Rules and Regulations on the Grant of Representation and Transportation Allowances

January 17, 2013 DBM NATIONAL BUDGET CIRCULAR NO. 546-13 TO : Heads of Departments, Bureaus, Offices and Agencies of the National Government, Including State Universities and Colleges (SUCs); Government-Owned or -Controlled Corporations (GOCCs) and Government Financial Institutions (GFIs); and All Others Concerned SUBJECT : Rules and Regulations on the Grant of Representation and Transportation Allowances 1.0 Background 1.1 Item (4) (g) (i) of the Senate and House of Representatives Joint Resolution (JR) No. 4, 1 s. 2009, lists the Representation and Transportation Allowances among the Specific-Purpose Allowances and Benefits under the Total Compensation Framework of the Compensation and Position Classification System established under Republic Act (R.A.) No. 6758, 2 amended. These are granted to government officials down to division chiefs at monthly standard rates in order to defray representation and transportation expenses while in the actual performance of the duties and responsibilities of their positions. SDECAI 1.2 Section 45 of the General Provisions of R.A. No. 10352, the FY 2013 General Appropriations Act (GAA), provides new rates of Representation and Transportation Allowances, as well as the policies governing their grant. 2.0 Purpose This Circular is issued to prescribe rationalized and updated rules and regulations on the grant of Representation Allowance (RA) and Transportation Allowance (TA) or RATA. 3.0 Coverage The following are covered by this Circular: 3.1 Those holding regular positions entitled to RATA under the pertinent general provision of the annual GAA; 3.2 Those whose regular positions in agency staffing patterns have been determined by the Department of Budget and Management (DBM) to be of equivalent ranks to those under sub-item 3.1. 3.3 Those who occupy positions in agency staffing patterns consisting of contractual positions and determined by the DBM to be of equivalent ranks to those in sub-item 3.1. 3.4 Those duly designated by competent authorities to perform the full-time duties and responsibilities as Officers-in-Charge (OICs) of regular or contractual positions under sub-items 3.1, 3.2, and 3.3, authorized in agency staffing patterns, whether or not in concurrent capacities; and 3.5 Designated Vice Presidents, deans of colleges, directors of centers/institutes/services and satellite campuses duly authorized by law, and department heads in SUCs consistent with National Budget Circular No. 404. 4.0 Authorized Monthly RATA Rates 4.1 The authorized monthly rates for each type of allowance shall be as prescribed under the pertinent general provision of the annual GAA. Pursuant to Section 45 of the General Provisions of R.A. No. 10352, the FY 2013 GAA, the new monthly rates effective January 1, 2013 follow: Monthly RATA Officials RA or TA Code Department Secretaries P14,000 RT1 and those of equivalent ranks Department Undersecretaries 11,000 RT2 and those of equivalent ranks Department Assistant Secretaries 10,000 RT3 and those of equivalent ranks Bureau Directors, 9,000 RT4 Department Regional Directors, and those of equivalent ranks Assistant Bureau Directors, 8,500 RT5 Department Assistant Regional Directors, Bureau Regional Directors, Department Service Directors, and those of equivalent ranks Assistant Bureau Regional Directors 7,500 RT6 and those of equivalent ranks Chiefs of Division identified as such 5,000 RT7 in the Personal Services Itemization and Plantilla of Personnel and those of equivalent ranks 4.2 In line with Section 45 of the General Provisions of R.A. No. 10352: 4.2.1 No amount of RA or TA, whether commutable or reimbursable, which exceed the authorized rates may be granted to the foregoing officials, whether or not their positions are covered by R.A. No. 6758, as amended. 4.2.2 Previous administrative authorizations inconsistent with the authorized rates and conditions specified herein are no longer valid. 5.0 RATA for Incumbents of Positions 5.1 For Incumbents Who Are Not Assigned or Who Do Not Use Government Motor Transportation 5.1.1 The commutable RATA for the month shall be granted to incumbents of regular or contractual positions entitled to RATA. cSEaTH 5.1.2 To rationalize the grant of RATA based on actual performance in a month, and considering that RATA should be spent prudently, the commutable RATA shall be pro-rated based on the number of days of actual work performance on workdays, exclusive of leaves of absence with pay. The RATA Schedule 3 follows: Number of Workdays of Actual Work Performance in a Month Actual RATA for a Month 1 to 6 workdays 25% of the monthly RATA 7 to 12 workdays 50% of the monthly RATA 13 to 18 workdays 75% of the monthly RATA 19 workdays and more 100% of the monthly RATA 5.2 For Incumbents Who Are Assigned or Who Use Motor Transportation 5.2.1 Those who are assigned or who use government motor transportation shall no longer be entitled to the commutable TA, but only to the commutable RA for the month. 5.2.2 The grant of commutable RA shall be pro-rated based on the number of days of actual work performance on workdays, exclusive of leaves of absence with pay. The RA Schedule follows: Number of Workdays of Actual Work Performance in a Month Actual RA for a Month 1 to 6 workdays 25% of the monthly RA 7 to 12 workdays 50% of the monthly RA 13 to 18 workdays 75% of the monthly RA 19 workdays and more 100% of the monthly RA 5.2.3 Upon issuance of a government motor transportation, an official shall no longer be entitled to TA. In exceptional cases when an official is prevented from the use of a government motor transportation for 3 days or more, such as when the motor vehicle undergoes repair and a replacement vehicle is not provided, the grant of commutable TA may be allowed, pro-rated based on the number of days of actual work performance on workdays, exclusive of leaves of absence with pay. The TA Schedule follows: SETAcC Number of Workdays of Actual Work Performance in a Month Without an Actual TA for a Month Official Vehicle 3 to 6 workdays 25% of the monthly TA 7 to 12 workdays 50% of the monthly TA 13 to 18 workdays 75% of the monthly TA 19 workdays and more 100% of the monthly TA 6.0 RATA for OICs of Positions Entitled to These Allowances 6.1 For OICs Who Are Not Assigned or Who Do Not Use Government Motor Transportation 6.1.1 An OIC of a position, authorized in an agency staffing pattern and entitled to RATA, may be allowed to collect the RATA for the position on a reimbursable basis, if stipulated in the office order designating him/her as such. 6.1.2 The provisions of sub-item 5.1.2 shall apply. 6.2 For OICs Who Are Assigned or Who Use Motor Transportation The provisions of sub-items 5.2.1, 5.2.2, and 5.2.3 shall apply. 6.3 Those designated as OICs to positions in agency internally created organizational units whose staffing are not authorized by DBM, thus are considered as ad-hoc arrangements, are not entitled to RATA. 7.0 Monthly RATA While on Concurrent Capacity When an incumbent entitled to RATA in his/her position is subsequently designated as OIC of a higher position in concurrent capacity, he/she shall be entitled to the difference between the RATA of the two positions. When an incumbent is designated as OIC of a lower position in concurrent capacity, no additional RATA may be collected. TcSCEa 8.0 While on Full-Time Detail or Re-Assignment 8.1 An official shall not be entitled to RATA while on full-time detail to another government agency or on re-assignment within the same agency or to a special project, as mandated or as a direct consequence of law or office order, or personnel action based on his/her voluntary action and consent. 8.2 However, when the duties and responsibilities of the official under sub-item 8.1 are comparable with those of his/her regular position, as certified by the agency head concerned, he/she may be authorized to continue to collect RATA, subject to the availability of funds. 9.0 While on Scholarship/Study/Training Grant 9.1 An official shall not be entitled to RATA while on authorized full-time attendance in a long-term scholarship/study/training grant or similar activity since he/she is unable to perform the duties and responsibilities of his/her position. 9.2 However, an official may be authorized to continue to collect RATA on a reimbursable basis, subject to the availability of funds, under the following conditions: 9.2.1 the attendance in the study/training grant or similar activity is short-term; 9.2.2 the study/training is aimed to directly enhance the performance of the duties and responsibilities of the position; and 9.2.3 the study/training requires frequent interaction, coordination, and mobility in order to fulfill the requirements of the course, for which expenses are not covered by the study/training grant as certified by the agency head. 10.0 Designated Vice Presidents, Deans of Colleges, Directors of Centers, Institutes/Services and Satellite Campuses, and Department Heads in SUCs 10.1 For Those Not Assigned or Who Do Not Use Government Motor Transportation TSHIDa 10.1.1 A faculty member designated as Vice President, dean of a college, director of a center/institute/service or a satellite campus, or a department head in a SUC may be authorized to collect the RATA for the virtual position on a reimbursable basis, if stipulated in the office order designating him/her as such. 10.1.2 The provisions of sub-item 5.1.2 shall apply. 10.2 For Designees Who Are Assigned or Who Use Government Motor Transportation The provisions of sub-items 5.2.1, 5.2.2, and 5.2.3 shall apply. 11.0 Fund Sources 11.1 National Government Agencies (NGAs), Including SUCs 11.1.1 The amounts required for the grant of commutable or reimbursable RATA to incumbents or OICs of regular positions and to designated officials in SUCs shall be charged to the respective agency appropriations/budgets for the purpose. In case of deficiencies, the same shall be charged against agency savings. 11.1.2 The amounts required for the grant of RATA to incumbents or OICs of contractual positions shall be charged against the respective agency lump sum appropriations from which their salaries are drawn. 11.2 In GOCCs and GFIs, the amounts required shall be charged against the respective corporate operating budgets. In case of insufficiency of funds to fully implement the RATA rates, the same may be granted partially at uniform percentages of the RATA rates for all positions. cITAaD 11.3 The reimbursable RATA for those on detail to other government agencies shall be charged to the appropriations/budgets of their parent agencies. 12.0 Responsibilities of Agency Heads Agency Heads shall be held responsible for the proper implementation of this Circular. They shall be held liable for any grant of RATA not in accordance with the provisions of this Circular, without prejudice, however, to the refund of any undue payments received by the officials concerned. 13.0 Saving Clause Cases not covered by the provisions of this Circular shall be referred to the DBM for resolution. 14.0 Repealing Clause All provisions of existing circulars or issuances on the grant of RATA that are inconsistent with the provisions of this Circular are repealed or superseded accordingly. 15.0 Effectivity This Circular shall take effect January 1, 2013. (SGD.) FLORENCIO B. ABAD Secretary Footnotes 1. JR No. 4 "Joint Resolution Authorizing the President of the Philippines to Modify the Compensation and Position Classification System of Civilian Personnel and the Base Pay Schedule of Military and Uniformed Personnel in the Government, and for other Purposes," approved on June 17, 2009. 2. RA No. 6758 "An Act Prescribing a Revised Compensation and Position Classification System in the Government and for Other Purposes," dated August 21, 1989. 3. To illustrate the application of the RATA schedule: Official with Corresponding Number of Workdays of Actual Work Performance Actual RATA for a Month in a Month Official A 5 workdays 25% of the monthly RATA Official B 8 workdays 50% of the monthly RATA Official C 15 workdays 75% of the monthly RATA Official D 23 workdays 100% of the monthly RATA Published in The Philippine Star on January 23, 2013.