Article 17p. 17

ADMINISTRATIVE CODE AND LAW OF PUBLIC OFFICERS TEXT AND RULES

(2) The reports shall contain concise statements of

accomplishments

and

assessment

of

the

progress

attained in terms of approved programs and projects,

including pertinent financial statements on expenditures

incurred in their implementation during the calendar

year. Broad recommendations and plans for undertaking

work

during

the

ensuing

period

shall

be

included

together with matters specifically required by law or

regulation to be incorporated therein.

CHAPTER 7 Administrative Relationships

SECTION

38.

Definition

of

Administrative

Relationships . — Unless otherwise expressly stated in the

Code or in other laws defining the special relationships of

particular agencies, administrative relationships shall be

categorized and defined as follows:

(1) Supervision and Control . — Supervision and control

shall include authority to act directly whenever a specific

function is entrusted by law or regulation to a

subordinate; direct the performance of duty; restrain the

commission of acts; review, approve, reverse or modify

acts and decisions of subordinate officials or units;

determine priorities in the execution of plans and

programs; and prescribe standards, guidelines, plans and

programs. Unless a different meaning is explicitly

provided in the specific law governing the relationship of

particular agencies, the word "control" shall encompass

supervision and control as defined in this paragraph.

(2) Administrative Supervision . — (a) Administrative

supervision

which

shall

govern

the

administrative

relationship between a department or its equivalent and

regulatory agencies or other agencies as may be provided

by law, shall be limited to the authority of the department

or its equivalent to generally oversee the operations of

such agencies and to insure that they are managed

effectively,

efficiently

and

economically

but

without

interference with day-to-day activities; or require the

submission

of

reports

and

cause

the

conduct

of

management

audit,

performance

evaluation

and

inspection

to

determine

compliance

with

policies,

standards and guidelines of the department; to take such

action as may be necessary for the proper performance of

official

functions, including rectification of violations,

abuses and other forms of maladministration; and to

review and pass upon budget proposals of such agencies

but may not increase or add to them;

(b) Such authority shall not, however, extend to: (1)

appointments and other personnel actions in accordance

with the decentralization of personnel functions under

the Code, except when appeal is made from an action of

the appointing authority, in which case the appeal shall

be initially sent to the department or its equivalent,

subject to appeal in accordance with law; (2) contracts

entered into by the agency in the pursuit of its objectives,

the review of which and other procedures related thereto

shall

be

governed

by

appropriate

laws,

rules

and

regulations; and (3) the power to review, reverse, revise, or

modify

the

decisions

of

regulatory

agencies

in the

exercise of their regulatory or quasi-judicial functions; and

(c) Unless a different meaning is explicitly provided in

the specific law governing the relationship of particular

agencies,

the

word

"supervision"

shall

encompass

administrative supervision as defined in this paragraph.

(3)

Attachment .

—

(a)

This

refers

to

the

lateral

relationship between the department or its equivalent

and the attached agency or corporation for purposes of

policy and program coordination. The coordination may

be accomplished by having the department represented

in

the

governing

board

of the attached agency or

corporation, either as chairman or as a member, with or

without voting rights, if this is permitted by the charter;

having the attached corporation or agency comply with a

system

of periodic reporting which shall reflect the

progress

of

programs and projects; and having the

department or its equivalent provide general policies

through its representative in the board, which shall serve

as the framework for the internal policies of the attached

corporation or agency;

(b) Matters of day-to-day administration or all those

pertaining to internal operations shall be left to the

discretion or judgment of the executive officer of the

agency or corporation. In the event that the Secretary

and the head of the board or the attached agency or

corporation strongly disagree on the interpretation and

application of policies, and the Secretary is unable to

resolve the disagreement, he shall bring the matter to the

President for resolution and direction;

(c)

Government-owned

or

controlled

corporations

attached to a department shall submit to the Secretary

concerned their audited financial statements within sixty

(60) days after the close of the fiscal year; and

(d)

Pending

submission

of the required financial

statements, the corporation shall continue to operate on

the

basis

of

the

preceding year's budget until the

financial statements shall have been submitted. Should

any government-owned or controlled corporation incur

an operating deficit at the close of its fiscal year, it shall

be

subject

to

administrative

supervision

of

the

department; and the corporation's operating and capital

budget shall be subject to the department's examination,

review, modification and approval.

CHAPTER 8 Supervision and Control

SECTION 39. Secretary's Authority . — (1) The Secretary

shall have supervision and control over the bureaus,

offices, and agencies under him, subject to the following

guidelines:

(a) Initiative and freedom of action on the part of

subordinate units shall be encouraged and promoted,

rather than curtailed, and reasonable opportunity to act

shall be afforded those units before control is exercised;

(b) With respect to functions involving discretion,

experienced judgment or expertise vested by law upon a

subordinate

agency,

control

shall

be

exercised

in

accordance with said law; and

(c) With respect to any regulatory function of an

agency subject to department control, the authority of

the department shall be governed by the provisions of

Chapter 9 of this book.

(2)

This

Chapter

shall

not

apply

to

chartered

institutions

or

government-owned

or

controlled

corporations attached to the department.

SECTION

40.

Delegation

of

Authority .

—

The

Secretary or the head of an agency shall have authority

over and responsibility for its operation. He shall delegate

such authority to the bureau and regional directors as

may be necessary for them to implement plans and

programs adequately. Delegated authority shall be to the

extent necessary for economical, efficient and effective

implementation

of

national

and

local

programs

in

accordance with policies and standards developed by

each department or agency with the participation of the

regional directors. The delegation shall be in writing; shall

indicate to which officer or class of officers or employees

the delegation is made; and shall vest sufficient authority

to

enable

the

delegate

to

discharge

his

assigned

responsibility.

SECTION 41. Line Bureau Authority . — (1) Line bureaus

of a department shall exercise supervision and control

over their regional and other field offices. They shall be

directly

responsible

for

the

development

and

implementation

of

plans and programs within their

respective functional specializations; and

(2) The regional and other field offices shall constitute

the operating arms of the bureau concerned for the

direct implementation of the plans and programs drawn

up in accordance with approved policies and standards.

As counterparts of the bureau in the region, they shall

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