Providing For The Reorganization Of Maritime Functions In The Philippines, Creating The Maritime Industry Authority, And For Other Purposes
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Providing For The Reorganization Of Maritime Functions In The Philippines, Creating The Maritime Industry Authority, And For Other Purposes
Presidential Decree No. 474
June 1, 1974
Case Overview and Summary
PRESIDENTIAL DECREE No. 474Summary:
Declaration of Policies and Objectives (Section 2):
- Accelerate integrated development of maritime industry to:
- Increase production and productivity through sea linkage. (2a)
- Provide economical, safe, adequate and efficient shipment. (2b)
- Enhance competitiveness of Philippine flag vessels in foreign trade. (2c)
- Strengthen balance of payments position. (2d)
- Generate new job opportunities. (2e)
- Government through Maritime Industry Authority shall:
- Adopt and implement Maritime Industry Development Program. (2a)
- Provide financial, technological assistance and investment climate. (2b)
- Regulate and rationalize water transport utilities and maritime enterprises. (2c)
Definition of Terms (Section 3):
- "Maritime Industry" - Enterprises engaged in vessel design, construction, manufacturing, acquisition, operation, supply, repair, maintenance, shipping lines, stevedoring, shipyards, etc. (3a)
- "Vessels" or "Watercraft" - Barges, bulk carriers, passenger ships, freighters, tankers, fishing boats, etc. except military vessels and small non-motorized boats. (3b)
- "Philippine national" - Filipino citizens, partnerships/associations wholly owned by Filipinos, corporations with at least 60% Filipino ownership, etc. (3c)
- "Philippine flag vessel" - Vessel registered under Philippine laws. (3d)
- "Foreign flag vessel" - Vessel registered under laws of another country. (3e)
- "Philippine shipping companies" - Philippine nationals engaged in overseas/domestic water transportation. (3f)
Maritime Industry Authority (Sections 4-22):
- Created under Office of the President to regulate maritime industry. (4)
- Prepare 10-Year Maritime Industry Development Program. (5)
- Maritime Industry Board to provide policy guidance and promulgate rules. (6)
- Board composition and organization. (7)
- Management headed by Maritime Administrator and Deputy Administrators. (8-9)
- Administrator's general powers and functions. (10-11)
- Administrator's specific powers and functions. (12)
- Maintain reservoir of trained maritime manpower. (13)
- Penalties for false data, misleading information, concealment, falsification. (14)
- Auditing by Commission on Audit. (15)
- Reorganizational changes from other agencies. (16)
- Coordination with other agencies like Coast Guard, Labor, Education. (17-18)
- Transitory provisions for absorbed personnel. (19)
- Appropriations of funds. (20)
- Repealing inconsistent laws, separability clause, effectivity. (21-22)
Miscellaneous:
- Definitions cover broad range of maritime enterprises. (3a)
- Excludes military vessels, small non-motorized boats. (3b)
- Requires 60% Filipino ownership for "Philippine national". (3c)
- Penalties involve imprisonment of 2-6 months and/or fine of 500-1,000 pesos. (14)
- Appropriations of 2 million pesos initially, can retain 50% of fees/charges. (20)
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Providing For The Reorganization Of Maritime Functions In The Philippines, Creating The Maritime Industry Authority, And For Other Purposes
Presidential Decree No. 474
•June 1, 1974
MALACAÑANGM a n i l a
PRESIDENTIAL DECREE No. 474 June 1, 1974
PROVIDING FOR THE REORGANIZATION OF MARITIME FUNCTIONS IN THE PHILIPPINES, CREATING THE MARITIME INDUSTRY AUTHORITY, AND FOR OTHER PURPOSES
WHEREAS, the efficient sea transport of raw materials, products, commodities and people is vital to the growth of the Philippine economy;
WHEREAS, the functions pertaining to the development and regulation of shipping enterprises are fragmented among various government agencies, resulting in inadequate and inefficient shipping facilities, dependence on external shipping interests, maldistribution of commodities, and piece-meal solutions;
WHEREAS, there is imperative need to modernize and expand the Philippine merchant fleet, and to rationalize and improve their operations in order to make them effective instruments in promoting domestic production, interisland and overseas trade, price stabilization, and employment generation;
WHEREAS, it is urgently necessary to provide a strong organizational framework to effect the accelerated and integrated development and effective regulation of shipping enterprises;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution, in...
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