1. PURPOSE

This Circular is issued to implement the increase in rates of specific forms of compensation authorized in RA 8174, the FY 1996 General Appropriations Act (GAA) and to prescribe the funding sources therefor.

2. REPRESENTATION AND TRANSPORTATION ALLOWANCES (RATA)

The monthly rates for each type of allowance shall be increased pursuant to Section 35 of the General provisions of the FY 1996 GAA as follows:

Department secretaries or equivalent P4,375

Department undersecretaries or equivalent 3,000

Assistant secretaries, bureau directors and department regional directors or equivalent 2,500

Assistant bureau directors, department assistant regional directors, bureau regional directors, department service chiefs or equivalent 2,125

Assistant bureau regional directors or equivalent 1,750

Chiefs of Division identified as such in the Personal Services Itemization 1,625

Payment of RATA shall be governed by the provisions of the said Section and National Compensation Circular (NCC) 67 dated January 1, 1992, as amended by NCC No. 67-A dated May 15, 1992.

3. UNIFORM AND CLOTHING ALLOWANCE

The Uniform and Clothing Allowance for each government personnel shall be increased to not more than P1,800 per annum pursuant to Section 39 of the General Provisions of the 1996 GAA. This allowance may be given in kind or in cash subject to the discretion of the department head concerned.

4. HAZARD DUTY PAY

Pursuant to Section 40 of the General Provisions of said GAA, Hazard Duty Pay shall not be less than P400 nor more than P600 per month. Payment thereof shall be based on the provisions of NCC No. 76, dated March 31, 1995

5. SPECIAL COUNSEL ALLOWANCE

Special Counsel Allowance which is allowed only to lawyer-personnel, including those designated to assume the duties of a legal officer and those deputized by the Office of the Solicitor General in the legal staffs of departments, bureaus, offices or agencies of the national government to appear in Court as Special Counsel in collaboration with the Solicitor General or Fiscals concerned, shall be increased to P450 for each court appearance but not exceeding a total of P1,800 per month pursuant to section 41 of the General Provision of the same GAA.

6. FUND SOURCE

6.1 For national government agencies, the incremental costs shall be charged against the corresponding lump-sum for each form of compensation. In case of deficiency or where no funds are appropriated therefor, the incremental cost shall be charged against savings from released allotment for current operating expenditures provided that all authorized mandatory expenses shall have been paid first.

6.2 For government-owned and/or -controlled corporations and government financial institutions, the incremental costs shall be charged against their respective corporate funds.

7. RESOLUTION OF ISSUES

Cases not covered by the provisions of this Circular shall be submitted to the DBM for resolution.

8. EFFECTIVITY

This Circular shall take effect January 1, 1996.

Adopted: 22 Jan. 1996