Be it enacted by the Senate and House of Representatives of the Philippines in Legislature assembled and by the authority of the same:

SECTION 1. All the shops of the Bureau of Public Works and the Marine Railway and Repair Shops at the Engineer Island are hereby consolidated and shall be known as the "Government Marine Railway and Repair Shops." The Director of Public Works shall administer these shops subject to the executive supervision and control of the Secretary of Public Works and Communications.

SEC. 2. Two hundred thousand pesos of the amount appropriated in Act Numbered Four thousand and seventy-four for the operation of the Marine Railway and Repair Shops and the reimbursable fund of fifty thousand pesos set aside in Act Numbered Four thousand and thirty-two for the operation of the Bureau of Public Works Machine Shop are hereby fused to constitute a reimbursable fund to be known as the Government Marine Railway and Repair Shops Fund for the operation of the herein consolidated shops on an income-earning or self-supporting basis. Upon the approval hereof, all the assets and liabilities of the shops above named shall be transferred to this fund. All income to be derived from the operation of the shops shall accrue to this fund, which shall be disbursed by the Director of Public Works, in accordance with an annual budget to be approved by the Cabinet: Provided, however, That in case the cash funds, are, at any time, insufficient to defray the operating expenses of the Government Marine Railway and Repair Shops, the Insular Treasurer, upon the request of the Director of Public Works and with the approval of the Cabinet, shall advance the necessary sums for such expenses from any unappropriated funds in the Insular Treasury in an amount not exceeding fifty per cent of the shop's accounts receivable, and such advanced funds shall be refunded to the Insular Treasury as soon as the accounts receivable are collected: Provided, further, That all positions of personnel that are employed throughout the year shall be shown in detail in the annual appropriation acts. Any surplus funds which in the opinion of the Cabinet are not necessary for the operation of the said shops shall revert to the general fund in the Insular Treasury.

SEC. 3. The income of the shops, except sufficient cash for emergency expenditures, shall be deposited with the Insular Treasury.

SEC. 4. As soon as possible after the close of each year, the Director of Public Works shall render a detailed financial report of the operation of the funds hereinbefore mentioned to the Secretary of Public Works and Communications, who shall furnish a copy thereof to the presiding officers of both Houses of the Philippine Legislature.

SEC. 5. The Philippine Government or any of its political subdivisions shall have all their repair works on floating equipment, machinery, and other equipment done at these shops, subject to such restrictions or limitations as may be provided in executive orders issued by the Governor-General.

SEC. 6. All acts or parts of acts inconsistent with the provisions of this Act are hereby repealed.

SEC. 7. This Act shall take effect upon its approval.

Approved, December 6, 1933.