Article 120p. 120

ADMINISTRATIVE CODE AND LAW OF PUBLIC OFFICERS TEXT AND RULES

recorded so as to identify expenditures as classified into

such

categories

as

may

be

determined

by

the

Department of Budget and Management, including but

not limited to the following: (1) agency incurring the

obligation, (2) program, project and activity, (3) object of

expenditure, including personal services, operating and

maintenance

expenditures,

equipment,

and

capital

outlays, (4) region or locality of use, (5) economic or

functional

classification

of

the

expenditure,

(6)

obligational authority and cash transactions arising from

fund releases, and such other classifications as may be

necessary

for

the

budget

process. The Secretary of

Budget

shall

determine

the

data

and

information

requirements thus needed and the Commission on Audit

shall formulate the accounting rules and regulations,

including changes in the Chart of Accounts and the

general or subsidiary accounting records, as may be

necessary to generate the desired data and information.

The Chief Accountants of agencies and where necessary,

accountants of regional offices, shall submit the data

needed by the Department of Budget and Management

in accordance with such rules and regulations as it may

formulate.

SECTION 54. Standard Costs . — The Department of

Budget and Management shall develop standard costs

for duly approved units of work measurement for each

agency's budgetary projects or activities. These standard

costs shall be compared with actual unit costs and

utilized

in

the

evaluation

of

agency

budgetary

performance.

SECTION 55. Review of Budgetary Programs . — The

Secretary of Budget shall conduct a continuing review of

the budgetary program and project structure of each

department, office or agency, the result of which shall be

the basis for modifying or amending such structure for

incorporation in the President's budget proposals to the

Congress.

SECTION

56.

Semi-Annual

Report

on

Accomplishments

of

Government

Agencies .

—

The

heads of departments, bureaus, offices or agencies of the

government shall submit a semi-annual report of their

accomplishments, both work and financial results, in

accordance with such content and format as may be

prescribed

by

the

Secretary.

These reports shall be

designed and use for the purpose of monitoring the

efficiency and effectiveness with which budgeted funds

are

being

utilized,

and

generally

for

verifying

the

attainment of goals established in the budget process.

SECTION 57. Failure to Submit Reports . — Failure on

the part of agency heads, chief accountants, budget

officers, cashiers, disbursing officers,administrative and

personnel

officers,

and

other

responsible officers of

departments, bureaus, offices and agencies to submit

trial balances, work and financial plans, special budgets,

reports of operation and income, plans, special budgets,

reports of operation and income, current agency plantilla

of personnel and such other reports as may be necessary

and

required

by

the

Department

of

Budget

shall

automatically cause the suspension of payment of their

salaries until they have complied with the requirements

of

the

Department

of

Budget.

No

appropriation

authorized in the General Appropriations Act shall be

made

available

to

pay the salary of any official or

employee who violates the provisions of this section, in

addition to any disciplinary action that may be instituted

against such erring official or employee.

CHAPTER 7 Expenditure of Appropriated Funds

SECTION 58. Contracting of Activities . — Agencies

may

enter

into

contracts

with

individuals

or

organizations,

both

public

and

private,

subject

to

provisions of law and applicable guidelines approved by

the

President:

Provided ,

that

contracts

shall

be for

specific services which cannot be provided by the regular

staff of the agency, shall be for a specific period of time,

and shall have a definite expected output: Provided,

further , That implementing, monitoring and other regular

and recurring agency activities shall not be contracted

for, except for personnel hired on an individual and

contractual basis and working as part of the organization,

or as otherwise may be approved by the President:

Provided, finally , That the cost of contracted services shall

not exceed the amount that would otherwise be incurred

had the work been performed by regular employees of

government, except as may be authorized under this

section.

SECTION

59.

Authority

to

Receive

Additional

Compensation . — Officials and employees who are duly

appointed by competent authority to any position in

another government office or agency in a concurrent

capacity, may, in the discretion of the President, be

allowed to receive additional compensation in the form of

allowance or honorarium at such rates he shall fix and

subject to such conditions as he may prescribe. Such

additional

compensation

shall

be

paid

from

the

appropriations of the office or agency benefitting from

the concurrent service.

SECTION 60. Restrictions on Salary Increases . — No

portion of the appropriations provided in the General

Appropriations Act shall be used for payment of any

salary

increase

or

adjustment

unless

specifically

authorized by law or appropriate budget circular nor shall

any appropriation for salaries authorized in the General

Appropriations Act, save as otherwise provided for under

the Compensation and Position Classification Act, be paid

unless the positions have been classified by the Budget

Commission.

SECTION

61.

Merit

Increases .

— The budgets of

national

government

agencies

may

provide

for

a

lump-sum for merit increases, subject to such terms and

conditions as may be approved by the President. Such

lump-sum

shall

be

used

to

fund

salary

increases

approved

by

the

head

of agency in recognition of

meritorious performance: Provided , That the Civil Service

Commission and the Department of Budget shall jointly

issue the rules and regulations governing the granting of

such merit increases.

SECTION 62. Salary for Substitutionary Service . —

When an official or employee is issued a duly approved

appointment in a temporary or acting capacity to take

the place and perform the duties of another who is

temporarily absent from his post with pay, savings in the

appropriations of the department, bureau or office may

be used for the payment of his salary or differential,

subject to the approval of the Secretary.

SECTION 63. Additional Compensation for Overtime

Service .

—

Officials

and

employees of the National

Government,

when

required

to

work

overtime after

regular

working

hours

during

ordinary days, during

half-day sessions, or on Saturdays, Sundays and holidays,

by the heads of departments concerned, to finish work

that must be completed within a specified time, may be

paid

overtime

compensation

from

any

unexpected

balance of the appropriation for salaries and wages

authorized in the General Appropriations Act and under

such guidelines as may be issued by the President.

SECTION 64. Compensation of Persons Receiving

Pension . — A person receiving life pension, annuity, or

gratuity as a result of service in the national government

or

any

local

government

unit,

or

from

any

government-owned or controlled corporation, who is

reappointed to any position, the appropriation for the

salary of which is provided from funds of the office, shall

have the option to receive either the compensation for

the position, or the pension, gratuity or annuity, but in no

case shall he receive both.

SECTION 65. Prohibition of Voluntary Service . —

Unless otherwise specifically approved by the President,

no

person

shall

be

employed

or

appointed

in

the

government under the guise of voluntary service, with

compensation below the authorized hiring rate for the

position,

but

with

privilege

of

transportation and/or

© Compiled by RGL

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