Calinog-Passi Road, Iloilo | 10,000,000 |
| 33. | Calinog-Dao Road, Iloilo | 30,000,000 |
| 34. | Jaro-Zarrago Road, Iloilo | 10,000,000 |
| 35. | Zarraga-Passi Road, Iloilo | 60,000,000 |
| 36. | Carvasona-Duenal Road, Iloilo | 10,000,000 |
| 37. | Zarraga-Barotac Nuevo Road, Cebu | 35,000,000 |
| 38. | Cebu City-Carmen Road, Cebu | 25,000,000 |
| 39. | Naga-Lutopan-Toledo Road, Cebu | 50,000,000 |
| 40. | Puerto-Malaybalay Road, Bukidnon | 60,000,000 |
| 41. | Malaybalay-Kibawe Road, Bukidnon | 70,000,000 |
| 42. | Silay-Fabrica Road, Negros Occidental | 75,000,000 |
| 43. | Fabrica-San Carlos Road, Negros Occidental | 50,000,000 |
| 44. | San Carlos-Villahermoso Road, Negros Oriental | 30,000,000 |
| 45. | Villahermoso-Sibuco Road, Negros Oriental | 55,000,000 |
| 46. | Dao-Roxas City Road, Cebu | 25,000,000 |
| 47. | Roxas-Pontevedra-Bailan Road, Capiz | 15,000,000 |
| 48. | Lanot-Bailan Road, Capiz | 15,000,000 |
| 49. | Bailan-Estancia Road, Capiz | 35,000,000 |
| 50. | Limbog-Kalibo Road, Aklan | 30,000,000 |
| 51. | Barotac Neuvo-Barotac Viejo Road, Iloilo | 20,000,000 |
| 52. | Dawatan-Banate Road, Iloilo | 10,000,000 |
| 53. | Carmen-San Remigion Road, Antique | 45,000,000 |
| 54. | Anonang-Daanbantayan, Road, Cebu | 15,000,000 |
| 55. | Cebu South Road, Cebu | 65,000,000 |
| 56. | Baguio-Lubuagan Road, Benguet and Kalinga, Apayao | 180,000,000 |
| 57. | Iloilo-Antique Road | 60,000,000 |
| 58. | Dumaguete North Road, Negros Oriental | 120,000,000 |
| 59. | Dumaguete South Road, Negros Oriental | P80,000,000 |
| 60. | Tagbilaran East Road, Bohol | 120,000,000 |
| 61. | Tagbilaran North Road, Bohol | 90,000,000 |
| 62. | Palo-Carigara-Ormoc Road, Leyte | 70,000,000 |
| 63. | Dugo-Gonzaga-San Vicente Road, Cagayan | 65,000,000 |
| 64. | Midsayap-Dulawan-Marbel Road, North Cotabato and Maguindanao | 70,000,000 |
| 65. | Dipolog-Oroquieta Road, Zamboanga del Norte and Misamis Occidental | 65,000,000 |
| 66. | Ilocos Sur-Ilocos Norte-Magapit Road, Ilocos Sur, Ilocos Norte and Cagayan | 150,000,000 |
| 67. | Ilagan-Palanan Road, Isabela | 70,000,000 |
| 68. | Solsona-Cabugao-Corner Rizal Road, Ilocos Norte, Kalinga, Apayao and Cagayan | 130,000,000 |
| 69. | Quirino Highway, Quezon and Camarines Sur | 100,000,000 |
| 70. | Metro Manila Ring Roads | 190,000,000 |
| 71. | Circumferential Roads, Metro Manila | 150,000,000 |
| 72. | Secondary and Feeder Roads in Bicol Region | 60,000,000 |
| 73. | Gen. Santos-Malisbeng Secondary Roads, South Cotabato | 60,000,000 |
| 74. | Basey-Balangiga Road, Western and Eastern Samar | 50,000,000 |
| 75. | Capas-Botolan Road, Tarlac and Zambales | 30,000,000 |
| 76. | Dipolog-Pagadian Road, Zamboanga del Norte and del Sur | 50,000,000 |
| 77. | Valencia-Pangantucan-Kalilangan Road, Bukidnon | 18,500,000 |
| 78. | Kalilangan-Kalingilan-Kibawe Road, Bukidnon | 20,800,000 |
| 79. | Talakag-Lantapan Road, Bukidnon | 20,000,000 |
| 80. | Brookes' Point Roads, Palawan | 30,000,000 |
| 81. | Gasan Buenavista-Torrijos Road, Marinduque | 11,000,000 |
| 82. | Ilagan-Kapatagan Road, Lanao del Norte | 39,000,000 |
| 83. | Lake Lanao Coastal Road, Lanao del Sur | P92,000,000 |
| 84. | Padada-Columbio Road, Davao Del Sur and Sultan Kudarat | 42,000,000 |
| 85. | Soquil-Maitum-Malisarong Road, South Cotabato | 65,000,000 |
| 86. | South Cotabato Roads | 34,000,000 |
| 87. | Radial and Circumferential Roads, Jolo, Sulu | 20,000,000 |
| 88. | National Roads in Manila | 100,000,000 |
| 89. | Improvement of National Roads and Bridges | |
| Luzon | 130,000,000 | |
| Mindanao | 95,000,000 | |
| Visayas | 70,000,000 | |
| 90. | Feeder and Secondary Roads and Bridges | 400,000,000 |
| 91. | Development Roads | 240,000,000 |
| 92. | Provincial, City and Municipal Roads | 300,000,000 |
| 93. | Roads Right-of-Way | 150,000,000 |
| 94. | Various National Roads | 311,700,000 |
| Total for Highways | P 7,150,000,000 | |
(b) Railways
| 1. | Rehabilitation of Batangas Line(Calamba-Batangas Port) | P 32,000,000 |
| 2. | Main Line South Project (Manila - Legaspi) | 302,000,000 |
| 3. | Other Railways Projects | 10,000,000 |
| Total for Railways | P 344,000,000 | |
(c) Airports and Air Navigation
| 1. | Manila International Airport | (P254,000,000) |
| 2. | Butuan Airport | 17,900,000 |
| 3. | Cagayan de Oro Airport | 12,520,000 |
| 4. | Cagayan de Sulu Airport | 17,000,000 |
| 5. | Cauayan Airport | 21,000,000 |
| 6. | Davao City Airport | 15,600,000 |
| 7. | Export Processing Zone Authority Airport | 40,000,000 |
| 8. | Fuga Airport | 20,300,000 |
| 9. | Iloilo Airport | P20,000,000 |
| 10. | Ipil Airport | 10,500,000 |
| 11. | Legaspi Airport | 11,500,000 |
| 12. | Mactan Airport | 13,800,000 |
| 13. | Manila General Aviation Airport | 22,000,000 |
| 14. | Zamboanga City | 15,000,000 |
| 15. | Various Airports | 405,953,000 |
| 16. | Air Navigation Facilities | 50,000,000 |
| Total for Airpots/Air Navigation | P 947,073,000 | |
(d) Port works and Maritime Navigation
| 1. | Port of Manila | P270,000,000 |
| 2. | Port of Tobaco, Albay | 24,365,000 |
| 3. | Port of Mariveles (Syncrolift), Bataan | 30,000,000 |
| 4. | Port of Batangas, Batangas | 14,500,000 |
| 5. | Port of Cagayan De Oro | 45,500,000 |
| 6. | Port of Cebu, Cebu City | 55,150,000 |
| 7. | Port of Cotabato (Polloc) Port of | 120,000,000 |
| 8. | Makar, Gen. Santos City | 44,700,000 |
| 9. | Port of Tacloban City, Leyte | 14,600,000 |
| 10. | Port of Calapan, Mindoro Oriental | 126,770,000 |
| 11. | Philippine (Navotas) Fisheries Port, Rizal | 32,000,000 |
| 12. | Port of Casambalanga, Cagayan | 25,000,000 |
| 13. | Port of Sta. Ana, Davao Oriental | 10,600,000 |
| 14. | Port of Iloilo, Iloilo City | 12,800,000 |
| 15. | Port of Bicobian, Isabela | 14,400,000 |
| 16. | Port of Tandulsog, Jolo, Sulu | 38,000,000 |
| 17. | Port of Pulupandan, Negros Occidental | 13,900,000 |
| 18. | Port of Ozamis, Misamis Occidental | 11,400,000 |
| 19. | Port of Dumaguete, Negros Oriental | 12,900,000 |
| 20. | Port of Puerto Princesa, Palawan | 13,900,000 |
| 21. | Port of Mariveles, Bataan | 10,000,000 |
| 22. | Port of Puluan, Dapitan City | 10,000,000 |
| 23. | Port of Basilan, Zamboanga del Sur | 11,700,000 |
| 24. | Various National Ports | 255,776,000 |
| Total for National Ports | P 1,217,961,000 | |
| 25. | Various Municipal Ports | 36,869,000 |
| 26. | Lighthouses and Other Maritime Navigation Facilities | P25,000,000 |
| Total for Portworks and Maritime Navigation | P 1,279,830,000 | |
(e) Telecommunications
| 1. | Telegraphic Transfer Services Improvement | P30,000,000 |
| 2. | Municipal Telephone System | 42,000,000 |
| 3. | Telecommunications Maintenance Centers (Regional And Provincial) | 48,500,000 |
| Total for Telecommunications | P 120,500,000 | |
| TOTAL FOR TRANSPORTATION AND COMMUNICATIONS | P 9,841,403,000 | |
TITLE BWATER RESOURCES DEVELOPMENT
1. For the construction, improvement, rehabilitation, reconstruction, completion, including project preparation and the purchase of necessary construction materials supplies of the projects listed/summarized hereunder:
(a) Irrigation
| 1. | Aurora-Peranda Basin Diversion Scheme | 228,000,000 |
| 2. | Tarlac Irrigation Systems Improvement Project | 139,000,000 |
| 3. | Angat-Magat Integrated Agricultural Development Project | 95,436,000 |
| 4. | Davao del Norte Irrigation Project (Saug-Compostela) | 21,900,000 |
| 5. | Agusan del Sur Irrigation Project (Bunawan-Salvacion) | 44,400,000 |
| 6. | Pulangui River (Valencia) Bukidnon | 55,060,000 |
| 7. | Upper Pampanga River Project, Watershed Development Pilot Project | 10,000,000 |
| 8. | Casecnan Trans-Basin Development Project | P20,000,000 |
| 9. | Lower Agno Irrigation Project, Pangasinan | 12,000,000 |
| 10. | Various National Irrigation Projects | 295,765,000 |
| 11. | Various Communal Irrigation Projects | 70,000,000 |
| 12. | Pump Irrigation Projects | 50,000,000 |
| 13. | Irrigation-Electrification Projects | 30,000,000 |
| 14. | Mindoro Integrated Development Irrigation Projects | 71,500,000 |
| 15. | Bicol River Basin Development Irrigation Projects | 78,000,000 |
| 16. | Zamboanga Integrated Development Irrigation Projects | 30,000,000 |
| 17. | Groundwater Development Project | 70,710,000 |
| Total for Irrigation | P 1,321,771,000 | |
(b) Water Supply
| 1. | Various Artesian Wells and Springs | P 90,959,000 |
| 2. | Various Waterworks | 78,729,000 |
| Total for Water Supply | P 169,688,000 | |
(c) Flood Control and Drainage
| 1. | Agno River Control, Pangasinan | P108,100,000 |
| 2. | Asingan-San Manuel Levee with Closure of the Chico River, Agno River Control, Pangasinan | 17,000,000 |
| 3. | Abelong and Angalacan River Control, Pangasinan | 14,500,000 |
| 4. | Magat River Control, Nueva Viscaya, Isabela and Cagayan | 800,000,000 |
| 5. | Pampanga River Control, Pampanga, Bulacan and Nueva Ecija | 118,580,000 |
| 6. | Gumain-Porac River Control, Pampanga | 15,642,000 |
| 7. | Pasig-Potrero River Control Pampanga | 41,500,000 |
| 8. | Labangan Floodway, Bulacan | 12,500,000 |
| 9. | San Fernando-Abacan River Control, Pampanga | P38,500,000 |
| 10. | Parua River Control, Tarlac | 39,000,000 |
| 11. | Rio Chico River Control, Pampanga and Nueva Ecija | 54,900,000 |
| 12. | Manila and Suburbs River Control, Manila and Suburbs | 2,273,500,000 |
| 13. | Mangahan Floodway, Rizal | 180,000,000 |
| 14. | Magasawang Tubig River Control, Oriental Mindoro | 12,000,000 |
| 15. | Bicol River Control, Camarines Sur | 45,950,000 |
| 16. | Ilog-Hilabangan, River Control, Negros Occidental | 64,344,000 |
| 17. | Panay River Control Capiz and Roxas City | 28,100,000 |
| 18. | Samar-Leyte Schistosomiasis Control Project | 10,000,000 |
| 19. | Maranding River Control, Lanao Del Norte | 10,200,000 |
| 20. | Agusan River Control, Butuan City and Agusan | 73,000,000 |
| 21. | Davao River Control, Davao City | 10,520,000 |
| 22. | Cotabato River Control, Cotabato | 194,350,000 |
| 23. | Pampanga, Bicol and Cotabato Dredging Project | 54,000,000 |
| 24. | Various River and Flood Control Projects | 236,856,000 |
| Total for River Control And Drainage | P4,453,042,000 | |
| TOTAL FOR WATER RESOURCES DEVELOPMENT | P5,944,501,000 | |
TITLE CBUILDINGS
1. For the construction, improvement, rehabilitation, reconstruction, including project preparation and the purchase of necessary construction materials and supplies, of the projects listed/summarized hereunder:
(a) National and Related Buildings
| 1. | Philippine College of Arts and Trades Building, Manila | P16,330,000 |
| 2. | Bureau of Posts Building, Manila and Provincial Branches | 11,400,000 |
| 3. | Department of Education and Culture Building | 52,000,000 |
| 4. | Philippine College of Commerce Building, Manila | 24,400,000 |
| 5. | Department of Public Works, Transportation and Communications Building, Quezon City | 50,000,000 |
| 6. | Bureau of Lands Building | 45,000,000 |
| 7. | Weather Bureau Building, Quezon City | 13,200,000 |
| 8. | Bureau of Soils Building, Quezon City | 25,000,000 |
| 9. | Bureau of Animal Industry Building, Quezon City | 10,000,000 |
| 10. | Philippine Fisheries Commission Building, Quezon City | 10,000,000 |
| 11. | University of the Philippines Diliman, Quezon City and Los Bas, Laguna | |
| (a) Academic Buildings, Diliman and Los Bas | 62,400,000 | |
| (b) Campus Utilities and Ground, Diliman and Los Bas | 31,085,000 | |
| (c) Ancillary Facilities, Diliman and Los Bas | 16,100,000 | |
| (d) Other Projects | 23,720,000 | |
| 12. | Department of Labor Buildings, Quezon City | 45,000,000 |
| 13. | Department of Social Welfare Buildi ng | 15,500,000 |
| 14. | National Economic and Development Authority Building | 30,000,000 |
| 15. | Department of Trade Building, Quezon City | 50,000,000 |
| 16. | Central Mindanao State University Building, Bukidnon | 20,915,000 |
| 17. | Mindanao State University Building Marawi City | 14,110,000 |
| 18. | Children's Educational Foundation Building, Villa, Cotabato | 12,025,000 |
| 19. | Local Government Regional Training Center Buildings | 15,000,000 |
| 20. | Department of Natural Resources Building, Quezon City | 45,000,000 |
| 21. | Various National Buildings | 269,474,000 |
| Total for National Buildings | P907,659,000 | |
(b) Hospitals and Sanitaria
| 1. | Jose Reyes Hospital, Manila | P11,400,000 |
| 2. | Dr. Jose Fabella Memorial Hospital, Manila | 11,600,000 |
| 3. | Philippine General Hospital, Manila | 10,650,000 |
| 4. | National Cancer Center Building, Manila | 14,000,000 |
| 5. | Various Hospitals and Related Buildings | 269,414,000 |
| Total for Hospitals and Sanitaria | P317,064,000 | |
| (c) Elementary School Buildings | P 600,000,000 | |
| (d) Secondary School Buildings | 100,000,000 | |
| (e) Other Public Buildings and Miscellaneous Public Works | 100,000,000 | |
| TOTAL FOR BUILDINGS | P 2,024,723,000 |
TITLE D
SHORE PROTECTION
1. For the construction, improvement, rehabilitation, reconstruction, completion, including project preparation and the purchase of necessary construction materials and supplies of the projects summarized hereunder:
| (a) Various Sea Walls | P23,665,000 | |
| Total for Section 1 | P 17,834,292,000 |
Sec. 2. Miscellaneous Projects. The following sums, or so much thereof as may be necessary are hereby appropriated, out of the general funds in the national treasury not otherwise appropriated, subject to the provisions hereinafter set forth, for the purpose mentioned hereunder:
(a) For the maintenance and/or repair of public buildings, shrines, and monuments, including ground and outside installations: Provided, That, so much as may be necessary but not to exceed P1,000,000 of this sum shall be made available for the Malacang buildings and Mansion and Guest Houses in Baguio: Provided, further, that P100,000 of this sum shall be made available for the maintenance of the Mabini Shrine in Tanauan, Batangas, including the salaries of the two caretakers of the Shrine who shall be the two nearest surviving kins of Apolinario Mabini | P30,000,000 | |
(b) For the maintenance and emergency repair of existing flood control and drainage structures | 10,000,000 | |
(c) For the prosecution of pre-investment studies, regional planning, project pre- feasibility and feasibility stidies, preliminary engineering and other activities necessary prior to actual project implementation, including administrative services and training directly identified with the studies and purchase of equipment, materials and supplies as may be authorized by the National Economic and Development Authority upon recommendation of department heads concerned | P100,000,000 | |
(d) For the prosecution of necessary detailed engineering of projects authorized in this and other public works measures, including detailed surveys, soils investigation, detailed designs, preparation of specifications and contract documents and other related activities that are necessary prior to actual construction, as may be authorized by the National Economic and Development Authority upon recommendation of department heads concerned | 50,000,000 | |
(e) For the purchase of necessary rights-of-way for the implementation of projects authorized in this and other public works measures as may be authorized by the National Economic and Development Authority upon recommendation of department heads concerned | 100,000,000 | |
(f) For water resources investigations, survey and studies, establishment of recording stream gaging stations of various rivers including publication, and preparation of water Atlas for the Philippines to be undertaken by the National Water Resources Council | 13,000,000 | |
(g) For the construction of ware housing facilities necessary for the implementation of programs of the National Grains Authority and other governmental agencies | 100,000,000 | |
(h) For the implementation of the Philippine Australian Development Assistance Program | P100,000,000 | |
| Total for Sec. 2 | P 503,000,000 |
SPECIAL PROVISIONS
Sec. 3. Program of Work Required Before Prosecuting Public Works. Before prosecuting any public works project, the district, city or project engineer concerned shall prepare a program of work for approval by the Department Head concerned for any project with an estimated cost of more than P500,000; by the Bureau Head concerned for any project with an estimated cost of more than P200,000 but not more than P500,000; by the Regional Director concerned for any project with an estimated cost of more than P50,000 but not more than P200,000; and by the District or City Engineer concern for any project with an estimated cost of P50,000 or less. In no case shall construction funds be remitted to field offices or construction work on a project be started before the program of work is approved.
No program of work for any project which requires special site investigation, survey, and construction plans shall be approved unless such plans are used as basis of the program: Provided, That for projects with an estimated cost of P1000,000 or more, the PERT/CPM technique shall be used and a time-scaled diagram of the activities shall as well a monthly cash flow shall be made part of the program of work. The PERT/CPM diagram shall be used by the agency concerned as a basis for, inter alia, monitoring the progress of work, making progress payments, and assessing claims for extra cost and time extension.
The program of work for any project shall not be amended except in case of unforseen contigencies or any change in field conditions or other similar cirumstances in which case an amendment may be allowed provided that such amendment will not result in a deficiency of the expected accomplishment in excess of fifteen per centum thereof and an extension of project duration beyond a reasonable period.
Sec. 4. Rental of Equipment. Rental of equipment shall not be deducted at the time of the release of funds for public works or even in anticipation of use of the equipment but shall be paid based on actual use when the appropriation so released is P25,000 or less. When the appropriation so released is above P25,000 and use of rented equipment is anticipated, deduction for rental shall be made at the time of the release of funds but such deduction shall not exceed ten per centum of the released appropriation: Provided, That, should the amount so deducted be in excess of actual rental, the balance of such deduction should be remitted immediately to the district or city engineering office concerned.
Sec. 5. Preference to Local Labor. In the execution and construction of any public works project, the labor requirements shall be filled by laborers from the sitio, barrio, poblacion or municipality where the project is being undertaken. However, in case of skilled labor, it may be procured elsewhere within the province where the project is located; and in the case of specialized skilled labor, it may be procured outside the province where the project is located.
Sec. 6. Labor Intensive Methods Whenever technically practicable and economically feasible, labor-intensive methods may be used in the prosecution of public works or portion thereof authorized in this Decree and other Public Works measures: Provided, That the structural integrity of the project is not impaired and its financial cost does not increase by more than ten (10%) per centum over that involved in alternative normal equipment-intensive construction technique as defined by the agency concerned: Provided, further, That the employment of workers for the labor-intensive operations will not unduly impair the labor requirements for agricultural production. Before any such project is prosecuted, the agency concerned shall prepare at least two alternative methods of construction based on the same plans and structural standards, one being labor-intensive, together with a comperative evaluation of projected financial and economic costs, employment generation, and technical quality; such comparison shall be the basis for selecting the most advantageous construction techniques to be employed in terms of the criterial in the preceding sentence.
The selected construction technique shall be made part and the basis of the program of work which shall be subject to approval by the officials concerned in accordance with the provisions of Sec. 3 of this Decree.
The purchase of hand tools and other work implements for undertaking public works projects by labor-intensive technique is authorized to be charged against the project funds not be exceed five (5%) per centum of the estimated project cost; Provided, That the agencies concerned shall undertake a continuing inventory of such hand tools and other work implements and make full economic use thereof in different projects.
The agencies concerned shall refer to the relevant studies of the Department of Public Works, Transportation and Communications and the International Labor Organization for the identification of project work items or activities suitable for labor-intensive methods of construction.
Sec. 7. Pre-Construction Activities. In the implementation of the work a general plan of operations shall be prepared to indicate the methods and procedures to be followed. This plan will cover and organize all relevant fields of study, delineation of responsibilities for undertaking each phase, specifying all analytical procedures and resources to be required for conducting the studies: Provided, That the appropriation shall include administrative services directly identified with the studies and purchase of equipment, materials, and supplies.
Sec. 8. Use of Private Consulting Services. For any public works project with an estimated cost of P200,000 or more, the Department Head concerned may hire the services of Filipino or associated Filipino and foreign consultants or consulting firms whenever available, for a fee not exceeding two and one half per centum (2 1/2%) of the estimated cost for the review of the project or plans and specifications devised by the bureau or office concerned, and/or for a fee not exceeding nine per centum (9%) of the estimated total project cost to undertake the detailed design, including plans and specifications, and/or construction, supervision of the project: Provided, That the participation of Filipino consultants and/or government implementing agency concerned in any point venture of foreign and local agencies shall be miximized.
Sec. 9. Purchase of Sites. Any appropriation herein authorized for construction of a project shall be understood to include the acquisition or purchase of sites whenever such acquisition or purchase is necessary for the prosecution of the project.
Section 10. Prosecution of Public Works Projects by Administration. The provisions of any law, rules or regulations to the contrary notwithstanding and irrespective of the source of funds, all public works project with a cost of Two Hundred Thousand Pesos (P200,000) or less may be done by administration by the bureau or agency concerned without benefit of public bidding subject to the provisions of Sec. 5 and Sec. 6 thereof. Public works projects with a cost of more than Two Hundred Thousand Pesos (P200,000) shall, after public bidding, be awarded by contract. If there are no acceptable bids for the project, or the bids are higher by more than ten per centum (10%) over the government estimate, the project may be prosecuted by administration by the bureau or agency concerned after securing the approval of the Department Head. In case of urgent necessity or emergency, projects costing more than P200,000 may be prosecuted by administration without benefit of public bidding upon representation by the bureau or agency concerned, subject to favorable recommendation of the Department Head and approval by the President of the Philippines.
Section 11. Purchase of Materials and Supplies. The Department Head concerned is authorized, in the interest of public service, subject to bidding and auditing requirements, to procure the necessary materials and supplies, needed for the construction, reconstruction, improvement, repair and/or maintenance of any public work project, regardless of the source of funds; Provided, That, when such materials and supplies are obtainable locally in the district, city or neighboring districts, the same may be procured by the District or City Engineer without prior authority from the Department Head; Provided, further, that, no surcharge shall be imposed for the service of procuring such materials and supplies; Provided, furthermore, that the cost of such materials and supplies shall not exceed the estimated cost of such materials and supplies stated in the approved program of work as provided under Sec. 3 hereof.
Section 12. Engineering Surcharge and Other Overhead Expenses. No national surcharge shall be collected from the appropriation or expenditures authorized for any category of public work and all surcharges to be collected by the district or city engineering office for administrative overhead and engineering expenses, including the compensation and travel expenses and all other deductions shall not exceed ten per centum of expenditures or appropriation for any public works project, so that ninety per centum of said appropriation shall be expanded directly for the project: Provided, That nine per centum said expenditures shall accrue to the district or city engineering office and one per cent shall accrue to the regional engineering offices concerned: Provided, further, That such surcharges shall be under the custody of the disbursing officers of the said engineering offices: Provided, finally, That such surcharges may be used for the purchase of the motor vehicles and equipment.
Section 13. National Disbursing Funds. Any provisions of existing law to the contrary notwithstanding, all funds appropriated under the provisions of this Decree shall, when released, be carried in the account books of the treasurers or special disbursing officers as national disbursing funds and all projects herein specified are classified as national projects: Provided, That, provincial fund allocated as counterpart shall not be considered as national fund.
Section 14. Interchangeability of Financing Methods. Upon the recommendation of the Secretary of Finance and the National Economic and Development Authority, the President of the Philippines is authorized to modify the financing methods indicated in this and previous Public Works Measures, so as to enable the department head concerned to undertake the projects financed from general revenue with the proceeds from the sale of bonds and/or from loans.
Section 15. Other Financing Methods. The provisions of existing laws, executive orders, rules and regulations to the contrary notwithstanding, the proceeds from the payment for reparations goods may be used for financing projects authorized in this Decree and other Public Works Measures, including the purchase of necessary equipment, construction materials and supplies.
Section 16. Unreleased Appropriations. All unreleased appropriations in Republic Acts Numbered Forty Eight Hundred Fifty Four, Fifty One Hundred Eighty Seven, and Fifty Nine Hundred Seventy Nine are hereby repealed.
Section 17. Reports. The Department Head concerned shall submit an annual accomplishment report to the President, copy of which shall be furnished the National Economic and Development Authority, Such report shall include the appropriations released as of the end of the fiscal year, the extent of work accomplished, further work to be done to complete the program of broad categories of public works and recommendations if any, for transfer of appropriations or for program changes to be incorporated in the next Public Works Appropriations Measure.
Section 18. Effectivity. This Decree shall take effect immediately.
Done in the City of Manila, this 31st day of July, in the year of Our Lord, nineteen hundred and seventy-five.
