WHEREAS, the functions pertaining to the development and regulation of shipping enterprises are fragmented among various government agencies, resulting in inadequate and inefficient shipping facilities, dependence on external shipping interests, maldistribution of commodities, and piece-meal solutions;
WHEREAS, there is imperative need to modernize and expand the Philippine merchant fleet, and to rationalize and improve their operations in order to make them effective instruments in promoting domestic production, inter-island and overseas trade, price stabilization, and employment generation;
WHEREAS, it is urgently necessary to provide a strong organizational framework to effect the accelerated and integrated development and effective regulation of shipping enterprises;
NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, by virtue of the powers vested in me by the Constitution, in order to effect the desired changes and reforms in the social, economic and political structure of our society, do hereby decree and order that the following be adopted and made part of the laws of the land:
SECTION 1 Title.—This Decree shall be known as the Maritime Industry Decree of 1974.
SEC. 1. Declaration of Policies and Objectives.—It is hereby declared the policy of the State to accelerate the Integrated development of the maritime industry of the Philippines to attain the following objectives: (a) To increase production and productivity in the various islands and regions of the archipelago through the provision of effective sea linkage; (b) To provide for the economical, safe, adequate and efficient shipment of raw materials, products, commodities and people; (c) To enhance the competitive position of Philippine flag vessel in the carriage of foreign trade; (d) To strengthen the balance of payments position by minimizing the outflow of foreign exchange and increasing dollar earnings; (e) To generate new and more job opportunities.
For the attainment of these objectives, the Government through the Maritime Industry Authority hereinafter created shall:
A. MARITIME INDUSTRY AUTHORITY
SEC. 4. Maritime Industry Authority, Creation and Organization.—There is hereby created a Maritime Industry Authority, hereinafter referred to as the "Authority", under the Office of the President. It shall be composed of a governing board of directors to be known as Maritime Industry Board and the Management.
The Authority shall have general jurisdiction and control over all persons, corporations, firms or entities in the maritime industry of the Philippines and shall supervise, regulate in accordance with this Decree.
The principal office of the Authority shall be in the Greater Manila Area. Regional or branch offices may be established at such other place or places within the Philippines as may be deemed necessary by the Board.
SEC. 5. Maritime Industry Development Program.—The Authority shall prepare and annually update a Ten-Year Maritime Industry Development Program, hereinafter referred to as "Program" which shall contain a rational and integrated development of the maritime industry. The Authority shall submit the same for approval by the President of the Philippines.
Upon approval of the Program by the President, all government departments, bureaus, agencies, and instrumentalities shall implement the same within their respective jurisdictions. The Authority shall ensure that the approved program is being effectively implemented by the participating agencies. No government body or instrumentality shall adopt any policy or take course of action contrary to or inconsistent with the Program.
B. MARITIME INDUSTRY BOARD
SEC. 6. Powers and Functions of the Board.—The Maritime Industry Board shall have the following powers, functions, and duties, among others:
SEC. 7. Composition and Organization.—The Board shall be composed of eight members as follows: The Secretary of Trade, the Secretary of Public Works, Transportation and Communications, the Secretary of National Defense, the Executive Secretary, the Chairman of the Board of Investments, the Chairman of the Development Bank of the Philippines, the Chairman of the Board of Transportation and the Maritime Administrator. The Chairman of the Board shall be appointed by the President of the Philippines from among its members.
The official next in rank to the regular members shall serve as permanent alternate members, except that, in the absence of the Chairman, the Board shall elect a temporary presiding officer. The alternate members shall attend meetings of the Board and committees assigned to their principals and receive the corresponding per diems whenever their principal is absent or the said position is vacant.
The Board shall meet regularly once a month and may hold special meetings to consider urgent matters upon call of the Chairman or any three members thereof. A majority shall constitute a quorum for the transaction of business.
Each members shall receive a monthly commutable allowance of five hundred pesos and per diem of one hundred for every meeting of the Board or committee thereof actually attended: Provided, That the total amount of per diems which each may receive shall not exceed five hundred pesos a month.
C. MANAGEMENT
SEC. 8. Management Head.—The management of the
Authority shall be vested in the Maritime Administrator who shall be
directly assisted by the Deputy Administrator for Planning and a Deputy
Administrator for Operations hereinafter referred to as "Deputy
Administrators."
SEC. 9. The Maritime Administrator and Deputy Administrator.—The Maritime Administrator and Deputy Administrators shall be appointed by the President for a term of six years: Provided, That upon the expiration of their respective terms, they shall continue to serve until their successor shall have been appointed and qualified: Provided, further, That no vacancy shall be filled except for the unexpired portion of the term: Provided, finally, That the President may remove the Administrator and Deputy Administrators from office for cause upon recommendation of the Board.
The Maritime Administrator and Deputy Administrators shall be citizens of the Philippines, at least thirty-five years old on the date of their appointment, of good moral character, or recognized executive ability and competence in previous public or private employment, with adequate training and experience in economic, technology, finance, law, management, public utility, or in other phases or aspects of the maritime industry. Until otherwise fixed by the Board, the Administrator shall receive an annual salary of fifty thousand pesos and a monthly commutable allowance of two thousand pesos. Each Deputy Administrator shall receive an annual salary of forty thousand pesos and a monthly allowance of one thousand five hundred pesos.
The Administrator shall be directly responsible to the Board, and shall have powers, functions and duties as provided in this Decree. The Deputy Administrator shall be directly responsible to the Administrator, and their respective powers, functions and duties shall be determined by the Board, upon recommendation of the Administrator.
SEC. 10. Authority to Administer Oath.—The Chairman of the Board, the Administrator, the Deputy Administrators, the- Chief Legal Officer and heads of divisions of the Authority shall have the power to administer oaths for the transaction of official business.
SEC. 11. General Powers and Functions of the Administrator.—Subject to the general supervision and control of the Board, the Administrator shall have the following general powers, functions and duties:
SEC. 12. Specific Powers and Functions of the Administrator.—In addition to his general powers and functions, the Administrator shall:
SEC. 13. Maritime Industry Manpower Needs.—The Authority shall establish and support a system of maintaining and developing a reservoir of trained manpower to meet the current and future needs of the industry. For the attainment of this objective, it shall undertake the following:
SEC. 14. Penalties.—Any person who gives false or misleading data or information wilfully or through gross negligence, conceals or falsifies a material fact, in any investigation, inquiry or hearing, or other proceedings held pursuant to this Decree, shall be punished with imprisonment of not less than two nor more than six months and with a fine of not less than five hundred nor more than one thousand pesos: Provided, however, That if the false or misleading data or information shall have been given under oath, the maximum penalty for giving false testimony or perjury shall be imposed.
D. MISCELLANEOUS PROVISIONS
SEC. 15. Auditor.—The Commission on Audit shall be the ex-officio Auditor of the Authority and it shall appoint its representative therein, who shall audit all accounts thereof.
SEC. 16. Reorganizational Changes.—
In addition to the powers and functions herein transferred, balances of all appropriations, funds, accounts and notes receivable derived from shipping companies, equipment, records and supplies are likewise transferred to the Authority.
SEC. 17. Retention of the Functions and Powers of the Philippine Coast Guard.—Nothing in this Decree shall be constructed to affect or delimit the present functions and powers of the Philippine Coast Guard relative to maritime affairs. All such functions and powers of the Philippine Coast Guard are retained by it. Furthermore in the performance of its functions, especially in the classification and inspection of vessels, the Philippine Coast Guard will be assisted by the Authority: Provided, That within two years from the issuance of this Decree, the President may transfer to the Authority such regulatory functions of the Philippine Coast Guard pertaining to maritime affairs as may be necessary for the achievement of the aims and purposes of the Authority. The Authority shall coordinate with the Philippine Coast Guard in the exercise of supervision and regulation of the operations of water transport utilities.
SEC. 18. Coordination with Other Agencies.—The Authority shall coordinate with the Department of Labor, the Department of Education and Culture and the National Manpower and Youth Council in the exercise of its pertinent functions that have relation to the functions of the above-mentioned agencies, particularly as these pertain to the development of trained and qualified seamen for Philippine vessels.
In order to strengthen its coordinative functions, the Authority shall hire and train appropriate technical personnel which may be assigned to other government agencies involved in the implementation of laws, rules and regulations relative to maritime affairs.
SEC. 19. Transitory Provision.—Officials and employees of all existing offices or agencies which are abolished or reorganized under this Decree may be absorbed into the Authority on the basis of merit and fitness: Provided, That employees who shall be laid off by reason of this Decree shall be given gratuity equivalent to one month's salary for every year of service but in no case more than twenty-four months salary, in addition to all benefits to which they are entitled under existing laws and regulations.
To carry out the provisions of this Section there is hereby appropriated the sum of Five-Hundred Thousand Pesos out of the unappropriated funds in the National Treasury.
SEC. 20. Appropriations.—To carry out the provisions of this Decree, there is hereby appropriated the sum of two million pesos out of the funds in the National Treasury not otherwise appropriated. Thereafter, the succeeding appropriations of the Authority shall be included in the Annual Appropriations Act.
In addition to the above, the Authority is hereby authorized to retain fifty per cent of its collections from fees, charges and fines to defray any deficiency in annual appropriations and to finance its other projects.
SEC. 21. Repealing and Separability Clauses.—All laws, decrees, orders, rules and regulations, policies, programs or parts thereof, which are inconsistent with any of the provisions of this Decree, are hereby repealed or modified accordingly.
If for any reason any section or provision of this Decree is declared to be unconstitutional or invalid, the other sections or provisions hereof, which are not affected thereby, shall continue in full force and effect.
SEC. 22. Effectivity.—This Decree shall take effect upon its promulgation: Provided, That these portions hereof which may require a transition period to assure the orderly transfer of powers and functions shall take effect as stated in the implementing details: Provided, further, That such implementing details shall be prepared by the Board, in consultation with the government agency heads concerned, and submitted to the President for approval within four months after issuance of this Decree.
Done in the City of Manila, this 1st day of June, in the year of Our Lord, nineteen hundred and seventy-four.
(Sgd.) |
FERDINAND E. MARCOS | ||||||
President of the Philippines | |||||||
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By the President: | ||||||
(Sgd.) |
ALEJANDRO MELCHOR | ||||||
Executive Secretary |