MALACAÑAN PALACE
MANILA

BY THE PRESIDENT OF THE PHILIPPINES

[ Memorandum Circular No. 30, March 3, 1987 ]

CLARIFYING THE PROVISIONS OF EXECUTIVE ORDER NO. 696 DATED MAY 27, 1981 AS AMENDED BY EXECUTIVE ORDER NO. 771 DATED FEBRUARY 11, 1982, CONCERNING THE GRANT OF CESO RANK TO GRADUATES OF NATIONAL DEFENSE COLLEGE OF THE PHILIPPINES (NDCP) AND CAREER EXECUTIVE SERVICE DEVELOPMENT PROGRAM (CESDP)

In order to ensure uniform implementation of Executive Orders Nos. 696 and 771 dated May 27, 1981 and February 11, 1982, respectively, the following clarifications are hereby issued for the information and guidance of all concerned:

1. For purposes of salary adjustment of CESDP and NDCP graduates as provided for under both said executive orders, new appointment issued by the President is not necessary since what is being granted is only the salaries equivalent to those received by CESOs Rank V. What is to be submitted as required by CESB Circular No. 8, is a copy of their appointment to their present position, as certified by the Civil Service Commission.

2. Since the issuance of Executive Order No. 771, which is a corrective measure to prevent inequities in salary scale, reduced the equivalent CESO rank granted to the graduates of both institutions from rank III to rank V, the salaries of the officials who may have received that which is equivalent to salaries of CESOs Rank III should likewise be correspondingly reduced effective April 1, 1987.

Department heads of national government agencies where there are officials now enjoying the salaries and allowances pursuant to Executive Order No. 696 are hereby advised to immediately take steps in implementing the foregoing clarifications bearing in mind the rules and regulations embodied in Circular No. 8, series of 1982 of the Career Executive Service Board, and NCC No. 29 of the Department of Budget and Management, which are consolidated and hereby incorporated as an integral part hereof for convenience as follows:

TO : All Heads of Departments, Bureaus, Offices and Agencies of the National Government and All Other Concerned
SUBJECT : RULES AND PROCEDURES TO IMPLEMENT EXECUTIVE ORDER NO. 771 AMENDING EXECUTIVE ORDER NO. 696

1. PURPOSE

This Circular is being issued to provide rules and procedures to implement Executive Order No. 771 dated February 4, 1982, amending Executive Order No. 696.

2. COVERAGE

This Circular shall apply to all graduates of the Career Executive Service Development Program (CESDP) and of the National Defense College of the Philippines (NDCP), who now occupy regular positions in the national government and who have not yet been appointed to a CESO rank.

3. DEFINITION

CES eligibles are those officers who have successfully completed the CESDP and who have met all requirements of the Career Executive Service Board.

4. IMPLEMENTING GUIDELINES

A. Salary Rules

4.1 The salary of all graduates of the CESDP and NDCP who are CES eligibles, and who have not been appointed/designated by the President to CES positions, shall be adjusted to the full amount of Grade 2 of Rank V of the CES Compensation Schedule.

4.2 The salary of all graduates of the CESDP and NDCP who are not CES eligibles and who have not been appointed/designated by the President to CES positions, shall be adjusted to the full amount of Grade I of Rank V of the CES Compensation Schedule.

4.3 Incumbents appointed/designated by the President to CES positions in the CES ranking structure higher than Rank V, shall continue to receive the salary equivalent to the appropriate rank and grade to which their respective positions belong.

4.4 Incumbents of non-CES positions, whether CES eligible or not, whose present salary exceeds the salary provided for under 4.1 and 4.2, as the case may be, of this Circular, shall continue to receive their present salary.

4.5 For purposes of salary adjustment under this Circular, no subordinate official shall be adjusted to a salary rate beyond one salary grade lower than his immediate supervisor except in cases where, by explicit provision of law, they may be authorized with respect to incumbents of positions requiring highly specialized and technical expertise and/or belonging to special career system such as the scientific career system established under Executive Order No. 784.

B. Grant of Monthly Transportation and Representation Allowances

4.6 CESDP and NDCP graduates who are not CESOs nor designated in an Acting Capacity or as OIC of CES positions by competent authority are not entitled to the commutable transportation and representation allowances under the General Appropriations Act.

4.7 Those designated by competent authority in an Acting Capacity of Officers-In-Charge of CES positions who are CESDP or NDCP graduates, shall be allowed appropriate transportation and representation allowances on a reimbursement basis while discharging the functions of the position.

5. CESDP/NDCP graduates in Local Government Units are not yet embraced in the Career Executive Service and are therefore not entitled to the salary adjustments granted under Executive Order No. 771.

6. ADMINISTRATIVE PROCEDURE

6.1 The adjustment in salaries of officials/incumbents provided for in this Circular shall be implemented by the preparation of a Plantilla Adjustment Form herein prescribed and attached as Annex “A”, and by a Notice of Salary Adjustment as provided in Sec. 8.3 herein.

6.1.1 The Plantilla Adjustment Form shall be certified correct on each page by the respective head of the department/agency.

6.1.2 The original and five (5) copies of the approved Plantilla Adjustment Form shall be submitted to the Compensation and Position Classification Bureau (CPCB), Department of Budget and Management (DBM), which shall examine and verify said documents on the basis of its records and certify these accordingly. The CPCB-certified copies shall be distributed as follows:

6.1.2.1 one copy to the Commission on Audit for compliance with auditing requirements;

6.1.2.2 one copy to the Career Executive Service Board or National Defense College of the Philippines for records, control and other purposes;

6.1.2.3 one copy to the Civil Service Commission (CSC) (Central Office) or to the CSC Regional Office concerned;

6.1.2.4 one copy to the department/agency concerned for proper implementation;

6.1.2.5 the original shall remain with the CPCB for purposes of records and control.

6.2 The NDCP and the CESB shall submit to the DBM thru the CPCB a certified list of NDCP/CESDP graduates covered in this Circular.

7. FUNDING SOURCE

The salary adjustment authorized under this Circular shall be funded from salary lapses and other personal services savings. The remaining balance which cannot be supported by salary lapses and personal services savings shall be charged against the Salary Adjustment Fund. The additional amount necessary shall be reported immediately to the Department of Budget and Management for issuance of appropriate Advice of Allotment and Cash Disbursement Ceiling.

8. PAYMENT AND ACCOUNTING PROCEDURES

8.1 The Chief Accountant of each Department/Bureau/Office Agency concerned shall accomplish and submit to the DBM not later than fifteen (15) days from the end of a preceding month a statement of source of funds and actual payment of the salary increases made during the preceding month duly certified in the form prescribed in Annex “B”.

8.2 The salary adjustment provided under this Circular shall be subject to appropriate adjustment, upon review by CPCB, payments are found to be not in order. The recipient official shall be liable for the refund of any overpayment made.

8.3 The head of department/agency concerned shall notify the officials in writing of their adjusted salary under this Circular through a Notice of Salary Adjustment Form herein prescribed and attached as Annex “C”. A copy of the Notice of Salary Adjustment shall be furnished the GSIS, if the beneficiary is a member thereof.

8.4 The head of department/agency shall be held personally liable for any payment of salary adjustment not in accordance with the provision of this Circular, and for non-submission of the required reports, without prejudice, however, to the refund of any excess payments by the officials concerned.

8.5 All heads of departments/agencies shall submit the Plantilla Adjustment Form referred to in Paragraph 6.1 within 45 days from the receipt of this Circular.

9. CONTRIBUTIONS

The salary adjustments herein authorized are subject to the mandatory requirements of GSIS life and retirement insurance premiums if the recipient is a member of the GSIS and the Home Development Mutual Fund.

10. SAVING CLAUSE

Cases not covered by this Circular shall be referred to the Department of Budget and Management through the Compensation and Position Classification Bureau.1aшphi1

11. The salary adjustment of the officials involved in this Circular shall take effect April 1, 1987.

Compliance herewith is strictly enjoined.

By Authority of the President:

(Sgd.) FULGENCIO S. FACTORAN, JR.
Cabinet Secretary
and concurrently
Deputy Executive Secretary

March 3, 1987


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