Financial Assistance and Fund Utilization
- PCA is directed to use collections from the Coconut Consumers' Stabilization Fund, as authorized under Presidential Decree No. 232, to support the coconut farmers' financial commitments under the Agreement.
- Except for PCA's budgetary needs, all collections from the Coconut Consumers’ Stabilization Fund and 50% of the Coconut Industry Development Fund collections must be deposited interest-free in the coconut farmers' bank.
- These deposits are to remain until PCA's Governing Board and the bank’s Board jointly confirm that the bank has sufficient equity capital to service farmers' credit needs fully.
- Collections and levies authorized to PCA, such as the Coconut Consumers' Stabilization Levy and Coconut Industry Development Fund, are not considered special or fiduciary funds and do not belong to the national government's general funds under Presidential Decree No. 711.
Tax Exemptions on Acquisition of Bank Shares
- To reduce costs for coconut farmers in acquiring and controlling the bank, the delivery and receipt of bank shares under the Agreement are exempt from taxation.
- This exemption overrides provisions in the National Internal Revenue Code and other laws.
Repealing Clause
- Any provision of law inconsistent or in conflict with this Decree is revoked or amended accordingly.
Effectivity
- This Decree takes effect immediately upon promulgation.