DOA Deputation for Price Act Enforcement

Section 10 (14) of Republic Act No. 7581 (the Price Act) is the basis for the deputation of local officials as the implementing arm.
The order deputizes the local officials in the interest of the service.
The deputation is designed to effectively protect the public and apply swift and effective solutions against overpriced basic necessities.
The order covers periods of calamity, emergency, and widespread illegal price manipulations, and other similar situations.
The order links enforcement to Section 6 and Section 7 of the Price Act (freezing of prices upon presidential declaration and mandated price control), and also to Section 5 (enforcement when illegal acts of price manipulation prevail).

Prices of basic necessities are to be automatically frozen at prevailing levels when the President, under Section 6 of the Price Act, declares the relevant city or municipality under a state of calamity.
Prices are also automatically frozen when the President has mandated price control of basic necessities under Section 7 of the Price Act.
When there is prevalence of illegal acts of price manipulation, enforcement under Section 5 of the Price Act applies through the deputized officials.

The deputation order covers enforcement involving the following basic necessities:
- Rice
- Corn
- Cooking oil
- Fresh, dried fish and other marine products
- Fresh pork, beef and poultry meat
- Fresh eggs
- Fresh milk
- Fresh vegetables
- Root crops
- Sugar
The order treats violations involving these covered items as within the scope of its enforcement powers and responsibilities.

Deputized officials may conduct investigations of any violation of the Price Act.
After due notice and hearing, deputized officials may impose administrative fines.
Deputized officials may require the attendance and testimony of witnesses and may obtain evidence relevant to determining violations, including:
- production of goods
- objects
- books
- papers
- documents
- contracts
- records
- financial statements
- accounts
- agreements
- such other evidences material to determining the violation.

After due notice and hearing, deputized officials may impose administrative fines not less than PHP 1,000.00 and not more than PHP 1,000,000.00.
In determining the amount of the administrative fine, deputized officials must consider:
- Whether the subject is a basic necessity or a prime commodity, with violations involving basic necessities deemed more serious
- Whether the subject is under price control under Sections 6 and 7 of the Price Act, with violations involving basic necessities and prime commodities under price control deemed more serious
- The number of violations committed, with respondents previously found to have violated provisions of the Price Act facing a higher fine
- Such other considerations necessary to carry out the intents, purposes, and provisions of the Price Act.

Deputized officials may issue temporary closure or a temporary restraining order for a period not more than ten (10) days.
After due notice and hearing, deputized officials may issue any of the following administrative orders and dispositions:
- cease and desist orders
- reprimand
- censure
- suspend, revoke, or cancel any permit, license, authority, or registration issued by the deputized official’s office
- order the permanent closure of any establishment violating the Price Act.

Deputized officials may initiate summary proceedings to cause the seizure by the government of basic necessities and prime commodities that are subject of a Price Act violation.
Deputized officials may order the sale to the public at reasonable prices when the nature or demand for such goods requires it.
Pending litigation, the proceeds of the sale must be held in trust or escrow by the implementing agency.
If the owner of the seized and sold goods is found not liable for the violation that was the basis of seizure, the proceeds from the sale must be paid to the owner.
If the owner is found liable, the sale proceeds must accrue to the general fund of the Government.
Before the sale or disposition, the head of the implementing agency must cause:
- broadcast in radio or television, and
- publication in at least (2) newspapers of general circulation
- of the fact of sale or disposition of the seized goods
- at least three (3) days before the date of sale or disposition.

The authority under the order must be published in two (2) newspapers of general circulation.
The order takes effect immediately after publication.
The order remains effective until it is revoked.