An Act Appropriating Funds for the Operation of the Government of the Republic of the Philippines During the Period from July First, Nineteen Hundred and Fifty-Five to June Thirtieth, Nineteen Hundred and Fifty-Six, and for Other Purposes

REPUBLIC ACT No. 1350

An Act Appropriating Funds for the Operation of the Government of the Republic of the Philippines During the Period from July First, Nineteen Hundred and Fifty-Five to June Thirtieth, Nineteen Hundred and Fifty-Six, and for Other Purposes

General Appropriations Act of 1955–1956

Be it enacted by the Senate and House of Representatives of the Philippine Congress Assembled:

Section 1. Appropriation of funds. -The following sums, or so much thereof as may be necessary, are appropriated out of any funds in the Philippine Treasury not otherwise appropriated for the operation of the Government of the Republic of the Philippines during the period from July first, nineteen hundred and fifty-five to June thirtieth, nineteen hundred and fifty-six, except where otherwise specifically provided:

General Provisions

Section 2. Authority to pay salaries not in conformity with the prescribed grades or rates of compensation.— Payment to incumbent employees of salaries the rates of which are not in conformity with the schedule of grades or rates of compensation provided in section three of Commonwealth Act Numbered Four hundred and two, as amended, is hereby authorized: Provided, That new appointments, whether original or promotional, to positions not carrying the salary rates prescribed in Commonwealth Act Numbered Four hundred and two, as amended, shall be made only at rates authorized in the said Act.

Section 3. Personnel in the classified Civil Service under Performance Budget.— The adoption of the budgetary system based on functions, activities and projects in terms of expected results in the Bureau of Civil Service, Bureau of Internal Revenue, Land Registration Commission, Bureau of Lands, Bureau of Telecommunications, Bureau of Public Libraries, Bureau of Labor, Wage Administration Service, Industrial Safety Division, Armed Forces of the Philippines, Bureau of Health and Bureau of Commerce, shall neither result in any manner in the laying off of personnel in the classified Civil Service except for cause as provided by law nor in the reduction of actual salaries of incumbent.

Section 4. Appendix covering Plantillas of Personnel.— The appendix containing the plantillas of personnel in the different bureaus and offices whose budgets are presented pursuant to the provisions of Republic Act No. 992, is hereby made part of this Act.

Section 5. Authority to use savings in appropriations for "personal services," for "maintenance and other operating expenses," and for "furniture and equipment" to cover deficits. -Except as otherwise provided in this Act, any savings in the regular appropriations authorized in this Act for the Executive Departments for personal services, for maintenance and other operating expenses, and for furniture and equipment of the bureaus and offices under any Department, may, with the approval of the President, be used to cover a deficit in any other item of the regular appropriations, except for personal services, under the same Department. Likewise, any savings in the appropriations for personal services, for maintenance and other operating expenses, and for furniture and equipment of any item under "special purposes," may with the approval of the President, be used to cover a deficit in any other item of appropriation, except for personal services, …: Provided, That, whenever authorized positions are transferred from one program or project to another program or project under the performance budgets, the corresponding amounts appropriated for personal services are also deemed transferred, without increasing the total outlay for personal services of the office concerned. In no case, however, shall any item in the regular appropriations and appropriations for "special purposes" be augmented, pursuant to the authority granted in this section, by more than forty per centum of the original appropriation provided in this Act for such item.

Section 6. Quarterly report to Congress on transfers of appropriations and accomplishments of bureaus and offices whose appropriations are based on Performance Budget. -The Auditor General and the Commissioner of the Budget shall submit separately to the Congress a quarterly report of any transfer of appropriation made to cover a deficit, the report to specify the items and the amounts involved and shall furnish copies to each member of Congress in his office: Provided, That the heads of bureaus or offices whose appropriations provided for in this Act are based on the Performance Budget shall likewise submit separately to the Congress a quarterly report of their accomplishments in the various projects as set forth in their respective performance budget.

Section 7. Authority to use savings for other purposes. -The President of the Philippines is authorized to use any savings in the appropriations provided in this Act for the Executive Departments for the settlement of the following obligations incurred during the current fiscal year and/or previous fiscal years, the limitation in section 7-I (27) of Commonwealth Act Numbered Two hundred forty-six, as amended, notwithstanding: (1) claims under section 699 of the Revised Administrative Code and the Workmen’s Compensation Act, whichever is applicable, of officers, employees and laborers who died or were injured in line of duty; (2) commutation of the money value of the additional leave extended leave and accrued leave earned by American and deceased Filipino officers and employees, or by Filipino officers and employees separated from the service except for cause, for service rendered prior to November twenty-ninth, nineteen hundred and twenty-six; (3) purchase of furniture and equipment to replace those that may be lost through accident, fire or other calamity, or may have been damaged through the same cause, the disposal of which is deemed reasonable and necessary, if it would be more expensive to have them repaired, and purchase with the approval of the President of furniture and equipment to replace unserviceable ones condemned by the Auditor General; (4) payment of salaries of suspended employees who have subsequently been exonerated; (5) payment of the share of the National Government in the salaries of national officials in newly created cities and provinces where no appropriation has been provided therefor; (6) three per cent contribution of the Government to the Government Service Insurance System for the employee’s insurance premiums corresponding to the period from December thirty-first, nineteen hundred and forty-one to February twenty-eight, nineteen hundred and forty-five, pursuant to section four of Republic Act Numbered One hundred thirty-two, the provisions of section 7 (c) of Commonwealth Act Numbered One hundred eighty-six, as amended, to the contrary notwithstanding; (7) commutation of sick and vacation leaves of employees who may be retired under existing laws; (8) additional compensation to government nurses assigned to public health nursing at ₱50 a month in lieu of quarters, subsistence and laundry allowances as provided under section three of Republic Act Numbered Six hundred forty-nine; (9) purchase or rental of accounting machines to carry out the plan of mechanizing the accounting system in the Government; (10) obligation of the National Government under the provisions of subsection (a) of section 2553 of the Revised Administrative Code; (11) cash commutation of the accumulated vacation and sick leave of employees who voluntarily resign or are separated from the service thru no fault of their own, in accordance with the provisions of Republic Act Numbered Six hundred eleven; (12) printing of briefs in cases appealed by the Government; (13) gratuity of employees whose positions are abolished or who are retired; (14) improvement of food rations in government hospitals and leprosaria; (15) rural improvement; and (16) payment of salary differentials to officials and employees whose salary items have been reduced in the 1956 Budget to the amounts they were actually receiving at the time of the preparation of the said Budget but who before June 30, 1955 were promoted to higher rates provided for their respective salary items.

Section 8. Suspension of expenditure of appropriations. -Except as otherwise provided in this Act and whenever in his judgment the public interest so requires, the President is authorized to suspend or otherwise stop the expenditure of any amount herein appropriated in any item or items for the Executive Departments for any purpose, except those for salaries of positions with incumbents, and thereupon the funds affected by such action shall become available for any other expenditures authorized in this Act for the Executive Departments as the President may determine, except for personal services: Provided, That, whenever authorized positions are transferred from one program or project to another program or project under the performance budgets, the corresponding amounts appropriated for personal services are also deemed transferred, without increasing the total outlay for personal services of the office concerned. In no case, however, shall any item of appropriation be augmented, pursuant to the authority granted in this section, by more than forty per centum of the original appropriation provided in this Act for such item. The Auditor General and the Commissioner of the Budget shall report separately to the Congress within a period of thirty days any suspension or transfer of funds made by the President during the previous quarter and shall furnish copies to each member of Congress in his office.

Section 9. Provision for "excess of actual salary". -Appropriations provided in this Act may be used for payment of excess of actual salaries to the incumbent of a position to which said "excess" pertains who is actually receiving the same "excess" as part of the salary granted to him upon his appointment to the said position before the reduction of the basic pay thereof to the amount provided: Provided, However, That if the position be vacated and the successor to its previous incumbent shall have previously received an equal salary plus the "excess of actual salary" in the same or any other branch of the government service, such excess shall be allowable to him.

Section 10. Allotment of Appropriations. -To prevent the incurrence of deficits, authorized appropriations shall be allotted in accordance with the procedure outlined hereunder:

Section 11. Creation of appropriation reserves. -The chiefs of bureaus and offices shall establish reserves of not less than five per centum of the total appropriations of their respective bureaus and offices to provide for contingencies and emergencies which would otherwise require a deficiency appropriation. All or a portion of an appropriation may be reserved when it is determined that the amounts involved may not be needed. Should conditions change during the fiscal year which would justify the use of the reserve, the necessary adjustment may be made by the Commissioner of the Budget when requested by the bureau or office affected.

Section 12. Purchase of locally manufactured furniture, equipment, parts, accessories, supplies and materials. -All appropriations for the purchase of furniture, equipment, supplies and materials authorized in this Act shall be available only for locally manufactured furniture, equipment, parts, accessories, supplies and materials, except when none is available in the market, or when the prices of the locally manufactured article exceed those determined by the Flag Law by ten per cent.

Section 13. Renting of automobiles, jitneys or trucks for a continuous period exceeding fifteen days prohibited. -No appropriation provided in this Act for the Executive Departments shall be used for renting automobiles, jitneys or trucks on the monthly basis nor on the daily basis for a continuous period exceeding fifteen days.

Section 14. Authority to purchase motor vehicles. -No appropriation authorized in this Act shall be used for the purchase of automobiles, jitneys, jeeps, station wagons, motorcycles and other motor vehicles unless otherwise specifically provided in this Act.

Section 15. Officials entitled to government motor transportation. -The following officials are entitled to use government motor transportation chargeable against the appropriations authorized in this Act:

Section 16. Officials entitled to transportation allowance. -The Department Heads, including the Administrator of Economic Coordination, the Commissioner of the Budget, the Chairman of the Commission on Elections, and the Social Welfare Administrator are hereby granted a commutable transportation allowance of two hundred fifty pesos each per month; the Undersecretaries of Departments and officials with the same rank, the Public Service Commissioner, the Legislative Secretary, the Legislative Liaison Officer, the Presiding Judge of the Court of Industrial Relations, and the Presiding Judge of the Court of Tax Appeals, two hundred pesos each per month, and the following Directors or chiefs of bureaus and offices, and the Sergeant At Arms of the House of Representatives, one hundred pesos each per month, chargeable against the appropriations authorized in this Act for their respective offices:

Section 17. Bureaus and offices entitled to use, operate and maintain government motor vehicles and launches. -No bureau or office shall use, operate or maintain from the appropriations authorized in this Act government service cars, jeeps, station wagons, vans, service trucks, pick-up trucks, launches, speedboats, motorcycles, etc., except the following:

Section 18. Proper use of government motor vehicles. -The use of government motor vehicles by bureaus and offices for the purposes enumerated in section seventeen hereof shall be authorized only through the issuance for each trip of a serially numbered ticket, duly signed by the chief or the administrative officer of the bureau or office concerned. These motor vehicles shall be used strictly for official business, bear government plates only and after office hours kept in the garage provided therefor by the bureau of office to which they belong, except when in use for strictly official business outside office hours.

Section 19. Use of more than one motor vehicle prohibited. -With the exception of the President, no government official or employee authorized to use any vehicle operated and maintained from the funds appropriated in this Act shall be allowed to use more than one such motor vehicle: Provided, However, That the Vice-President, the President of the Senate, and the Speaker of the House of Representatives may be allowed to use two motor vehicles each: And Provided, finally, That no official who has been furnished motor transportation by any government corporation shall be allowed to use motor vehicle transportation operated and maintained from funds appropriated in this Act.

The Auditor General is hereby empowered to issue rules and regulations for the proper implementation and enforcement of the provisions of this section and sections 16, 17 and 18.

Section 20. Disposition of motor vehicles not used by a bureau or office.— All motor vehicles owned by or assigned to the different departments, bureaus, offices and branches of the National Government not needed by the officials and for the purposes enumerated in section fifteen and seventeen of this Act shall be disposed of to the highest bidder at public auction sales announced in newspapers of general circulation at least ten days before the sale: Provided, That the former user thereof shall be given preference if he offers and pays a price equal to that of the highest bid by others.

Section 21. Prohibition against the use of appropriations for the payment of salaries and wages of officers or employees engaged in a strike against the Government. -Subject to existing civil service rules and regulations and the proper administrative proceedings, no part of the funds of, or available for expenditure by, any agency included in this Act shall be used to pay the salary or wages of any officer or employee who engages in a strike against the Government of the Republic of the Philippines or who is a member of an organization of government employees that in the opinion of the Secretary of Justice asserts the right to strike against the Government of the Republic of the Philippines, or who in the opinion of said Secretary of Justice advocates, or is a member of an organization that advocates, the overthrow of the Government of the Republic of the Philippines by force or violence; Provided, That for the purposes hereof an affidavit shall be considered sufficient evidence that the person making the affidavit has not, contrary to the provisions of this section, engaged in a strike against the Government of the Republic of the Philippines, is not a member of any organization of government employees that asserts the right to strike against the Government of the Republic of the Philippines, or that such person does not advocate, and is not a member of an organization that advocates, the overthrow of the Government of the Republic of the Philippines by force or violence.

Section 22. Per diems outside of the Philippines. -No per diems in excess of fifty pesos shall be paid to any official or employee traveling outside of the Philippines.

Section 23. No transfer of salary savings to the Government Service Insurance System.— The provisions of Republic Act No. 660 to the contrary notwithstanding, no savings from personal services under the general fund and the special, revolving, trust, depository and other funds shall be transferred to the Government Service Insurance System.

Section 24. Reinsurance of government buildings to be equitably distributed among private insurance companies in the Philippines. -In all cases where appropriations are provided in this Act for payment of premiums covering the insurance of government buildings with the Property Insurance Fund, reinsurance shall be equitably distributed among private insurance companies doing business in the Philippines on uniform terms, conditions and rates of premiums.

Section 25. Prohibition against the transfer of appropriations of the Department of National Defense. -The provisions of section eight of this Act to the contrary notwithstanding, no amount appropriated for the Department of National Defense shall be transferred to any other Executive Department.

Section 26. Limitation of special details of officials and employees. -Any provision of existing law to the contrary notwithstanding, no portion of any appropriation provided for in this Act shall be made available for the payment of salaries of officials or employees who are not actually performing the duties and functions pertaining to their positions and assigned to the place of employment as specified in this Act: Provided, That this shall not apply to special assignments for a period not exceeding one hundred eighty days which shall not be renewed or extended. Any official who shall allow the payment of salaries to officials or employees who are not in their designated place of employment and performing their assigned tasks shall be required to refund to the government such sums as may have been paid to such officials or employees.

Section 27. Authority to harmonize the appropriation structure with new terminology of classification of accounts. -The Commissioner of the Budget is hereby authorized to harmonize the appropriation structure with the new terminology of classification of accounts that may be prescribed by law or regulations: Provided, That such reclassification shall not increase or decrease the aggregate sum appropriated in this Act for the various objects affected under each Department, bureau or office.

Section 28. The Committee on Finance of the Senate and the Committee on Appropriations of the House of Representatives to look into all matters relating to public expenditures. -The Committee on Finance of the Senate and the Committee on Appropriations of the House of Representatives are hereby authorized to look at any time into all matters relating to funds for the expenditures of the National Government and for the payment of public indebtedness; auditing of accounts and expenditures of the National Government; claims against the Government; and in general all matters relating to public expenditures.

Section 29. Expenditure and disbursement of special funds. -No expenditure shall be incurred, nor any disbursement made, out of the appropriations authorized in this Act from special, revolving and trust funds and from receipts automatically appropriated which will exceed at any one time either the fund itself or the cash in the National Treasury pertaining to such fund, except when, in the opinion of the President, such expenditure or disbursement is required by the exigency of the service, and sufficient income or receipts are expected to accrue to such funds to cover said expenditure or disbursement, in which case the necessary amount may be advanced from the general fund. Section 30. Appropriations chargeable against the Philippine Charity Sweepstakes Fund. -The appropriations provided in this Act for carrying out the activities heretofore financed from the receipts of the Philippine Charity Sweepstakes Fund shall continue to be charged against the said Fund, and the Board of Directors of the Philippine Charity Sweepstakes shall allot the amounts thereof in the distribution of the Philippine Charity Sweepstakes Fund.

Section 31. Immediate payment of accounts. -In order to insure the immediate collection of income due any bureau or office for services rendered or sale of any commodity or article produced or manufactured by the same, no such service shall be rendered or sale made except on the cash basis. Any official or employee who allows such service to be rendered or sale to be made on account shall be held personally liable therefor and such act shall be considered sufficient ground for his removal from office; Provided, That the provision of this section shall apply only to transactions of the government with private parties.

Section 32. Incumbents of positions whose designations or titles were modified not to be laid off. -Incumbents of positions whose designations or titles were modified or otherwise changed in this Act shall not be laid off, nor the salaries authorized in this Act for such positions increased by reason of such change in designation or title the provision of existing law to the contrary notwithstanding.

Section 33. Effective date. -This Act shall take effect on July first, nineteen hundred and fifty-five, except where otherwise stated.

Approved: June 18, 1955.