Section 6Sec./Art. 6

Authority of the President to Optimize the Operations of the Executive Branch. - The President is hereby granted the following authority in optimizing the operations of the different agencies in the Executive Branch:

(a) To pursue the following functions shifts or modifications:

(1) Strengthen the functions of the agency that directly contribute to the targeted ultimate societal outcomes of the National Government and/or the targeted sector or subsector outcomes of the agency;

(2) Scale down, phase out, eliminate, or discontinue functions, programs, projects, or activities that can be better carried out or undertaken by the private sector, or have already been developed to LGUs consistent with the governing principles provided in this Act; and

(3) Transfer or integrate functions from one (1) agency to another which can better perform the same, or split functions of agencies, bureaus, and offices that may be conflicting or multifarious; and

(b) To implement the following organizational and staffing actions, upon determination by the COEB that it is in the best interest of the State to create, reorganize, merge, streamline, abolish, or deactivate agencies, offices, or units:

(1) Merge or consolidate agencies whose functions are unnecessarily overlapping or duplicating and can be undertaken by a single entity, or whose clients are similar or related, to rationalize the use of government resources;

(2) Transfer agencies, units, or positions to another department, agency, or unit where their functions are more aligned;

(3) Split agencies or units with multifarious functions that are distinct but equally important aspects of governance;

(4) Create new agencies, offices, or positions, as needed, to strengthen the capacity of government agencies to perform their mandate;

(5) Regularize ad hoc offices whose functions are vital and significant, and must continuously be undertaken by the government; and

(6) Abolish or deactivate agencies or units, subject to evaluation and favorable recommendation of the COEB, based on any of the following grounds: (a) the functions are already redundant, no longer relevant or necessary, or can be better undertaken by another entity or subsumed under other departments/agencies/units; (b) the agency is no longer achieving the objectives and purposes for which it was originally created; (c) the agency's continued operation is not cost-effective since it does not generate the desired level of outputs and outcomes vis-a-vis the resource inputs; or (d) the agency or unit has become non-operational or dormant and/or has outlived its purpose.