Code of Conduct for Public Officials

Policy and Ethical Standards Mandate

Section 2 declares it is the policy of the State to promote a high standard of ethics in public service.
Public officials and employees must be accountable to the people and must discharge duties with utmost responsibility, integrity, competence, and loyalty.
Public officials and employees must act with patriotism and justice and must uphold public interest over personal interest (Section 2).
Section 4 requires every public official and employee to observe specified standards of personal conduct in the discharge and execution of official duties.

Definitions Used in the Act

“Government” includes the National Government, local governments, and all other instrumentalities, agencies, or branches of the Republic of the Philippines, including government-owned or controlled corporations, and their subsidiaries (Section 3).
“Public Officials” include elective and appointive officials and employees, permanent or temporary, whether career or non-career, including military and police personnel, whether or not they receive compensation, regardless of amount (Section 3).
“Gift” is a thing or right disposed of gratuitously, including a simulated sale or an ostensibly onerous disposition; it excludes an unsolicited gift of nominal insignificant value not given in anticipation of, or in exchange for, a favor (Section 3).
“Receiving any gift” includes accepting, directly or indirectly, gifts from persons other than family or relatives, even on family celebration/national festivity, if the value is not nominal or insignificant, or if given in anticipation of, or in exchange for, a favor (Section 3).
“Loan” covers simple loan and commodatum, as well as guarantees, financing arrangements, or accommodations intended to ensure approval (Section 3).
“Substantial stockholder” means a person owning stock sufficient to elect a director of a corporation, and this applies to parties to a voting trust (Section 3).
“Family of public official or employees” means spouses and unmarried children under eighteen (18) years of age (Section 3).
“Person” includes natural and juridical persons unless the context indicates otherwise (Section 3).
“Conflict of interest” arises when a public official or employee is a board member, officer, or substantial stockholder of a private corporation, or owner with substantial interest in a business, and the interest may be opposed to or affected the faithful performance of official duty (Section 3).
“Divestment” is the transfer of title or disposal of interest in property by voluntarily and completely depriving oneself of title or right in favor of persons other than spouse and relatives as defined in the Act (Section 3).
“Relatives” are persons related within the fourth civil degree of consanguinity or affinity, including bilas, inso, and balae (Section 3).

Norms of Conduct and Required Personal Behavior

Public officials and employees must uphold public interest over personal interest, and employ government resources and powers efficiently, effectively, honestly, and economically to avoid wastage of public funds and revenues (Section 4(A)).
Public officials and employees must act with the highest degree of excellence, professionalism, intelligence and skill, and enter public service with utmost devotion and dedication to duty (Section 4(A)).
Public officials and employees must remain true to the people, act with justness and sincerity, must not discriminate—especially against the poor and underprivileged—and must respect the rights of others (Section 4(A)).
Public officials and employees must not dispense or extend undue favors on account of office to relatives by consanguinity or affinity, except for appointments to positions strictly confidential or as members of personal staff with terms coterminous with theirs (Section 4(A)).
Public officials and employees must provide service to everyone without unfair discrimination regardless of party affiliation (Section 4(A)).
Public officials and employees must extend prompt, courteous, and adequate service to the public, and must provide information on policies and procedures in clear language, ensure openness of information, public consultations and hearings whenever appropriate, simplify and systematize procedures, avoid red tape, and develop understanding of socioeconomic conditions, especially in depressed rural and urban areas (Section 4(A)).
Public officials and employees must be loyal to the Republic and Filipino people, promote locally-produced goods/resources/technology, and defend Philippine sovereignty against foreign intrusion (Section 4(A)).
Public officials and employees must uphold the Constitution, commit to democratic way of life and values, maintain public accountability, and manifest the supremacy of civilian authority over the military; they must put loyalty to country above loyalty to persons or party (Section 4(A)).
Public officials and employees and their families must lead modest lives appropriate to position/income and must not indulge in extravagant or ostentatious display of wealth (Section 4(A)).

Duties, Incentives, Rewards, and Committee Functions

Public officials and employees must respond, within 15 working days from receipt, to letters, telegrams, or other communications from the public; the reply must contain the action taken on the request (Section 5).
Heads and responsible officers of offices/agencies and government-owned or controlled corporations must, within 45 working days from the end of the year, render an annual performance report; it must be open and available to the public during regular office hours (Section 5).
Official papers and documents must be processed and completed within a reasonable time, and must contain, as far as practicable, not more than three (3) signatories; if authorized signatories are absent, the officer next-in-rank signs for them (Section 5).
Public officials and employees must attend immediately to anyone availing of services, and must act promptly and expeditiously at all times (Section 5).
All public documents must be made accessible to, and readily available for inspection by, the public within reasonable working hours (Section 5).
Section 6 establishes a system of annual incentives and rewards to motivate and inspire public servants to uphold ethical standards.
A Committee on Awards to Outstanding Public Officials and Employees is created, with the Ombudsman and Chairman of the Civil Service Commission as Co-Chairmen, the Chairman of the Commission on Audit, and two government employees appointed by the President (Section 6).
The Committee must conduct periodic continuing review and establish a system of annual incentives and rewards, and recognition must be based on standards in the Act (Section 6).
Awards must consider years of service, quality and consistency of performance, obscurity of position, level of salary, unique and exemplary quality of achievement, and risks or temptations inherent in work (Section 6).
Incentives and rewards may include bonuses, citations, directorships in government-owned or controlled corporations, local and foreign scholarship grants paid vacations, and the like, and may automatically include promotion to the next higher position with commensurate salary; if no next higher position or it is not vacant, the position must be included in the budget in the next General Appropriations Act (Section 6).
The Committee must adopt its own rules governing conduct of its activities (Section 6).
The Civil Service Commission must adopt positive measures to promote observance of standards through dissemination programs and workshops and continuing research and experimentation on measures that positively motivate public officials and employees (Section 4(B)).

Prohibited Acts and Transactions

Section 7 provides that prohibited acts and transactions apply in addition to acts and omissions prescribed in the Constitution and existing laws.
Public officials and employees must not, directly or indirectly, have any financial or material interest in any transaction requiring approval of their office (Section 7).
Public officials and employees, during incumbency, must not own, control, manage, or accept employment as officer, employee, consultant, counsel, broker, agent, trustee, or nominee in any private enterprise regulated, supervised, or licensed by their office unless expressly allowed by law (Section 7).
Public officials and employees, during incumbency, must not engage in private practice of their profession unless authorized by the Constitution or law, provided it does not conflict or tend to conflict with official functions (Section 7).
Public officials and employees, during incumbency, must not recommend any person to a position in a private enterprise with a regular or pending official transaction with their office (Section 7).
The prohibitions under Section 7 continue for one (1) year after resignation, retirement, or separation, except the professional concerned cannot practice in connection with any matter before the office they used to be with, in which case the one-year prohibition also applies (Section 7).
Public officials and employees must not use or divulge confidential or classified information known by reason of office and not made available to the public to further private interest, give undue advantage, or prejudice the public interest (Section 7).
Public officials and employees must not solicit or accept, directly or indirectly, any gift, gratuity, favor, entertainment, loan, or anything of monetary value from any person in the course of official duties or in connection with any operation regulated by, or any transaction which may be affected by functions of their office (Section 7).
For gifts or grants from foreign governments, Congress consents to exceptions covering:
- Acceptance and retention of a gift of nominal value tendered and received as souvenir or mark of courtesy;
- Acceptance of gifts in the nature of scholarship or fellowship grant, and medical treatment;
- Acceptance of travel grants or expenses for travel taking place entirely outside the Philippines of more than nominal value if appropriate or consistent with Philippine interests and permitted by the head of office/branch/agency (Section 7).
The Ombudsman must prescribe regulations to carry out Section 7 including pertinent reporting and disclosure requirements (Section 7).
Nothing in Republic Act No. 6713 restricts educational, scientific, or cultural exchange programs subject to national security requirements (Section 7).

Statements, Financial Disclosure, and Public Access

Public officials and employees must accomplish and submit declarations under oath, and the public has the right to know their assets, liabilities, net worth, and financial and business interests, including those of spouses and unmarried children under eighteen (18) years of age living in their households (Section 8).
All public officials and employees, except those serving in an honorary capacity, laborers, and casual or temporary workers, must file under oath:
- Statement of Assets, Liabilities and Net Worth, and
- Disclosure of Business Interests and Financial Connections,
  including those of their spouses and unmarried children under eighteen (18) years of age living in their households (Section 8).
The statements must cover:
- Real property (improvements, acquisition costs, assessed value, and current fair market value),
- Personal property and acquisition cost,
- Other assets (investments, cash on hand or in banks, stocks, bonds, and the like),
- Liabilities, and
- All business interests and financial connections (Section 8).
Filing deadlines for the statements are:
- Within 30 days after assumption of office;
- On or before April 30 of every year thereafter; and
- Within 30 days after separation from service (Section 8).
Within 30 days from assumption of office, required officials and employees must execute authority in favor of the Ombudsman for the Ombudsman to obtain from appropriate government agencies—including the Bureau of Internal Revenue—documents showing assets, liabilities, net worth, and business interests and financial connections in previous years, including the year when they first assumed any government office, if possible (Section 8).
Husband and wife who are both public officials or employees may file required statements jointly or separately (Section 8).
Filing recipients are:
- Constitutional and national elective officials: with the national office of the Ombudsman;
- Senators and Congressmen: with the Secretaries of the Senate and the House of Representatives, respectively;
- Justices: with the Clerk of Court of the Supreme Court;
- Judges: with the Court Administrator;
- National executive officials: with the Office of the President;
- Regional and local officials and employees: with the Deputy Ombudsman in their respective regions;
- Armed forces officers: from the rank of colonel or naval captain with the Office of the President; those below those ranks with the Deputy Ombudsman in their respective regions;
- All other public officials and employees under Republic Act No. 3019, as amended: with the Civil Service Commission (Section 8).
Every public official or employee must identify and disclose relatives in the Government to the best of knowledge and information in the form, manner, and frequency prescribed by the Civil Service Commission (Section 8).
Statements filed under the Act must be made available for inspection at reasonable hours (Section 8).
Statements must be made available for copying or reproduction after 10 working days from filing as required by law (Section 8).
Any person requesting a copy of a statement must pay a reasonable fee covering cost of reproduction and mailing and the cost of certification (Section 8).
Statements must be available to the public for 10 years after receipt of the statement; after that period, the statement may be destroyed unless needed in an ongoing investigation (Section 8).
Section 8(D) makes it unlawful for any person to obtain or use any statement filed under the Act for:
- Any purpose contrary to morals or public policy; or
- Any commercial purpose other than by news and communications media for dissemination to the general public (Section 8).

Conflict Resolution Through Divestment

A public official or employee must avoid conflicts of interest at all times (Section 9).
When a conflict of interest arises, the official must:
- Resign from a position in any private business enterprise within 30 days from assumption of office, and
- Divest shareholdings or interest within 60 days from such assumption (Section 9).
The same rule applies to a public official or employee who is a partner in a partnership (Section 9).
The divestment requirement does not apply to those who serve the Government in an honorary capacity, and to laborers and casual or temporary workers (Section 9).

Review, Opinions, Administration, and Enforcement

Designated Committees of both Houses of Congress must establish procedures for review to determine whether statements are submitted on time, are complete, and are in proper form (Section 10(A)).
If a statement is determined not to be so filed, the appropriate Committee must inform the reporting individual and direct corrective action (Section 10(A)).
Designated Committees of both Houses may render written opinions interpreting the Act within their respective jurisdictions, subject to approval by affirmative vote of the majority of the particular House concerned (Section 10(B)).
An individual to whom an opinion is rendered, and any other individual involved in a similar factual situation who acts in good faith in accordance with the opinion, must not be subject to any sanction provided in the Act (Section 10(B)).
Heads of other offices must perform duties under Section 10(A) and (B) for their respective offices subject to approval by the Secretary of Justice for the Executive Department and by the Chief Justice of the Supreme Court for the Judicial Department (Section 10(C)).
The Civil Service Commission has primary responsibility for administration and enforcement of the Act and must transmit cases for prosecution for violations to proper authorities (Section 12).
The Civil Service Commission may institute administrative actions and disciplinary measures warranted in accordance with law, without depriving either House of Congress of its right to discipline its Members for disorderly behavior (Section 12).
The Civil Service Commission is authorized to promulgate rules and regulations necessary to carry out the Act, including guidelines for individuals who render free voluntary service to the Government (Section 12).
The Ombudsman must take steps to protect citizens who denounce acts or omissions of public officials and employees violating the Act (Section 12).
More stringent standards under other laws or regulations are preserved (Section 13).

Penalties and Consequences for Violations

Any public official or employee who commits a violation of the Act, regardless of whether in casual, temporary, holdover, permanent, or regular capacity, must be punished with:
- A fine not exceeding the equivalent of six (6) months salary, or
- Suspension not exceeding one (1) year, or removal depending on gravity,
  after due notice and hearing by the appropriate body or agency (Section 11(A)).
If violation is punishable by a heavier penalty under another law, prosecution must proceed under that heavier-penalty statute (Section 11(A)).
Violations of Sections 7, 8, or 9 are punishable with:
- Imprisonment not exceeding five (5) years, or
- A fine not exceeding PHP 5,000.00, or both,
  with discretionary disqualification to hold public office (Section 11(A)).
A violation proven in a proper administrative proceeding is sufficient cause for removal or dismissal even if no criminal prosecution is instituted (Section 11(B)).
Private individuals who participate in conspiracy as co-principals, accomplices, or accessories with public officials or employees in violating the Act are subject to the same penal liabilities and must be tried jointly with them (Section 11(C)).
Any public official or employee may sue any person who obtains or uses a report for a prohibited purpose under Section 8(D).
The court may assess against such person a penalty up to PHP 25,000.00, and if another sanction under this Act or any other law is heavier, the heavier sanction applies (Section 11(D)).

Funding, Savings, Separability, and Repeal

Implementation is funded from the appropriations of the Civil Service Commission, and subsequent amounts needed for continued implementation must be included in the annual General Appropriations Act (Section 14).
Separability: If any provision or application is declared invalid, the remainder of the Act or application to other persons/circumstances is not affected (Section 15).
Repealing: All laws, decrees, orders, or parts inconsistent with the Act are repealed or modified accordingly, unless they provide for a heavier penalty (Section 16).