Creating The National Kidney Foundation Of The Philippines

Case Overview and Summary

Summary of Presidential Decree No. 1832

Creation and Purpose of the National Kidney Foundation of the Philippines
- Creates the National Kidney Foundation of the Philippines as a body corporate and politic under the Office of the President (Section 1)
- Objectives include:
    - Establish and operate medical institutions specializing in prevention, diagnosis, treatment, and rehabilitation of kidney and allied diseases (Section 2a)
    - Promote medical and scientific research on kidney diseases and artificial kidney support (Section 2b)
    - Conduct investigations and disseminate information on kidney diseases (Section 2c)
    - Finance and participate in conferences, seminars, and training programs on kidney diseases (Section 2d)
    - Assist in education and training of medical personnel in kidney patient services (Section 2e)
    - Assist universities, hospitals, and research institutions in kidney disease studies and grant scholarships (Section 2f)
    - Stimulate formation of other organizations and coordinate efforts on kidney diseases (Section 2g)

Powers and Functions of the Foundation
- Corporate powers including adopting by-laws, acquiring properties, entering into contracts, borrowing funds, and levying fees (Section 3)
- Exempted from public bidding requirements (Section 3e)

Board of Trustees
- Governed by a Board of Trustees with 11 members appointed by the President of the Philippines (Section 4)
- Members serve 3-year terms with holdover until successors are appointed (Section 4)
- Members receive per diem of at least ₱500 and up to ₱2,500 per month (Section 4)
- Powers include formulating policies, setting fees, controlling management, promulgating rules, authorizing expenditures, determining organizational structure and compensation, adopting budget, appointing officers, and exercising general powers (Section 5)

Officers and Management
- President appointed by and serves at pleasure of the President of the Philippines with salary fixed by the Board (Section 7)
- President is the Chief Executive Officer with powers including executing policies, directing operations, entering into contracts, representing the Foundation, and appointing employees (Section 8)
- President can take emergency actions with concurrence of 3 Board members (Section 9)
- Foundation can call upon government agencies for assistance (Section 10)

Funding and Exemptions
- ₱10,000,000 appropriated from Casino Trust Fund for initial expenses, with subsequent funding from General Appropriations Act (Section 11)
- Authorized to receive donations exempt from taxes and deductible for donors (Section 12)
- Exempted from income taxes, tariffs, customs duties, and other taxes and fees (Section 13)
- Exemptions may be lifted if Foundation becomes self-sustaining (Section 13)

Employment and Legal Matters
- Not covered by Civil Service laws; officers and employees appointed based on merit system adopted by the Board (Section 14)
- Has its own auditor not under Commission on Audit (Section 15)
- Office of the Government Corporate Counsel serves as legal counsel (Section 16)

Reporting and Dissolution
- Renders annual report to the President of the Philippines (Section 17)
- General corporation law applies unless inconsistent with the Decree (Section 18)
- Upon dissolution, properties revert to the National Government (Section 19)

Other Provisions
- Separability clause for unconstitutional provisions (Section 20)
- Immediate effectivity (Section 21)