WHEREAS, the Philippine National Railways has been attached to the Office of the President for purposes of supervision;

WHEREAS, there is an urgent need to ensure the expeditious implementation of PNR projects, especially its Rehabilitation, Selective Modernization, and Mass Rail Transit Projects;

WHEREAS, rising prices of supplies for said projects require the same and the elimination of bureaucratic delay in their approval and implementation;

WHEREAS, corporate governing boards should be granted greater autonomy in line with the government reorganization effort;

NOW, THEREFORE, I, FERDINAND E. MARCOS, President of the Republic of the Philippines, by virtue of the powers vested in me by law, do hereby order that all bid proposals and proposed negotiated contracts for the rehabilitation and Selective Modernization projects of the PNR involving amounts of more then P100,000.00 should no longer be evaluated and approved by the Special Evaluation and Awards Committee created under Executive Order No. 356, dated December 3, 1971, but are hereby transferred directly to the Office of the President which should review and approve the same in accordance with existing laws or rules applicable thereto upon the recommendation of the PNR Board of Directors.

To further expedite the procurement of essential supplies and materials, the authority to approve bid proposals and proposed negotiated contracts involving P50,000 or less is hereby delegated to the PNR General Manager.

The provisions of existing orders and Rules and Regulations in conflict herewith are hereby modified or repealed accordingly.

Done in the City of Manila, this 2nd day of December, in the year of Our Lord, nineteen hundred and seventy-four.


By the President:

(SGD.) ALEJANDRO MELCHOR
Executive Secretary