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WHEREAS, it is the policy of the government to promote economy, efficiency and effectiveness in the delivery of public services;

WHEREAS, the successful performance by line departments and agencies of their mandated tasks can only be assured if auxiliary services are likewise adequately provided;

WHEREAS, in line with the principles of decentralization, autonomy and accountability, general services functions pertaining to building and real property management and supply coordination should be integrated with the regular responsibilities of government agencies having related functions;

WHEREAS, it is desirable to continue centralized coordination of records management and archival functions; and

WHEREAS, the need for an effective government printing and publication system requires the rationalization of all related existing resources of the government;

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

Declaration of Policy. It is hereby declared a policy of the State that, in line with the principles of decentralization, autonomy, accountability and optimization of the use of existing resources of the government, the conduct of certain general administration functions be vested in the appropriate government agencies.


Section 1. Abolition of the General Services Administration. The General Services Administration, hereunder referred to as the Administration, and its Building Services and are hereby abolished and their functions transferred to other agencies/entities in accordance with specific provisions of this Executive Order.

Such transfer shall include applicable appropriations, records, property and equipment, and such personnel as may be necessary.

Section 2. General Services Administration (Proper). The formulation, promulgation and execution of policies, rules and regulations on the performance of common administrative services, namely: building and real property management and supply coordination, are hereby transferred to the appropriate agencies specified in the succeeding sections.

Section 3. Building Services and Real Property Management Office. The functions of the Building Services and Real Property Management Office are hereby transferred, as follows:

1. To the Department of Public Works and Highways.
   

1. Overall custody and administration of government buildings, including development of criteria and standards on building services, allocation of government buildings to agency-users, and related activities;
   
   
2. Conduct of researches, studies and surveys to determine the space requirements of the government; need for maintenance, repair and alteration/improvement of buildings and grounds; and allocation of new buildings;
   
   
3. Inventory, inspection, appraisal and determination of the value of buildings owned by the national government;
   
   
4. Development of guidelines, criteria and standards on the reasonableness of rental rates in privately-owned buildings leased to government offices and vice-versa;
   
   
5. Disposal of government-owned buildings;
   
   
6. Determination of damage caused by natural calamities to government properties for purposes of insurance claims;
   
   
7. Designation of the building administrator for each government building.
   

2. To the Department of Environment and Natural Resources.
   

1. Custody and administration of commercial, industrial and urban properties under the management of the abolished Building Services and Real Property Management Office;
   
   
2. Sale, lease, rental or transfer of these commercial, industrial and urban lands.

3. To the Systems and Procedures Bureau, Department of Budget and Management
   

4. To the Building Administrator Designated by the Department of Public Works and Highways.
   (occupant or any of the occupants of the building)
   

5. To the Occupants of Government Buildings.
   

1. Day-to-day custody and administration of government buildings, including allocation of office space and rental of excess office space to private users, ordinary repair and maintenance, and related activities;
   
   
2. Provision of janitorial, security, messengerial and other "housekeeping" services, subject to the standards and guidelines developed by the Systems and Procedures Bureau, Department of Budget and Management.
   

Section 4. Supply Coordination Office. The functions of the Supply Coordination Office are hereby transferred, as follows:

1. To the Procurement Service, Department of Budget and Management.
   

1. Operation of a government-wide procurement system for common-use office supplies;
   
   
2. Monitoring of prices for common-use supplies, materials and equipment.
   

2. To the Systems and Procedures Bureau, Department of Budget and Management
   

1. Development of standards and specifications for common-use supplies, materials and equipment, in coordination with the Bureau of Products Standards of the Department of Trade and Industry and the Industrial Technology Development Institute of the Department of Science and Technology;
   
   
2. Design of an integrated supply management system for government;
   
   
3. Conduct of continuing studies designed to establish and maintain an improved purchasing system for government that would also serve as guide to agencies.
   

3. To the Different Line Departments and Agencies.
   

1. Procurement of supplies, materials and equipment peculiar to their operations;
   
   
2. Disposal of supplies, equipment and materials which are obsolete, forfeited, abandoned and surplus to their needs, subject to guidelines developed by the Systems and Procedures Bureau of the Department of Budget and Management and existing laws.
   

The Procurement Council created under LOI 755 dated October 18, 1978 is hereby abolished. Its functions pertaining to standards setting and policy/guidelines formulation are transferred to the Systems and Procedures Bureau, Department of Budget and Management.

To expedite disposal of unserviceable equipment and property, the Disposal Committee created in each Department and agency under Executive Order No. 888, dated March 18, 1983, is hereby reconstituted, as follows:

Representatives of:
Owning Department or agency Department of Budget and Management Commission on Audit	- Chairman - Member - Member

Section 5. Records Management and Archives Office. The Records Management and Archives Office, including its applicable appropriations, personnel, equipment, property, records and archival collections, is hereby transferred and attached to the Department of Education, Culture and Sports as a cultural agency.

The Secretary of Education, Culture and Sports is hereby authorized to reorganize the Office in consultation with and subject to the approval of the Department of Budget and Management, within one hundred twenty (120) days from the approval of this Executive Order.

Section 6. Creation of the National Printing Office. There is hereby created a National Printing Office but of the merger of the Government Printing Office and the relevant printing units of the Philippine Information Agency. The Office shall have exclusive printing jurisdiction over the following:

1. Printing, binding and distribution of all standard and accountable forms of national, provincial, city and municipal governments, including government corporations;
   
   
2. Printing of official ballots;
   
   
3. Printing of Public documents such as the Official Gazette, General Appropriations Act, Philippine Reports, and development information materials of the Philippine Information Agency.
   

The Office may also accept other government printing jobs, including government publications, aside from those enumerated above, but not in an exclusive basis.

The details of the organization, powers, functions, authorities, and related management aspects of the Office shall be provided in the implementing details which shall be prepared and promulgated in accordance with Section II of this Executive Order.

The Office shall be attached to the Philippine Information Agency.


Section 7. New Structure and Staffing Pattern. Upon approval of this Executive Order, the officers and employees of the abolished General Services Administration and its Offices shall, in a hold-over capacity pending implementation of the reorganization, continue to perform their respective duties and responsibilities and receive the corresponding salaries and benefits.

The new position structure and staffing pattern relative to the transferred functions shall be approved and prescribed by the Secretary of Budget and Management in consultation with the heads of the recipient agencies within one hundred twenty (120) days from the approval of this Executive Order and the authorized positions created thereunder shall be filled with regular appointments by the agency heads of by the President as the case may be. Those incumbents whose positions are not included therein or who are not reappointed shall be deemed separated from the service. Those separated from the service shall receive the retirement benefits to which they may be entitled under existing laws, rules and regulations. Otherwise, they shall be paid equivalent of one month basic salary for every year of service, or he equivalent nearest fraction thereof, favorable to them on the basis of highest salary received, but in no case shall such payment exceed the equivalent of twelve (12) months salary.

Section 8. Notice or Consent Requirement. If any organizational change herein authorized is of such substance or materiality as to prejudice third persons with rights recognized by law or contract such that notice to or consent of creditors is required to be made or obtained pursuant to any agreement entered into with any such creditors, such notice or consent requirement shall be complied with prior to the implementation of such reorganizational change.

Section 9. Prohibition Against Change. No change in the organization herein prescribed shall be valid except upon prior approval of the President for the purpose of promoting efficiency and effectiveness in the delivery of public services.

Section 10. Funding. Funds needed to carry out the provisions of this Executive Order shall be taken from funds available in the GSA and its four bureaus.

Section 11. Implementing Authority of the Secretary of Budget and Management. The Secretary of Budget and Management, in consultation with the heads of the respective agencies, shall issue such rules, regulations and other issuances as may be necessary to endure the effective implementation of the provisions of this Executive Order.

Section 12. Separability. Any portion or provisions of this Executive Order that may be declared unconstitutional shall not have the effect in their entirety.

Section 13. Repealing Clause. All laws, ordinances, rules, regulations, other issuances or part thereof, which are inconsistent with this Executive Order, are hereby repealed or modified accordingly.

Section 14. Effectivity Clause. This Executive Order shall take effect immediately upon its approval.

APPROVED in the City of Manila, Philippines, this 25th day of July, in the year of our Lord, Nineteen Hundred and Eighty-Seven


By the President:

(Sgd.) JOKER P. ARROYO
Executive Secretary