Amending Dev't Academy PD No. 205

Presidential Decree No. 1061 addresses expanded programs and activities of the Development Academy of the Philippines after its establishment.
The decree responds to the abolition of the Office of the Executive Secretary by filling a vacancy created in the Academy’s Board of Trustees.
The decree enables the Academy to continue effectively by securing additional funds and resources for operations.
The decree places emphasis on expanding the Academy’s development capabilities and meeting its existing financial requirements.
The decree authorizes the Land Bank of the Philippines to participate in the Academy’s financial support, management, and policy direction.

Section 4 establishes that governance and policy direction of the Academy are vested in a Board of Trustees.
The Board of Trustees is composed of TWELVE (12) members.
The following are members by virtue of their offices:
- The Secretary of Finance
- Presidential Assistant
- The Secretary of National Defense
- The Director-General of the National Economic and Development Authority
- The Governor of the Central Bank of the Philippines
- The Chairman of the Board of Governors of the Development Bank of the Philippines
- The General Manager of the Government Service Insurance System
- The Administrator of the Social Security System
- The President of the Philippine National Bank
- The President of the Land Bank of the Philippines
- The President of the Academy
Section 4 adds one member appointed for a term of two years by the “aforenamed Trustees,” and requires that the appointee be a Muslim Filipino of national prominence.
Trustees receive no compensation or remuneration for their services as such, but they may be reimbursed for actual expenses incurred in discharging the business of the Academy.

Section 9 provides that until the Academy is financially self-sufficient, its operations are financed through contributions of the founding institutions that are parties to the memorandum agreement dated May 11, 1973.
Section 9 creates a Development Academy of the Philippines Endowment Fund to attain self-support capability for the Academy.
The endowment fund is based on contributions, investments, and other income accruing to the Academy and its operations.
The endowment fund is intended to terminate the need for annual contributions from the parties to the memorandum agreement dated May 11, 1973.
Section 9 mandates that the endowment fund be administered “as a trust,” with the Board of Trustees of the Academy as trustee.

Section 9 commands that the principal of the endowment fund shall not be subject to impairment.
Section 9 allows expenditures only from the earnings of the endowment fund.
Section 9 authorizes the Academy to withdraw from the endowment fund “from time to time” amounts not exceeding three million pesos (P3,000,000.00).
Section 9 further restricts withdrawals so the total of such amounts shall not exceed six million pesos (P6,000,000.00) at any one time.
Section 9 requires that each amount withdrawn be fully paid back into the endowment fund over a period not exceeding three years from date of withdrawal.
Section 9 authorizes the founding institutions to make contributions in the form of investments to the endowment fund “at the rate” of:
- P3,000,000.00 each in June 1973, and
- P4,500,000.00 in June 1975,
  even if the founding institutions’ respective charters provide otherwise.

Section 9 includes the Land Bank of the Philippines as one of the “developmental instrumentalities” entitled to participate in the Academy’s governance and policy direction.
Section 9 requires the Land Bank to support the Academy’s programs by making financial and other contributions to the Academy’s operations.
Section 9 directs that the Land Bank’s contributions be made in the same amounts and under the same conditions as the original founding institutions.
Section 9 makes the Land Bank’s participation effective for the fiscal year 1977.

Presidential Decree No. 1061 operates by amending Sections 4 and 9 of Presidential Decree No. 205 so that those sections read as revised.
The decree incorporates the role change needed due to the abolition of the Office of the Executive Secretary by adjusting the Board of Trustees composition through the updated trustee list.
The decree expands the funding and governance structure by incorporating the Land Bank of the Philippines into the Academy’s endowment support and policy direction framework.