PHILIPPINE LAWS, STATUTES & CODES
PHILIPPINE LAWS, STATUTES AND CODES - CHAN ROBLES VIRTUAL LAW
ACT NO. 5526
REPUBLIC ACT NO. 5526 - AN
ACT ESTABLISHING THE FOREST PRODUCTS RESEARCH AND INDUSTRIES
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1. Title. – This Act shall be known as the "Forest
Products Research and Industries Development Act of 1969."
Sec. 2. Integration with NSDB; Reconstitution of
Office; Supervision and Transfer of Property. – In order to effectively
accelerate, expand and promote the full development, operations,
industrial integration and productivity of forest products industries
of the Philippines, the Forest Products Research Institute is hereby
modified and integrated with the National Science Development Board,
hereinafter referred to as "NSDB," and reconstituted as the Forest
Products Research Institute Development Commission, hereinafter
referred to as "FORPRIDECOM," which shall take over the powers, duties
and functions of the Forest Products Research Institute as created by
Reorganization Plan Numbered Seventy-seven under Republic Act Numbered
Nine hundred and ninety seven, as amended by Republic Act Numbered One
thousand two hundred and forty-one and implemented by Executive Order
Numbered Two hundred and fifty-seven, dated July five, nineteen hundred
fifty-seven. The "FORPRIDECOM" shall be under the supervision of the
"NSDB". All personnel of the Forest Products Research Institute,
including all its appropriations, equipments, facilities and properties
are hereby transferred to the "FORPRIDECOM."
Sec. 3. Creation of FORPRIDECOM Council. – There
is hereby created and established a Forest Products Research and
Industries Development Council, hereinafter referred to as the
"Council, to serve as the policy-making body of the "FORPRIDECOM. The
powers of the "FORPRIDECOM" shall be vested in the Council subject to
the approval by the "NSDB."
Sec. 4. Composition of FORPRIDECOM Council. – The
Council shall be composed of five members; the Director Of Forestry who
shall serve as Chairman of the Council, the Dean of the College of
Forestry, University of the Philippines, and three others to be
appointed by the Chairman of the "NSDB." Of the three appointive
members, one shall come from the lumber industry, one from other forest
industries, and one from the general public, in the absence or in the
event of the incapacity of the Chairman, the members of the Council
present at any meeting of this Council shall elect from among
themselves an acting chairman who shall preside during the meeting. The
council shall have a secretary who shall be appointed by the
Commissioner subject to the approval of the Council.
Sec. 5. Term of Membership. – The term of the
appointive members shall be three years except that the members
initially appointed shall serve for the period specified in their
appointments, one for a term of one year, one for a term of two years,
and one for a term of three years, Provided, That any person chosen to
fill any vacancy shall serve only for the unexpired term of the members
whom he succeeds.
Sec. 6. Compensation. – For actual attendance at a
Council meeting, the Chairman and members shall receive a per diem of
fifty pesos each.
Sec. 7. Prohibition. – Whenever any member has a
direct personal or financial interest in any matter under discussion,
or any of his relatives within the third degree of consanguinity or
affinity has such interest, such member shall abstain from the
discussion of the matter and shall retire from the meeting during
deliberation. The withdrawal of such member shall be noted in the
minutes of the meeting.
Sec. 8. Quorum, Meetings, Principal Office and
Seal. – The Council shall be convened in a regular meeting at least
once a month, but shall not hold more than two special meetings a
month. The presence of three members shall constitute a quorum. The
principal office of the Council shall be at College, Laguna, where its
meetings shall be held, but, whenever public convenience and interest
may be served at any other designated place in the Philippines. The
Council shall provide the "FORPRIDECOM" with an official seal which
shall be preserved in the custody of the Commissioner.
Sec. 9. General Powers and Duties of the Council.
– The Council shall have the following powers and duties;
(1) To perform such acts, conduct investigations,
prescribe and amend orders, make and amend general or special rules,
regulations and procedures, pursuant to and consistent with the
provisions of this Act, as it may deem necessary to carry out the
pertinent policies, provisions and intent under this Act.
(2) To appoint suspend or relieve for cause the
Commissioner, subject to the approval of the "NSDB" Chairman.
(3) Upon recommendation of the Commissioner, to
approve punishment, suspension or relief, for cause, of the Internal
Auditor, subject to the concurrence of the "NSDB" Chairman.
(4) Upon recommendation of the Commissioner, to
approve appointment, punishment, suspension or relief, for cause, of
the Deputy Commissioner and Associate Commissioners, subject to the
concurrence of the "NSDB" Chairman.
(5) To recommend to the "NSDB" final approval of the
regular and such supplemental budgets which may be submitted to it by
the Commissioner; Provided, That any requests for congressional
appropriation shall be submitted to and in the form prescribed by the
(6) To prepare its annual report, which shall
contain, in addition to the work performed under this Act, such
information and data collected by it as may be considered of value in
the development of industries for the wise and profitable utilization
of forest products, together with recommendations as it may deem
necessary; it may also transmit recommendations to the proper
authorities of legislative measures which may be considered necessary.
(7) Upon recommendation of the Commissioner, to
authorize the giving of awards, honoraria and additional compensation
for deserving researchers, inventors and other employees of the
"FORPRIDECOM" as may be most conducive towards the attainment of
maximum efficiency, exceptional recognition and meritorious
accomplishment subject to the approval of the "NSDB" Chairman.
(8) To review and approve implementing details of
staffing pattern, compensation, functions and duties of the
organization of "FORPRIDECOM" as submitted by the Commissioner, subject
to the approval of the "NSDB" Chairman.
(9) To engage the service of highly competent
technical men to advise the council on special matters deemed necessary
to be deliberated upon in any of its meetings.
(10) To promote and, in its discretion, assist in the
establishment of private foundations for scientific advancement as well
as specific research and development projects on forest products by
private individuals, firms and foundations. All funds contributed to
the support and maintenance of such foundations and their projects as
well as specific research and development projects undertaken by
private individuals and educational institutions, shall be tax-exempt
and deductible from the donor's income tax returns, upon certification
by the Council and approval of the NSDB Chairman that such foundations
and funds are dedicated to scientific pursuits. All income of whatever
kind and character which such foundations may derive from any of their
properties, real or personal, or from their investment shall also be
SECTION 10. Technical Advisory Panel. – Retired
directors of the Forest Products Research Institute, retired
commissioners of the "FORPRIDECOM" and highly competent specialists
duty commissioned by the Council, constitute the technical advisory
panel of the "FORPRIDECOM". They may attend the meetings of the
Council, participate in its deliberation but without the right to vote.
For actual attendance at a Council meeting, they shall receive a per
diem of fifty pesos each.
SECTION 11. Organization. – (1) The "FORPRIDECOM"
shall be headed by a Commissioner, hereinafter referred to as the
"Commissioner," who shall be appointed by the Council, subject to the
approval of the "NSDB" Chairman. He shall be responsible for the
exercise of all the powers and the discharge of all duties of the
"FORPRIDECOM" and shall have authority and control over all personnel
and activities thereof.
(2) Deputy Commissioners. – There shall be a Deputy
Commissioner, who shall be appointed by the Commissioner, subject to
the approval of the Council and the "NSDB" Chairman. He shall perform
such duties and exercise such powers as the Commissioner shall delegate
to him, and exercise such powers as may be delegated to him by the
Commissioner during the latter's absence or temporary disability.
(3) Associate Commissioners. – There shall be two
Associate Commissioners; one for forest products research and the other
for forest products industries development. They shall be appointed by
the Commissioner with the approval of the Council and the "NSDB"
(4) Directors of Services. – There shall be a
director and an Assistant Director for each of the research and
industries development or scientific services, administrative
management service, and publications and information service. They
shall be appointed by the Commissioner, subject to the approval of the
Council and "NSDB" Chairman.
(5) Qualifications. – (a) The Commissioner, Deputy
Commissioner, Associate Commissioners, Directors and Assistant
Directors of scientific services, shall be citizens of the Philippines,
and they shall be appointed with due regard for fitness and efficient
discharge of the powers and duties imposed by this Act for their
respective organizations. At the time of their nominations, they shall
be forest products research career men who have distinguished
themselves in science and technology.
(b) Directors and Assistant Directors of
Administrative Management Service and Publications and Information
Service shall be citizens of the Philippines, and they shall be
appointed with due regard for their fitness and efficient discharge of
the powers and duties imposed by this Act for their respective
organizations. At the time of their nomination, they shall be career
men in their respective fields.
(6) Staffing pattern. – The "FORPRIDECOM" shall be
organized into Office of the Commissioner, Institutes, services,
departments, divisions, and sections.
(a) The Office of the Commissioner shall consist of
the staffs of the Commissioner, Deputy Commissioner, Accounting
Department, Internal Audit Department, Patents and Legal Affairs, and
Technical Consultants Staff. The Technical Consultants Staff shall be
composed of deserving scientists who are highly specialized in their
particular fields with outstanding accomplishments in scientific or
technological research and inventions. Each technical consultant or
subject matter specialist shall receive compensation equal to that of
(b) There shall be two institutes; (1) Forest
Products Research and (2) Forest Products Industries Development.
SECTION 12. Purposes and Powers of the FORPRIDECOM. –
The "FORPRIDECOM" shall have the following purposes and powers:
(1) To conduct research on the properties, uses,
processings and protection of wood and wood products and develop such
practices and processes as will increase the utility, value, quality,
and serviceability of wood and other products of the forests;
(2) To furnish technical information and service to
manufacturers, exporters, users of wood and other forest products and
to the public;
(3) To establish, expand, maintain, and operate
research centers, test laboratories, offices, and pilot plants in any
suitable part or parts of the Philippines;
(4) To improve, service, and/or assist existing and
new forest products-using industries in their technological development
that will increase their usefulness, efficiency, and productivity;
(5) To cooperate with other agencies, both national
and international, in the promulgation of grading rules,
specifications, and quality control of manufactured and treated wood
and forest products;
(6) To train technicians for industries using forest
(7) To cooperate with other agencies, both national
and international and both private and public, in conducting special
research relating to forest products and in promoting dissemination of
(8) To provide for the publications of information
pertaining to the results of research on forest products for the
benefit of wood producing and wood-using industries and the general
(9) To receive assignment of patents, grant exclusive
or non-exclusive rights for their use, charge and collect fees for
their use, and discharge the income therefrom in accordance with the
established policies of the "FORPRIDECOM;"
(10) To accept grants or donations and provide for
reasonable charges for examinations, tests, cooperative investigations,
consulting services, verifications, certifications, identifications,
and other work performed;
(11) To transact any business directly or indirectly
necessary, incidental, or conducive to the attainment of the purposes
of the "FORPRIDECOM"; and
(12) To ameliorate and implement salary adjustments
and emoluments of "FORPRIDECOM" personnel whenever necessary and
resultant of this Act.
SECTION 13. Duties of Commissioner. – The chief
executive officer of the "FORPRIDECOM" shall be the Commissioner who
shall have the following powers and duties:
(1) To prepare and submit the implementing details of
this Act, as regards to the staffing pattern, compensations, functions,
and duties of the organization of "FORPRIDECOM", to the Council, for
review and approval;
(2) To direct and manage the affairs and business of
the "FORPRIDECOM" in pursuance of the policies of the Council and
(3) To sit with the Council at its meetings and
participate in its deliberations, but without the right to
(4) To submit, within sixty days after the close of
each fiscal year, an annual report to the Council and "NSDB;"
(5) With the approval of the Council and "NSDB"
Chairman, to appoint, suspend, remove, or otherwise discipline, for
cause, the officers of the "FORPRIDECOM" as follows: Deputy
Commissioner, Associate Commissioners, Directors and Assistant
Directors of Services;
(6) Upon recommendation of the Deputy Commissioner to
appoint, punish, suspend or relieve, for cause, all non-technical
(7) Upon recommendation of the Associate
Commissioners, to appoint, punish, suspend or relieve, for cause, all
technical employees below the rank of Assistant Director;
(8) To reorganize, subject to limitations in this
Act, the internal organization of the "FORPRIDECOM" when advisable, for
purposes of efficiency and economy: Provided, That any major
reorganization be subjected to the approval of the Council;
(9) To delegate his authority in whole or in part to
the officers of the "FORPRIDECOM;"
(10) To receive and appropriate to the ends specified
by law such sums as may be provided by law for the support of the
(11) To enter into, make, and execute with any
person, firm or entity, public or private, contracts of any kind,
including the purchase of machinery, materials, equipment, and
supplies, or the furnishing of services which may be necessary or
incidental to the attainment of its purposes;
(12) To authorize travel grants and scholarships for
scientific or technological purposes; and delegates and observers to
scientific and technological conferences and conventions in the
Philippines and in other countries;
(13) To perform such duties of ex-officio member of
the "NSDB" without extra compensation; and
(14) To perform such other duties as may be assigned
to him by this Council and "NSDB" Chairman.
SECTION 14. Duties of Associate Commissioners. – The
heads of the Institutes shall be the Associate Commissioners who shall
have the following powers and duties:
(1) To prepare and recommend to the Commissioner the
staffing pattern, compensation, functions, and duties of their
respective institutes for review and approval;
(2) Under the supervision of the Commissioner, to
direct and manage the affairs and business of their respective
institute in pursuance of the policies of the Council and "NSDB";
(3) With the approval of the Commissioner, to
appoint, suspend; remove, or otherwise discipline for cause all
officers and employees of their respective institutes except the
Directors and Assistant Directors of Services;
(4) To recommend to the Commissioner the internal
reorganizations of their respective institutes, when advisable, for the
efficient function and operation of their respective organizations;
(5) With the approval of the Commissioner, to
delegate his authority in whole or in part to his subordinate; and
(6) To perform such other duties as may be assigned
to him by the Commissioner.
SECTION 15. Personnel Administration. – All officers
and employees shall be subject to civil service and other personnel
laws, rules and regulations: Provided, however, That all scientific or
technical positions of the "FORPRIDECOM" which are considered technical
in nature, shall be embraced under the non-competitive or unclassified
SECTION 16. Classification and Compensation. –
Provisions of law to the contrary notwithstanding, all officials and
employees appointed under this Act shall be classified according to
Section twenty-six of Republic Act Numbered Two thousand and sixty
seven which is hereby amended to include those who belong to the
clerical and janitorial classification, the compensation of these
officials and employees shall be in accordance with the salary scales
to be established by the commissioner, based on the salary scales
adopted by the "NSDB" the University of the Philippines, and their
affiliate agencies, subject to the approval of the Council.
SECTION 17. Government Service Insurance System,
Insurance and Retirement. – Officers and employees of "FORPRIDECOM"
shall enjoy the rights of National Government employees with regard to
participation in the Government Service Insurance System and retirement
benefits under existing laws; Provided, however, That the appointing
authority concerned may, with the approval of the NSDB charges, extend
the service of scientists and researchers beyond the compulsory age of
retirement in accordance with R.A. 2067, as amended.
SECTION 18. Availability of Funds. – Appropriations
from the General Fund and such other funds as are authorized by
Congress shall be available for the use of "FORPRIDECOM" and the
balance of these appropriations after the end of each fiscal year shall
revert to the "FORPRIDECOM" Foundation Fund. The "FORPRIDECOM" is
authorized to receive donations, fees, bequests, and grants for
research and industries technological development purposes. Such
grants, bequests and donations are dedicated to the purpose above
mentioned, any provisions of law, rules or regulations to the contrary
SECTION 19. Collection of Fees. – The "FORPRIDECOM"
is authorized and empowered to charge reasonable fees in connection
with examinations, tests, cooperative investigations, consulting
services, verifications, certifications, identifications, inspections,
and other work performed. The Commissioner shall issue rules and
regulations as he may deem desirable for the collection of such fees,
subject to the approval of the Council.
Sec. 20. Acquisition of Property. – All income,
donations, grants, and bequests shall accrue to a fiduciary fund, to be
known as the "FORPRIDECOM" Foundation Fund, which shall be expended by
the Commissioner thereof solely for scientific researches,
investigations, and technological development in the field of forest
products science, the provisions of existing laws to the contrary
Sec. 21. FORPRIDE Fund. – To insure the continuous
and efficient operation of the "FORPRIDECOM", a Forest Products
Research and Industries Development Fund, a special fund to be known as
"FORPRIDE FUND," is hereby, created upon approval of this Act.
Source of this Fund shall be in the form of fees as authorized by law
for the "FORPRIDECOM." "A wood conservation fee" shall be collected, in
addition to the regular forest charges and/or competitive bidding sales
provided for under the National Internal Revenue Code, as amended, and
those provided for under Republic Act Numbered One hundred fifteen, as
amended, and Republic Act Numbered Three thousand five hundred
twenty-three, the amount of twenty-five centavos on each cubic meter of
timber removed from any public forest, forest reserve and national park
for commercial purposes, which shall be collected in the same manner
and with the same remedies provided for in the National Internal
Revenue Code, as amended, with respect to forest charges and/or
competitive bidding sales, and with the same penalties provided for in
Republic Act Numbered One hundred fifteen, as amended, and Republic Act
Numbered Three thousand five hundred twenty-three, and which shall be
turned over to the "FORPRIDECOM" at the end of the fiscal year
beginning with the fiscal year on approval of this Act.
Sec. 22. Disbursement. – Any provisions of law to
the contrary notwithstanding the "FORPRIDECOM" is hereby authorized to
disburse the income of this fund subject to the pertinent provisions of
Commonwealth Act Numbered Two hundred and forty-six as
Sec. 23. Availability of Appropriations. – (a) The
sums appropriated for fiscal year ending the year when this Act is
approved as well as the continuing appropriations since fiscal year
1958, including receipts automatically appropriated for the Forest
Product Research Institute, are hereby transferred to the "FORPRIDECOM"
Foundation Fund to be used in such manner as shall best insure the
implementation of the objectives of this Act.
(b) Funds appropriated for the "FORPRIDECOM" shall
remain available for obligation, for expenditure, and for obligation
and expenditure until expended.
Sec. 24. Tax Exemptions. – Any provision of
existing laws to the contrary notwithstanding, apparatus, instruments,
utensils, equipment and materials may be imported into the Philippines
free from taxes and duties, upon certification of the Council, that
such articles are imported solely for scientific and technological
research and development of forest products industries and not for
barter, sale or hire: Provided, however, That in case such articles are
subsequently conveyed and transferred to other parties for a pecuniary
consideration, taxes and duties shall be collected thereon at the rate
provided for under existing laws, payable to the transferor:
Provided, further, That the Council shall promulgate the rules and
regulations to implement this provision.
Sec. 25. Internal Auditing. – Internal Auditing of
"FORPRIDECOM" accounts and transactions shall be the sole
responsibility of the "FORPRIDECOM." Any such audit shall authorize the
disbursement of funds without prior approval of the Auditor General.
The results of such audit shall be transmitted to the Council.
Sec. 26. Accounting Work of FORPRIDECOM. – No
funds of the "FORPRIDECOM" shall be used to pay the salaries and
expenses of the auditing officer under the Auditor General in excess of
one-third of the total salaries and other expenses for the accounting
work of the "FORPRIDECOM".
Sec. 27. Allowances. – The Commissioner, the
Deputy and the Associate Commissioners, shall each receive monthly
commutable allowances of two hundred fifty pesos and two hundred pesos
for representation and transportation expenses, respectively. Such
allowances shall be reflected in the annual budget of the
Sec. 28. Adjustments. – Any savings in the
appropriations of the Forest Products Research Institute for fiscal
year 1967, fiscal year 1968, fiscal year 1969 and fiscal year 1970
provided for in the corresponding General Appropriations Act, receipts
automatically appropriated, and fund provided for in Sec. 21 of this
Act shall be used to provide for the salary adjustments and allowances
herein authorized. Thereafter, the amount necessary for said
adjustments and allowances shall be included in the annual General
Appropriations Act: Provided, however, That nothing in this Act shall
be construed so as to reduce the salaries and allowances to which such
incumbent officials and employees are now entitled under existing laws,
rules and regulations.
Sec. 29. Separability. – If any provision of this
Act is declared unconstitutional, such provisions thereof as are not
affected by such declaration shall remain in full force and effect.
Sec. 30. Repeal of Inconsistent Law. – All Acts,
Executive Orders, administrative rules and regulations, or parts
thereof, inconsistent with the provisions of this Act are hereby
repealed or modified accordingly.
Sec. 31. Effectivity. – This Act shall take effect
upon its approval.
Approved: June 21, 1969.
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