Title
Creation of Construction Industry Authority
Law
Presidential Decree No. 1746
Decision Date
Nov 28, 1980
Presidential Decree No. 1746 establishes the Construction Industry Authority of the Philippines (CIAP) to promote and regulate the growth of the construction industry, ensuring its contribution to the country's economy and providing employment opportunities.

Q&A (PRESIDENTIAL DECREE NO. 1746)

The main purpose of Presidential Decree No. 1746 is to create the Construction Industry Authority of the Philippines (CIAP) to promote, accelerate, and regulate the growth and development of the construction industry in the country.

CIAP is composed of the Minister of Industry as Chairman, Chairmen of the Philippine Contractors Accreditation Board, the Philippine Overseas Construction Board, the Philippine Domestic Construction Board, the Construction Manpower Development Foundation, the President of the Philippine Contractors Association, and one representative of the private construction sector appointed by the President.

CIAP is tasked to evolve overall strategies for the construction industry, monitor and study its operations, rationalize investments, establish criteria for contractor classification, enforce pre-qualification rules, recommend contract conditions, support financing policies, promote manpower training, and facilitate adjudication of claims and disputes, among others.

The agencies under CIAP's jurisdiction include the Philippine Contractors Accreditation Board, the Philippine Overseas Construction Board, the Philippine Domestic Construction Board, and the Construction Manpower Development Foundation.

The PCAB performs the functions previously held by the Philippine Contractors Licensing Board, primarily accrediting and regulating contractors until other functions may be assigned by the Authority.

The board formulates policies for pre-qualification, bidding, and contract awards for public infrastructure projects, monitors public construction projects, adjudicates construction contract disputes, recommends contract terms, and handles rules for private construction contracts.

It serves as the manpower development arm of the CIAP, responsible for construction manpower planning, training programs, skills certification, policy recommendations on manpower export and training, and funding mechanism development.

The Executive Office is headed by a full-time Executive Director appointed by the Chairman, supported by technical, legal, and management staff, and oversees implementation and coordination across the four main agencies.

An initial fund of five million pesos is authorized for operating and capital expenses, and the CIAP along with its agencies are empowered to collect fees and engage in income-generating activities to finance their operations.

The Authority and the boards of the implementing agencies must meet as often as necessary but not less than once every quarter. Special meetings may be called by the respective Chairmen, and a majority of members constitute a quorum.


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