[ Commonwealth Act No. 552, May 26, 1940 ]

AN ACT APPROPRIATING AMOUNTS FROM THE COCONUT OIL EXCISE TAX FUND COLLECTED ON AND AFTER JANUARY FIRST, NINETEEN HUNDRED AND THIRTY-NINE, FOR THE FISCAL YEAR ENDING JUNE THIRTIETH, NINETEEN HUNDRED AND FORTY-ONE.

Be it enacted by the National Assembly of the Philippines:SECTION 1. Appropriation of funds.- The following  sums, or so much thereof as may be necessary, are appropriated out of the collections that accrued and shall accrue to the Coconut Oil Excise Tax Fund in the Philippine Treasury on and after January first, nineteen hundred and thirty-nine, for the purpose hereunder specified in conformity with the provisions of the Act of Congress of March twenty-fourth, nineteen hundred and thirty-four (Public Act No. 127, 73rd Congress), as amended by the Act of Congress of August seventh, nineteen hundred and thirty-nine (Public Act No. 300, 76th Congress):

OFFICE OF THE PRESIDENT
1.	For scholarships in the United States, or in foreign countries, along scientific and technical lines related to the development of agriculture, commerce, and industries, and other activities, and for expenses of an economic projects and practices, that may help in the adjustment of philippine economy to a position independent of trade preference in the United States and otherwise prepare the Philippines for the assumption of the responsibilities of an independent state	P150,000.00
2.	For the promotion and development of the tourist trade in the Philippines to be undertaken by such department, corporation, agency, or instrumentality of the Government which the President of the Philippines may designate:
	Salaries and Wages	P19,000.00
	Sundry expenses and equipment	51,000.00
	Construction of resthouses in Dansalan, Lanac, and Banaue, Mountain Province	30,000.00
	Total	100,000.00
	Total for the Office of the President	P250,000.00
DEPARTMENT OF AGRICULTURE AND COMMERCE
3.	For reforestation and afforestation of watersheds, denuded areas and cogon or open lands within forest reserves, communal forests, national parks and timberlands, sand dunes, and such other areas already certified as public forest lands, in accordance with the provisions of Commonwealth Act No. 304:
	Salaries and wages	P91,300.00
	Sundry expenses	8,700.00
	Total	P1000,000.00
	Less amount to be covered by expected sayings from the allotments of 1940	36,298.04
4.	Additional appropriation to continue the reforestation and afforestation of watersheds, denuded areas and cogon or open lands within forest reserves, communal forests, national parks and timberlands, sand dunes, and such other areas already certified as public forest lands, in accordance with the provisions of Commonwealth Act No. 304:
	Salaries and Wages	P171,360.00
	Sundry expenses	41,233.00
	Furniture and equipment	6,290.00
	Special purpose	8,000.00
	Total	P226,883.00
	Less amount to be covered by expected savings from the allotments of 1940	1,883.00
	Net total	225,000.00
5.	For the classification, survey, and subdivision of agricultural lands of the public domain, especially those lying along national highways, in accordance with the provisions of Commonwealth Act No. 347:
	Salaries and Wages	P975,420.00
	Sundry expenses	283,045.00
	Furniture and equipment	29,075.00
	Total	P1,287,540.00
	Less amount to be covered by expected savings from the allotments of 1940	250,492.59
	Net total	1,037,047.41
6.	For the agronomical survey of the Philippines, in accordance with the provisions of Commonwealth Act No. 418:
	Salaries and wages	P167,280.00
	Sundry expenses	71,100.00
	Furniture and equipment	23,180.00
	Total	P261,560.00
	To be covered by an additional appropriation	(100,00.00)
	Net total	161,560.00
7.	Additional appropriation to continue the agronomical survey of the Philippines in accordance with the provisions of commonwealth Act No. 418 (see detail under item No. 6)	100,000.00
8.	For the expenses of the agricultural experiment and demonstration stations under the provisions of section 1754 of the Administrative Code:
	Salaries and Wages	P317,150.00
	Sundry expenses	81,500.00
	Furniture and equipment	57,250.00
	Special purposes	44,100.00
	Total	500,000.00
	Total for the Department of Agriculture and Commerce	P2,086.905.45
DEPARTMENT OF PUBLIC WORKS AND COMMUNICATIONS
9.	For the construction of national roads as authorized in items 5, 11, 13, 36, 38, and 42, under section 1-C(q) of Commonwealth Act No. 330	P2,500.913.40
10.	For the construction of flood control works on the Agno River System and the Pampanga River System as authorized in items D(w) and D(x) under section 1 of Commonwealth Act No. 330	4,000,000.00
11.	For the construction of irrigation systems as authorized by Commonwealth Act No. 369	1,000,000.00
	Total for the Department of Public Woks and Communications	P7,500,913.40
GOVERNMENT CORPORATIONS
12.	For additional outlay for the special fund created in Commonwealth Act, entitled "An Act appropriating amounts from the Coconut Oil Excise Tax Fund collected on and after January first, nineteen hundred and thirty-nine, on June thirtieth, nineteen hundred and forty", to be used for the establishment, equipment, maintenance, and operation of textile mills by any government-owned corporation or any agency or instrumentality of the Government which the President of the Philippines may designate	P1,500,000.00
13.	For additional outlay for the special fund created in Commonwealth Act, entitled "An Act appropriating amounts from the Coconut Oil Excise Tax Fund collected on and after January first, nineteen hundred and thirty-nine, for the period from January first, nineteen hundred and thirty-nine to June thirtieth, nineteen hundred and forty", to be used for the promotion of the abaca industry by the National Abaca and Other Fiber Corporation, created under Commonwealth Act No. 332, or any agency or instrumentality of the Government which the President of the Philippines may designate, whose aims shall be to improve the quality of abaca and to lower its cost of production and marketing so as to adequately meet the requirements of the local industry and foreign markets, with a view to placing this product in a position independent of trade preferences in the United States and otherwise so development and adjust the abaca industry as to contribute effectively in strengthening the national economy of the Philippines preparatory to the assumption of the responsibilities of an independent state	1,000,000.00
14.	For additional outlay for the special fund created in Commonwealth Act, entitled "An Act appropriating amounts from the Coconut Oil Excise Tax Fund collected on and after January first, nineteen hundred and thirty-nine, for the period from January first, nineteen hundred and thirty-nine, to June thirtieth, nineteen hundred and forty", to be used for the acquisition, settlement, and cultivation of undevelopment agricultural lands, for providing oppurtunity to own farms to tenant farmers and small farmers from congested areas, and for encouraging migration to sparsely populated regions and facilitating the amalgamation of the people in different sections of the Philippines, for the purpose of developing new crops that could take the place of the present export crops which may suffer from the loss of preferences which they enjoy in the American markets and otherwise help in the adjustment of the national economy of the Philippines so as to prepare the latter for the assumption of the responsibilities of an independent state, such activities to be undertaken by the National Land Settlement Administration, created under Commonwealth Act No. 441, or any agency or instrumentality of the Government which the President of the Philippines may designate	4,000,000.00
15.	For additional outlay for the special fund created in Commonwealth Act, entitled "An Act appropriating amounts from the Coconut Oil Excise Tax Fund collected on and after January first, nineteen hundred and thirty-nine, for the period from January first, nineteen hundred and thirty nine, to June thirtieth, nineteen hundred and forty", to be administered by the Agricultural and Industrial Bank of the Philippines, created under Commonwealth Act No. 459, for carrying out of the following objectives: (1) to grant agricultural loans; (2) to grant industrial loan; (3) to establish and operate bonded warehouses; and (4) to subscribe for, underwrite, purchase, or guarantee bonds issued by non-governmental agricultural or industrial concerns; Provided, That in accomplishing the above enumerated objectives the purpose shall be to adjust Philippine economy to a position in dependent of trade preferences in the United States and otherwise to prepare the Philippines for the assumption of the responsibilities of an independent state	10,000,000.00
16.	For additional outlay for the special fund created in Commonwealth Act, entitled "An Act to establish the National Coconut Corporation," to be used for the promotion of the coconut industry to be undertaken by any department, office, government-owned corporation, agency, or instrumentality of the Government which may be created or which the President of the Philippines may designate, and whose aims shall be to afford facilities for bona fide production loans to Philippine copra producers and to establish, keep, maintain, and operate drying plants or copra driers or coconut centrals with a view to improving the production, and maintaining facilities for the better curing of copra, as well as coconut centrals for the utilization of coconut products and by-products in the Philippines for the purpose of placing the coconut industry in a position independent of trade preferences in the United States	500,00.00
17.	For additional outlay for the special fund created in Commonwealth Act, entitled "An Act to establish the National Tobacco Corporation", to be used for the promotion of the tobacco industry to be undertaken by any department, Office, Government-Owned corporation, agency, or instrumentality of the Government which may be created or which the President of the Philippines may designate, and whose aims shall be to improve the quality and to lower the cost of production and marketing of tobacco and the products derived therefrom by providing proper and adequate agencies for improving the quality of the various types and varieties of leaf tobacco grown in commercial scale in the Philippines and for merchandising and advertising leaf tobaco and manufactured tobaccom products, as well as credit facilities for such agencies, so as to adequately meet the requirements of the local industry and foreign markets with a view to placing the tobacco industry in a position independent of trade preferences in the United States and otherwise so development and adjust the tobacco industry as to contribute effectively in strengthening the national economy of the Philippines preparatory to the assumption of the responsibilities of an independent state	500,000.00
18.	For the creation of a Sinking Fund Reserve for the amortization of the outstanding bonded debt of the Manila Railroad Company for which no sinking fund reserve has heretofore been provided	P7,000,000.00
	Total for Government Corporations	24,500,000.00
	GRAND TOTAL	P34,337,818.85

SEC. 2. Reduction of appropriations previously authorized for the same purposes. The appropriations authorized in prior Acts herein specified for the same purposes for which appropriations made in this Act are intended are reduced to the extent of the amounts of the latter.SEC. 3. Investment of Sinking Fund Reserve. The Treasurer of the Philippines is authorized to invest the whole or any part of the Sinking Fund Reserve created in item 18 of section one hereof in accordance with the provisions of act Numbered Three thousand fourteen. All expenses in connection with such investment shall be charge against the said sinking fund reserve.SEC. 4. Reversion of unexpended balances. Any balance of the appropriations herein provided remaining unexpended at the end of the fiscal year for which authorized shall continue to be available for expenditure for the same purposes during the subsequent fiscal years until exhausted, or the work or purpose for which the appropriation was made has been completed or accomplished. In the latter case, such unexpended balance shall revert to the unappropriated surplus of the fund.SEC. 5. Authority of the President to transfer amounts. The President of the Philippines is authorized to transfer any amount appropriated for any item or portion thereof in any purpose to any other item or items under the same purpose.SEC. 6. Suspension of expenditure of appropriations. - The President of the Philippines is authorized to suspend or otherwise stop the expenditure of any amount herein appropriated for any purpose, or any portion thereof, whenever in his opinion the public interest so requires, and there-upon the funds affected by such action shall become available for any other expenditure authorized in this Act as the President may determine.SEC. 7. Authority to purchase automobiles, auto-jitneys, or station wagons.- When expressly aothorized by the President of the Philippines, the appropriations authorized in items 13, 14, 15, 16, and 17 of section one hereof may be used for the purchase of automobiles, auto-jitneys, or station wagons.SEC. 8. Purpose for which appropriations may be used. - The amounts appropriated in this Act shall be used for the purpose of meeting new or additional expenditures necessary in adjusting Philippine economy to a position independent of trade preferences in the United States and in preparing the Philippines for assumption of the responsibilities of an independent state, and shall be accounted for separately from other moneys of the Government of the Commonwealth of the Philippines: Provided, That no part of the appropriation herein authorized shall be paid directly or indirectly as a subsidy to the producers or processors of copra, coconut oil, or allied products, except that this provision shall not be contrued as prohibiting the use of a portion of said appropriation for facilities for better curing of copra, or for bone fide production loans to Philippine copra producers.SEC. 9. Effective date. - This Act shall take effect on July first, nineteen hundred and forty.Approved, May 26, 1940.

Source: Supreme Court E-Library