WHEREAS, national government agencies as well as government-owned and controlled corporations and government financial institutions have been authorized to celebrate and commemorate milestone anniversaries with the traditional grant of Anniversary Bonus to their officials and employees;

WHEREAS, it is deemed desirable and fitting to commemorate milestone anniversaries of Local Government Units as well by way of granting anniversary bonus to their employees;

NOW THEREFORE, I, FIDEL V. RAMOS, President of the Republic of the Philippines, by virtue of the power vested in me by law, do hereby order the extension of the grant of milestone Anniversary Bonus authorized under Administrative Order No. 263, dated March 28, 1996 to officials and employees in local government units, in accordance with rules and regulations to be issued for the purpose by the Department of Budget and Management. As defined under item 2.4 thereof, a milestone year refers to the 15th anniversary and to every fifth year thereafter.

This Order shall take effect immediately.

Adopted: 24 Feb. 1997

	(SGD.) FIDEL V. RAMOS
	President of the Philippines

(SGC.) RUBEN D. TORRES
Executive Secretary