Appropriating Funds For Infrastructure Development, Synchronizing The Same With Previous Public Works, Appropriations

Case Overview and Summary

Presidential Decree No. 1342 Summary:

Appropriations for Infrastructure Development
• Appropriates funds for infrastructure projects to accelerate socio-economic development. (Section 1)
• Provides appropriations for ongoing and new projects, including:
    - Highways (Section 1(a))
        • Specifies amounts for various highway projects nationwide, e.g., P600,000,000 for Pan Philippine Highway and Access Roads.
    - Airports and Air Navigation (Section 1(b))
        • Specifies amounts for various airport projects nationwide, e.g., P800,000,000 for Manila International and Domestic Airport.
    - Portworks and Maritime (Section 1(c))
        • Specifies amounts for various port projects nationwide, e.g., P100,000,000 for Port of Batangas.
    - Telecommunications (Section 1(d))
        • Appropriates funds for improving national and regional telecommunication networks, telephone, telegraph, and telex services.
    - Water Resources Development (Title B)
        • Irrigation (Section 1(a))
            • Specifies amounts for various irrigation projects nationwide, e.g., P800,000,000 for various national irrigation projects.
        • Water Supply and Sewerage (Section 1(b))
            • Appropriates funds for Metro Manila water supply and sewerage projects, provincial waterworks and sewerage systems, and rural water supply projects.
        • Flood Control and Drainage (Section 1(c))
            • Specifies amounts for various flood control and drainage projects nationwide, e.g., P200,000,000 for Metro Manila Flood Control and Drainage.
        • Multi-Purpose Projects (Section 1(d))
            • Appropriates funds for various multi-purpose and water resources projects nationwide, including Laguna Lake Water Resources Projects.
    - Buildings (Title C)
        • National Buildings (Section 1(a))
            • Specifies amounts for various national buildings nationwide, e.g., P400,000,000 for various University of the Philippine System Buildings.
        • Hospitals and Sanitaria (Section 1(b))
            • Appropriates funds for various national hospitals, sanitaria, rural health units, and regional and satellite hospitals.
        • Elementary School Buildings (Section 1(c))
            • Appropriates funds for various school and related facilities nationwide.
        • Secondary and Other School Buildings (Section 1(d))
            • Appropriates funds for various barangay high school buildings nationwide.
    - Special Projects (Title D)
        • Appropriates funds for the Dagat-Dagatan Lagoon project. (Section 1)

Miscellaneous Projects (Section 2)
• Appropriates funds for:
    - Pre-investment studies, regional planning, feasibility studies, and preliminary engineering. (Section 2(a))
    - Detailed engineering of authorized projects. (Section 2(b))
    - Acquisition of necessary right-of-way for authorized projects. (Section 2(c))
    - Construction of warehouses, Grains Center, and related facilities for the National Grains Authority and other government agencies. (Section 2(d))

Special Provisions
• Requires preparation of a program of work before prosecuting any public works project, with specific approval requirements based on project cost. (Section 3)
• Regulates rental of equipment for public works projects. (Section 4)
• Requires preference for local labor in public works projects. (Section 5)
• Mandates the use of labor-intensive methods whenever technically practicable and economically feasible, subject to certain conditions. (Section 6)
• Requires pre-construction activities, including a general plan of operations. (Section 7)
• Allows hiring of private consulting services for project preparation, design, and construction supervision, subject to fee limits. (Section 8)
• Allows appropriations to include site acquisition costs. (Section 9)
• Allows public works projects with a cost of P300,000 or less to be done by administration or force account without public bidding, subject to certain conditions. (Section 10)
• Authorizes the procurement of necessary materials and supplies for public works projects, subject to bidding and auditing requirements. (Section 11)
• Limits engineering, administrative, and other overhead expenses to 5% of the amount released for the project. (Section 12)
• Classifies all funds appropriated as national disbursing funds and all projects as national projects. (Section 13)
• Authorizes the President to modify financing methods upon recommendation of the Secretary of Finance and the National Economic and Development Authority. (Section 14)
• Allows the use of proceeds from reparations goods to finance authorized projects. (Section 15)
• Repeals unreleased appropriations in Presidential Decree Nos. 3 and 475. (Section 16)
• Requires annual accomplishment reports to be submitted to the President and the National Economic and Development Authority. (Section 17)