Title
Reorganizing Palayan ng Bayan to Pagkain ng Bayan
Law
Executive Order No. 620
Decision Date
Sep 11, 1980
Ferdinand E. Marcos reorganizes and renames the Palayan ng Bayan to Pagkain ng Bayan, expanding its focus to include the production and primary processing of all foodstuffs while transferring assets and liabilities and allowing city mayors to participate in the program.
A

Scope and Coverage of Pagkain ng Bayan

  • Pagkain ng Bayan continues as a project under the Office of the President and Provincial Governors.
  • It expands to cover the production and primary processing of all types of food products, not limited to rice and corn.

Transfer of Assets, Liabilities, and Personnel

  • All assets, liabilities, organizational structures, and personnel of Palayan ng Bayan are transferred to Pagkain ng Bayan.

Inclusion of City Mayors

  • City Mayors are authorized to participate in Pagkain ng Bayan programs similarly to Provincial Governors as per Presidential Decree No. 262.

Financing and Loan Provisions

  • The National Advisory Council determines maximum loans per hectare for raw land development and other activities.
  • Crop and operational loans have a maximum duration of one year.
  • Loans for investments and capital assets may exceed one year, subject to the National Advisory Council's approval.
  • Interest rates and loan charges are set by the National Advisory Council, abiding by Central Bank regulations.

Funding Mechanism

  • The Minister of Finance is empowered to issue and sell interest-bearing bonds, debentures, or certificates of indebtedness up to P200 million to fund Pagkain ng Bayan.

Loan Repayment and Default Remedies

  • In case of loan defaults, the Minister of Finance can withhold portions of provincial/city revenues to cover loan obligations upon request.
  • Personal guarantees by Provincial Governors or City Mayors remain enforceable.

Use of Idle Private Lands

  • The National Advisory Council may authorize the use and cultivation of idle private lands through voluntary lease contracts between private owners and Provincial Governors/City Mayors.
  • Restrictions on such leases are to be outlined by the Council.

Prohibition on Leasing to Private Sector

  • Leasing of Pagkain ng Bayan lands or portions by provincial/city governments to private entities is prohibited.
  • Any lease or similar agreement entered into in violation is null and void from inception.

Repeal and Modification of Conflicting Provisions

  • All laws, decrees, executive orders, and other regulations inconsistent with this Executive Order are repealed or modified accordingly.

Effectivity

  • The Executive Order takes immediate effect upon issuance.

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