A Decree Re-Enacting Presidential Decree No. 867 and Amending Certain Provisions Thereof

Case Overview and Summary

Summary of Presidential Decree No. 1448

Creation of the Philippine Convention Bureau
- A non-stock, non-profit corporate body created to promote tourism and attract international congresses and conventions in the Philippines. (Section 1)
- Authorized to adopt a corporate seal, enter into contracts, own property, sue and be sued, and perform necessary acts. (Section 1)

Objectives of the Bureau
- Create machinery to plan, develop, and execute campaigns to promote tourism and attract international congresses and conventions. (Section 2a)
- Promote Metro Manila as a Convention City. (Section 2b)
- Supervise, assist, and coordinate activities related to international congresses and conventions. (Section 2c)
- Oversee the requirements and welfare of convention attendees. (Section 2d)
- Encourage and promote the development of skills and services related to international congresses and conventions. (Section 2e)

Membership
- Open to entities, groups, or individuals with direct or indirect economic, social, or cultural interest in congresses and conventions. (Section 3)
- Membership is a requirement for hotels, travel agencies, tour operators, tourist transport operators, professional congress organizers, and certain restaurants, resorts, and night clubs to obtain operating licenses or permits from the Department of Tourism. (Section 3)
- A Membership Committee screens and recommends applications to the Board of Trustees, which has exclusive authority to approve memberships. (Section 3)

Board of Trustees
- The policy-making body composed of representatives from the government and private sectors involved in international congresses and conventions. (Section 4)
- Members include the Secretary of Tourism (Chairman), representatives from various government agencies, and presidents of private associations related to tourism. (Section 4)
- The Board has a Vice Chairman selected from its members. (Section 4)
- Terms of office for private sector members are co-terminus with their tenure as officials of their respective associations. (Section 5)
- Terms of office for government sector members are co-terminus with their respective government positions. (Section 5)
- Board members receive per diems for attending meetings and expenses for missions or assignments, but no compensation. (Section 6)
- Powers and duties of the Board include promulgating policies, approving programs and budgets, fixing salaries, rendering reports to the President, and exercising necessary powers. (Section 7)

Executive Power
- Vested in the Executive Director, who oversees the Bureau's operations and is assisted by a Deputy Executive Director. (Section 8)
- The Executive Director and Deputy Executive Director are elected by at least 8 Board members and serve terms fixed by the Board. (Section 8)
- The Executive Director is the Chief Executive Officer with powers prescribed by the Board. (Section 8)
- Other appointments are approved by the Board upon the Executive Director's recommendation. (Section 8)

Duties of the Executive Director
- Execute and administer policies and measures approved by the Board. (Section 9a)
- Direct, manage, and supervise the Bureau's executive functions and operations. (Section 9b)
- Determine the Bureau's general work program. (Section 9c)
- Represent the Bureau in dealings with government agencies and private organizations, as authorized by the Board. (Section 9d)
- Prepare and submit the annual budget and supplemental budgets to the Board. (Section 9e)
- Prepare and submit an annual report, including financial statements, to the Board. (Section 9f)
- Perform other functions delegated by the Board. (Section 9g)

Duties of the Deputy Executive Director
- Perform duties designated by the Executive Director. (Section 10a)
- Act in the Executive Director's stead upon incapacity or absence. (Section 10a)
- Directly supervise the functions of the Administrative Department. (Section 10b)

Organizational Structure and Departments
- The Bureau has the following departments: Marketing & Promotions, Administrative, Research and Statistics, Consultation and Liaison, Secretariat, and Finance. (Section 11)
- The Board may create additional departments or staff as needed. (Section 11)
- Duties of the Administrative Department include personnel administration, records management, procurement, maintenance services, collection and disbursement, legal services, and other assigned functions. (Section 12)
- Duties of the Research and Statistics Department include providing data, conducting research on market and competition, standards and ethics, policies and incentives, and disseminating information to members. (Section 13)
- Duties of the Marketing and Promotions Department include devising and spearheading promotions to project Manila as a convention destination and generate convention business. (Section 14)
- Duties of the Consultation & Liaison Department include serving as the technical arm in organizing, assisting, and facilitating international conventions, and ensuring proper execution of cooperative agreements. (Section 15)
- Duties of the Secretariat Department include providing training, documentation, creative and secretariat services to members and international secretariats with conventions in the Philippines. (Section 16)
- Duties of the Finance Department include providing staff advice and assistance on budgetary, financial, and management improvement matters. (Section 17)

Funding Sources
- Annual contributions from government offices represented in the Board, ranging from P200,000 to P500,000. (Section 18.1)
- 10% of the annual collection of the travel tax, automatically remitted to the Bureau. (Section 18.2)
- 50% of the annual collection of the hotel room tax. (Section 18.3)
- Annual membership dues from compulsory members based on a percentage of their gross income or earnings, with specific rates for different types of establishments. (Section 18.4)
- Subsidies or grants received by the Bureau. (Section 18.5)

GSIS Membership and Benefits
- Officers, personnel, and staff of the Bureau shall become compulsory members of the GSIS and entitled to benefits such as retirement, insurance, medicare, leave, and similar benefits. (Section 19)

Tax Exemptions
- The Bureau, its assets, property, income, and transactions are exempted from all taxes, imposts, fees, and charges. (Section 20)
- Contributions to the Bureau are deductible in full from the donor's income tax. (Section 20)

Applicability of Corporation Law
- The provisions of the corporation law shall apply to the Bureau insofar as they are not inconsistent with this Decree. (Section 21)

Exemption from OCPC Classification
- Certain positions in the Bureau's corporate structure, including the Executive Director, Deputy Executive Director, Department Heads, Corporate Secretary, and regular, technical, and professional staff as determined by the Board, are exempted from OCPC Classification. (Section 22)

Repealing Clause
- All existing laws, presidential decrees, general orders, letters of instructions, executive orders inconsistent with this Decree are repealed. (Section 23)
- This Decree supersedes Presidential Decree No. 867 and takes effect immediately. (Section 23)