Changing Official Fiscal Year to Calendar Year

The Decree directs that modifying the official fiscal year is necessary to better synchronize the preparation, submission, authorization, and execution of socio-economic development plans and the annual budget (WHEREAS clauses).
The Decree declares that changing the official fiscal year facilitates compilation and analysis of data on government transactions for social and economic accounting and for other statistical purposes (WHEREAS clauses).

Section 1 establishes that the fiscal year for all covered government entities is the period beginning with January 1 and ending with December 31 of each calendar year.
Section 1 applies to all branches, subdivisions, instrumentalities, departments, bureaus, offices, and agencies of the Government of the Republic of the Philippines.
Section 1 also applies to government-owned or controlled corporations.

Section 3 provides that the fiscal year beginning July 1, 1975 and ending June 30, 1976 is extended to include the six-month period from July 1 to December 31, 1976.
The extended six-month period under Section 3 is governed by special budget-submission and approval conditions stated in the same section.

Section 3 requires that budgetary provision be made for minimum essential operating requirements for the six-month period from July 1 to December 31, 1976.
Section 3 limits such budgetary provision so it shall not exceed 50% (fifty per cent (50%)) of the programmed or actual current operating expenditures of the agency or entity for the immediately preceding twelve-month period.
Section 3 requires that the current and capital requirements for the six-month period be submitted to the Development Budget Coordination Committee (DBCC) not later than March 31, 1976 for its approval.
Section 3 requires that agencies and entities render accounting and financial records, reports, and statements to reflect the extended coverage of the immediately preceding fiscal period.

Section 4 requires the Chairman, Commission on Audit, the Secretary of Finance, and the Commissioner of the Budget to promulgate rules and regulations necessary to implement the Decree.

Section 5 provides that all laws, executive orders, administrative orders, ordinances, resolutions, rules and regulations, or parts thereof inconsistent with Presidential Decree No. 777 are repealed or amended accordingly.