Law Summary

Overview

This document, issued by President Ferdinand E. Marcos, establishes procedures for the disposition of insurance proceeds and the repair of government properties damaged by fire or other calamities. It aims to streamline claims processing and ensure timely rehabilitation efforts.

Authorization and Responsibility

• Legal Principle: The document mandates government offices that experience damage to initiate claims for insurance proceeds.
• Key Definitions:
  • "GSIS" refers to the Government Service Insurance System, responsible for insuring government properties.
• Requirements and Procedures:
  • Damaged offices must collaborate with the Bureau of Buildings and Real Property Management to process claims.
  • Claims processing and payment are to be expedited by the GSIS.

Insurance Proceeds Management

• Legal Principle: Insurance proceeds are to be handled as income of the General Fund.
• Key Definitions:
  • "National Treasury" signifies the government’s financial repository for managing public funds.
• Requirements and Procedures:
  • Insurance proceeds must be deposited in the National Treasury.
  • The Minister of the Budget is tasked with releasing an amount equivalent to the insurance proceeds from the Calamity Fund for rehabilitation efforts.

Calamity Fund Utilization

• Legal Principle: The Calamity Fund is designated to facilitate the repair and reconstruction of damaged properties.
• Key Definitions:
  • "Calamity Fund" refers to a specific fund allocated within the General Appropriations Act for rehabilitation purposes.
• Requirements and Procedures:
  • Funds will be allocated to either the Ministry of Public Works or the concerned agency based on the extent of damage.
  • Additional costs for full restoration must be estimated and approved for release from the Calamity Fund by the Minister of the Budget.

Evaluation of Damages to Chattels

• Legal Principle: Damage assessment for chattels must comply with existing policies.
• Requirements and Procedures:
  • The evaluation and processing of damage to non-real property (chattels) are to be conducted following established procedures.

Conclusion

This order emphasizes a coordinated effort among various government agencies to ensure that damaged properties are restored efficiently and that financial resources are managed properly.

Key Takeaways

• Government offices must initiate insurance claims for damages.
• Insurance proceeds are to be deposited with the National Treasury as General Fund income.
• The Calamity Fund will provide necessary financial support for rehabilitation efforts.
• Additional repair costs are subject to approval and must be estimated by relevant authorities.
• Compliance with existing policies for chattel damage evaluation is required.