TO:
WHEREAS, certain peculiarities inherent or unique to the operations and funds disbursement of an agency must be recognized;

WHEREAS, the adoption of stricter economy measures and improved funds control should not unduly burden an agency in carrying out its functions/activities;

WHEREAS, the nature of AFP and INP operations require some degree of flexibility in the disbursement of funds alloted to it;

WHEREAS, more than ever, because of the many factors that threaten the stability of our nation, the flexibility and operational effectiveness of the AFP must preserved;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Philippines, do hereby order and direct:

1. The logistics activities of the AFP and INP in support of the following are exempted from, the provisions of LOI 1408 and its implementing circulars/instructions:
   
   
   1. Combat/Security Operations
   2. Police Operations
   3. Civil Military Operations
   4. Disaster and Relief Operations
   
   
2. The above-mentioned exemptions are in additions to those provided in implementing circulars/instructions (OBM/COA/MIN OF FIN JR NO. 2-84 AND JC NO. 2-84-A) and those that may still be provided in the future.
   
   
3. Cash Disbursement Ceilings (CDC) for the above-mentioned transactions shall be valid for a period of one year from the date of issuance.

Done in the City of Manila, this 8th day of October, in the year of our Lord, nineteen hundred and eighty-four.