MALACAÑAN PALACE
MANILA

BY THE PRESIDENT OF THE PHILIPPINES

[ ADMINISTRATIVE ORDER NO. 197, October 08, 1990 ]

DIRECTING ALL NATIONAL GOVERNMENT AGENCIES OF THE GOVERNMENT TO LIMIT EXPENDITURES AND CASH DISBURSEMENTS FOR THE REMAINDER OF CY 1990

WHEREAS, government cash disbursements have substantially accelerated and exceeded the program contributing to the widening of the cash deficit;

WHEREAS, revenue collections may fall short of targets due to recent revenue reform measures;

WHEREAS, there is a pressing need to keep the cash deficit within programmed levels to support the economic reform program;

NOW, THEREFORE, I, CORAZON C. AQUINO, President of the Philippines, by virtue of the powers vested in me by law, do hereby order:

Section 1. All agencies of the national government shall limit expenditures and cash disbursements for the remainder of the year 1990 to those that are absolutely necessary to sustain operations and implement critical programs and projects. For this purpose:

a. All allotment releases for capital projects, except for foreign-assisted projects, earthquake-related expenditures, and projects which have already been bidded out or announced for bidding as of October 5, 1990, which have not yet been obligated shall be deferred to 1991; and

b. The Department of Budget and Management shall withdraw the equivalent of 20 percent of allotments already released for maintenance and other operating expenditures for the fourth quarter, except those sourced from loan and grant proceeds and those pertaining to the maintenance of roads, bridges, flood control facilities, school and hospitals.

All agencies shall identify the specific expenditure items which shall be withdrawn to satisfy items a and b above. Said expenditure items shall be submitted to the Department of Budget and Management not later than October 15, 1990.

Section 2. All agencies shall likewise submit to the Department of Budget and Management on or before October 15, 1990, a report on actual savings as of August 31, 1990, out of the following:

a. salary lapses due to unfilled positions except for those covered by court decisions; and

b. savings generated as a result of Administrative Order No. 177, S. of 1990.1aшphi1

Section 3. The Department of Budget and Management shall report the status of the implementation of this Administrative Order to the Office of the President on October 30, 1990.

Section 4. This Administrative Order shall take effect immediately.

DONE in the City of Manila, this 8th day of October, in the year of our Lord, nineteen hundred and ninety.

(Sgd.) CORAZON C. AQUINO
President of the Philippines

By the President:

(Sgd.) CATALINO MACARAIG, JR.
Executive Secretary


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